When you own a small business having employees can be incredibly helpful. But, by the same token, managing and supporting a workforce can increase liability exposure. A Florida small business owner can help mitigate risks by drafting an employment agreement for their employees. Employment agreements can help protect your interest and help you avoid future disputes.
What is an Employment Agreement?
An employment agreement is a contract between an employer and an employee that sets out the terms of the employment relationship. Employers can use these agreements to clarify specific aspects of the employee’s position and to protect their interests.
Should All Employees Have a Florida Employment Agreement?
A Florida small business owner may have multiple employees serving in various roles. The question of whether an employment agreement is necessary for all employees depends on the business and its requirements. For instance, some positions involve more responsibility and access to proprietary information. By contrast, others will concern more with administrative and support roles. The best way to determine whether you need an employment agreement for a position is by consulting with a Florida small business attorney. You and your lawyer can review your staffing and assess your needs.
What Should be Included in an Employment Agreement?
Once you have met with your Florida small business lawyer and decided which positions need an employment agreement, you may want to include the provisions that address the following areas:
- Employee job title and responsibilities
- Dispute resolution
- Confidentiality and trade secret
- Non-compete
- Work-product ownership
- Secondary employment (moonlighting)
- Company property usage
- Choice of law forum (Florida)
Developing the right terms for your employment agreements is essential, and you will want to work with experienced counsel during the process.
Non-disclosure and Non-Compete Agreements
Depending on your industry, as a small business owner, you may want to consider developing separate non-disclosure and non-compete agreements for your workforce.
A non-disclosure agreement (NDA) identifies confidential information that an employee agrees not to disclose to others. Employers can use these agreements to protect details about business operations, proprietary products and processes, client identities, and other private business-related information.
A non-compete agreement prohibits an employee from working in certain competitive roles after they leave employment. The contract will specify the restrictions on an employee’s post-employment activities for a certain period of time. Florida law has specific requirements regarding non-compete agreements. Therefore, working with an attorney is important when creating these and other employment agreements.
In many instances, a business owner may want to use both types of agreements to protect their interests. Incorporating these types of protective provisions into an employment contract may also be preferable.
Help with Drafting an Employment Agreement
Florida employment agreements are legally binding, meaning that both parties to the agreement will have certain rights and responsibilities. As with any legal document, it is inadvisable and extremely risky to draft without the benefit of counsel. Having an experienced Florida small business attorney to assist with drafting your employment agreements is crucial. Your counsel can help you create comprehensive employment agreements that protect your business and provide structure to the employment relationship.
Contact an Experienced Florida Business Attorney
Attorney Richard Sierra at the Florida Small Business Legal Center assists clients like you with commercial leasing, business, and litigation matters. As always, Our Goal Is to Help You Succeed™. For an appointment, call us at 1-866-842-5202 or use the contact form on our website. We represent clients throughout the State of Florida, including Coral Springs, Coconut Creek, Boca Raton, Delray Beach, Pompano Beach, Sunrise, Fort Lauderdale, Miami, West Palm Beach, Jupiter, Deerfield Beach, Stuart, Port St. Lucie, Orlando, Naples, Fort Myers, Sarasota, Tampa, and surrounding communities.