A new job or promotion is often a cause for celebration, but that momentum can make the contract in front of you seem like routine paperwork. It isn’t. Buried in the fine print are the terms that will govern your working life long after the first-day excitement fades. That’s why consulting with an employment contract lawyer can make all the difference.
In my experience, there are generally two scenarios where employers will ask an employee to sign an employment contract:
- Starting a new job: Whether they’ve been out of work for a while or they’re moving up the career ladder with a different company, workers are often anxious to get on with their new job, viewing the signature of the employment contract as a formality.
- Updating contracts for existing employees: Employers will generally not ask existing employees to sign a new contract for no reason. Even if the fresh document comes with a new job title, a signing bonus or a bump in pay, there’s a good chance it will also contain provisions designed to protect your employer if circumstances shift or the employment relationship ends.
Although it may feel counterintuitive, employees need to consider how their employment relationship might end to ensure that they start work in the best possible position.
At Edwards Pollard LLP, our lawyers offer a flat-rate employment contract review service for employees, so you can fully understand the terms of your contract and identify any changes that may be required to ensure you’re protected in the relationship.
Here are the top five reasons to have an employment contract lawyer review your employment contract before you sign on the dotted line:
1. Understanding what you’re signing
Employment contracts are typically drafted by the employer or a lawyer working on their behalf, so ensuring the language is comprehensible to a normal person is not their priority.
I understand the temptation to skip a long paragraph of details on confidentiality, intellectual property, or another legal issue. But an employment contract is not the same as the terms and conditions for an app on your phone — this is one of the most important documents that you will ever sign.
Our team breaks down the contract, paragraph by paragraph, translating the legalese and summarizing each clause in simple, plain English, so you’re fully informed before signing.
2. Keeping your options open for your next career move
Since 2021, Ontario law has prohibited employers from including non-compete clauses in some of their employment contracts, but that hasn’t stopped them from trying to limit what ex-employees can do after the employment relationship has ended.
Some employers attempt to work around the ban, inserting their own unfair and restrictive clauses that could impact your ability to move on with your career at a different employer or even as a self-employed business owner in the same industry. We can identify any potentially problematic provisions in your contract and flag them for removal or further negotiation.
3. Making it harder for your employer to force you into quitting
“Constructive dismissal” is the technical term employment lawyers use for a situation where an employee leaves because of fundamental changes the employer has made to their job, rather than being directly fired.
Increasingly, we’re seeing employment contracts that give employers the right to change an employee’s duties, pay, or other important terms without violating the agreement. The idea is to insulate the employer from a future claim for constructive dismissal, on the basis that the employee knew what they were getting into from the outset.
4. Protecting your rights on termination
Termination clauses are among the most controversial and fast-evolving aspects of employment law in Ontario.
Employers constantly draft their contracts to limit terminated employees to the statutory minimum amounts set out in the province’s Employment Standards Act — rather than the more generous notice entitlements that would otherwise be due to them under the common law — and judges are constantly ruling on the validity of each new attempt.
Our employment contract lawyers can review the termination provisions in your employment contract and give you an idea of how a judge might interpret them, considering the current state of the law.
5. Getting everything in writing
While compensation and salary tend to be the major focus of both parties during the long negotiation process that can often precede a formal offer of a new employment contract, it’s not unusual for employers to make other promises to entice employees.
Whether it’s a signing bonus, access to certain benefits, vacation allowances, or some other side deal, our team will review the final contract to ensure it reflects all the terms and conditions promised.
Speak to an Employment Contract Lawyer at Edwards Pollard LLP
If you’re reviewing an offer of employment or have questions about the terms of your contract, feel free to contact me or another employment contract lawyer at Edwards Pollard LLP. We can walk you through your contract and explain how the terms may affect your rights going forward.