Before you open your small California-based company for business, you must hire employees to help take care of your customers and clients. This is your first time hiring people, so you do not know what belongs on a legally binding employer agreement. 

Chron discusses the matter and presents several ideas to keep in mind. Learn how to protect yourself, your business and your workforce. 

Implied agreement

You do not want to risk making an implied employment agreement with a job candidate or interviewee. Implied agreements occur through spoken words and details listed in company policies and employee handbooks. Avoid miscommunication by not making promises or implied promises during an interview or on job offer correspondence. Instead, put the agreement in writing, clarifying whether the position is at-will. 


When drafting an employee contract, clearly define compensation, job responsibilities and the number of hours the position requires. If you have specific expectations for employees, include those in the contract, too. 


Do you think you may need to add or amend an employee’s duties? If so, make that plain in the agreement. While you may not have the resources to provide employee benefits right now, you retain the option to offer them, and you have the right to change benefits. No matter what you decide, note your right in the contract, and ensure you inform employees of a change to their benefits before the shift happens. 

Contract breach

Either you or the employee may breach the contract you agree to and sign together. To mitigate your risks, clarify the agreement’s conditions and terms. You do not want to deal with assumptions, which can lead to legal trouble.