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Non-competes aren’t the only clauses to avoid while onboarding

On Behalf of | Mar 25, 2022 | Employment Contracts |

Getting an offer at a company for a competitive position is positive, but there is typically still a lot of work to do before you move into the role. You will likely want to negotiate your contract to make it more favorable for you.

For many executives, the main focus will be on compensation, benefits and severance packages. However, executives and other highly-educated workers should look at the rest of their contracts, as well. Employers often add clauses and extra agreements that can have a lasting impact on your career.

Especially for those in an executive position or a role where they have access to business secrets, their employment contract will likely include some restrictive covenants. Some people already know to look out for and challenge the inclusion of a non-compete agreement in a contract. There are other terms that could be equally prohibitive.

Non-disclosure agreements

If your employer wants to prevent you from ever sharing what you learn at their company, a non-disclosure agreement can be a powerful tool.  Violations of non-disclosure agreements can lead to litigation and sometimes financial penalties.

A former worker may be contractually prohibited from sharing any trade secrets or protected company information not readily available to the public with future employers or even friends on social media.

Non-solicitation clauses

Your employer can restrict you from trying to hire your co-workers when you move to a new company or trying to secure contracts with clients you met while employed at their company. Like non-disclosure agreements, non-solicitation agreements can lead to financial penalties when enforced in court.

Negotiating to remove such agreements or to limit their scope can make your employment contract more favorable to you as an employee.

 

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