Employment Contracts

Employment Contracts
Terms and Conditions

Employment agreements provide written evidence of the terms agreed between the executive and the employer.

Those provisions of employment contracts that are of most concern to remuneration consultants include the following:

• Period of the contract,
• Role definition/position description
• Base package, STI, LTI
• Notice period
• Termination provisions and severance payments

Other important provisions include:

• Post employment restriction and payment for executive foregoing rights
• Governing law
• Sole occupation
• No other directorships without prior consent of the Board
• No competing with the employer company
• Confidentiality of information etc
• Change in responsibilities or work location
• Leave provision for annual, long service, special and sickness/injury
• Industrial/intellectual property
• Documents and other company property
• Series of standard provisions dealing with notice, separation of contract terms etc.