Every employee should enter into employment agreements. These agreements can be individual or collective agreement, as per the requirement. The law wants certain provisions that have to be entered into the Agreement. There are also minimum conditions, which should be honored, whether they are a part of the agreement such as safe working place for the employee, employee must carry out his duties to the best of his ability etc. Employment Agreement includes other provisions also and they are compensation of the employee, term of employment, bonus structure and bonus payout (cash vs. stock), grounds for termination, employee benefit s, holidays, leave and so on. The Employment Agreement continues till the time worker continues working.
But on certain occasions, the parties consider changing or modifying existing or original agreement. These changes in the agreement becomes necessary due to the certain prevailing situations, such as market change, which needs salary adjustment, responsibilities alteration, employer’s business model, employee related issue, which may include individual or collective employee etc. This modification can be long for modifying different provisions in the original agreement or amendment can be limited to certain aspects of the agreement and can be very short.
Again the Original Agreement may also have provision for amendments and such amendments procedures should be followed to make the amendments legally binding and valid.
The Amendment should mention the date of the amendment and refer the original agreement name and date.
The written amendment agreements are most viable option between the parties to avoid future disputes, which may arise, if the modifications in the agreements are entered verbally.
The following Employment Agreements Template and Employment Agreement Amendments will show you the nature of such agreements and how modifications are carried out:
EMPLOYMENT AGREEMENT
By and between _________ (Company) referred to as "Company",and _________ (Employee) referred to as "the Employee".
The Company, located at _______________________, employs Employee and Employee, of ________________________, hereby agrees to be employed on the following terms and conditions:
1. Start Date: Employment shall commence on ___________ time being of the essence.
2. DUTIES: Employee agrees to perform the duties set out herein: (Describe general duties)
__________________________________________________
__________________________________________________
__________________________________________________
Employee shall perform such further duties as are customarily performed by one holding such position in other businesses of the same or similar nature as that engaged in by Company.
3. COMPENSATION: In consideration of the foregoing, Company shall pay Employee a salary of $_______ per year, for Employee’s services, payable __________________.
4. DURATION OF EMPLOYMENT: Employee’s agreement shall remain in effect until it is terminated by either party, commencing on ______________________ (date).
5. TERMINATION: This agreement may be terminated earlier upon (1) death of Employee or illness or incapacity that prevents Employee from performing his/her duties for a period of more than _____ weeks in any calendar year and (2) breach of the agreement by Employee.? Such option shall be exercised by Employer giving a notice to Employee by certified mail, addressed to him in care of employer.? With such notice, this agreement shall cease and come to an end _______ days after in which the notice is mailed.
6. MISCELLANEOUS: (1) Employee agrees not to disclose any of Company’s trade marks during or after the employment.? (2) In the event of any dispute over this agreement, it shall be resolved through binding arbitration under the rules of the American Arbitration Association.
In witness whereof, both parties have executed this agreement at __________________________ (place of execution), on _____________________ (date).
Company______________________________
Employee ____________________________
Employment Agreement Amendments Template
AMENDMENT TO EMPLOYMENT AGREEMENT
This Amendment, dated ____________ (the "Amendment"), to the Employment
Agreement, dated _____________ (the "Agreement"), by and between ____________ and _______________ ("Executive"). Terms not otherwise defined herein shall have the meaning described to them in the Agreement.
W I T N E S S T H
WHEREAS, the parties hereto desire to amend the Agreement as hereinafter set forth.
NOW, THEREFORE, in consideration of the mutual representations, warranties,covenants and agreements contained in the Agreement, as amended, and for othergood and valuable consideration, the sufficiency of which is herebyacknowledged, the parties hereto agree as follows:
1. Section 1 of the Agreement is hereby deleted in its entirety and replaced with the following:
EMPLOYMENT PERIOD.____________ hereby agrees to employ the Executive, and the Executive hereby agrees to accept employment by _______, in accordance with the terms and provisions of this Agreement, for the period commencing on the date of this Agreement (the "Effective Date") and ending at midnight on __________ (the "Employment Period").
2. Section 2(B)(i) of the Agreement is hereby deleted in its entirety and replaced with the following: COMPENSATION. (i) Base Salary. During the Employment Period, the Executive shall receive a base salary ("Annual Base Salary"), which shall be paid in equal installments on a semi-monthly basis, at the annual rate of ______________ than ($)____________per year for fiscal year ___, ($)__________ for fiscal year ___________, and ($)__________for fiscal years _____, _______ and ________.
3. The Agreement, as amended by this Amendment, and the Exhibits and Schedules thereto, contains the entire agreement between the parties hereto and there are no agreements, warranties or representations which are not set forth therein or herein. This Amendment may not be modified or amended except by an instrument in writing duly signed by or on behalf of the parties hereto.
4. This Amendment shall be governed by and construed and enforced in accordance with the local laws of the State of ____________ applicable to agreements made and to be performed entirely within the State, without regard to conflict of laws principles.
5. This Amendment may be executed simultaneously in any number of counterparts, each of which shall be deemed an original but all of which together shall constitute one and the same instrument.
IN WITNESS WHEREOF, the parties hereto have caused this agreement to be executed by them or their duly authorized representatives as of the date first written
above.
Name
By
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/s/
EXECUTIVE:
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/s/