Employee Agreement Checklist

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Scope of Employment:

• Define title of the employee’s job/role/position;
• Determine and describe the employee’s responsibilities and tasks;
• Foresee and precondition possibilities when the employee’s responsibilities and tasks can be modified, decreased, or increased according to business needs;
• Identify the place of employment (location where the employee will work);
• Define whether (and how) the employee can be relocated (whether this decision can be made unilaterally by management or it requires the employee’s consent);
• Predefine possibility and conditions for the employee demotion; 
• Define if the employee is permitted to be involved in other activities which are different from ones directly associated with this position;
• State confidentiality and non-compete restrictions;

Salary, Bonus and Benefits issues:

• Determine salary – provide amount both in figures and in words;
• Deliberate terms of payments and terms of increase (if it is increased annually, and what increase rate is considered – a fixed one or reasoned by costs of living increase);
• Identify frequency and explain the major rules of performance reviews;
• Determine whether the employee will be granted a signing bonus, guaranteed recurring bonuses (quarterly or annually), and a bonus connected to objectively measured performance results;
• Agree upon minimal levels for each kind of provided bonuses;
• Deliberate conditions of how the employee will take participation in the benefit plans offered by the company (pension, catering, fitness, etc);
• Provide explanations and guarantee of health and medical benefits provided by the company, including disability and life insurance;
• Determine contributions which the employee should recurrently pay to maintain each of the benefits (as well as how the company lightens the financial burden);
• Define amount of days provided to the employee as vacations yearly, state sick pay policy, explain days-off allowance policy, etc;

Employer’s Duties:

• Formulate which facilities, equipment, resources, and supplies will be provided by the employer to ensure successful employee performance;
• Provide a definition of the business functions performed by the employer to ensure effective and comfortable employment, including management, keeping accounting records, adequate personnel selection policy, etc;
• Document the employer’s responsibility for on-time and fair compensation;

Duration and Termination:

• Document duration of the employment, and terms of contract prolongation once it expires (define if the contract will be renewed automatically);
• Define whether the employee have right to terminate the contract before the end of its term (without paying a penalty, etc);
• State the sufficient grounds on which the employer justifies pre-term agreement termination (for example violation of the confidentiality agreement);
• State the sufficient grounds on which the employee justifies pre-term agreement termination (for example salary delay or non-payment);
• State the requirement for employer to send non-renewal......

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