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What You Need to Know About the Employment Agreement in Maryland
An employment agreement in Maryland is a legal agreement agreed upon by an employer and employee. This agreement can be written or verbal and outlines the terms and conditions of the employment contract.
The biggest role it plays is to protect the interests of both parties and can be used to resolve disputes that may arise after and during the employment relationship. It also helps minimize the chances of conflicts between employers and employees.
Terms and Details Covered in a Maryland Employment Agreement
A typical employment agreement like nanny employment contract, caretaker job contract or any related agreement should have a job title, duties, working hours, salary, benefits, and contract duration. It should also have contract termination terms, time off and vacation times, regulations the employee must adhere to, and other details that ensure a professional employee-worker relationship.
The terms and details in an employment document in Maryland vary depending on the employer and the job. For instance, a house help employment contract may not have similar details that may be featured in a contract used in a company or for a nanny employment. So, employers should research what should feature in their agreements.
What Are the Legal Requirements for Maryland Employment Contracts?
Employment agreements in Maryland can be written or verbal. It is advisable to have a written agreement signed by both parties. Such a contract acts as tangible evidence as it has clear terms of employment and the signatures of both parties.A verbal employment agreement in Maryland is enforceable, but using it as evidence to resolve a dispute surrounding employment can be tricky.
It is important to note that all Maryland employment contracts, whether written or verbal, cannot go against public policy. In addition, the contracts must be fair to both parties and conscionable.
However, a contract can be considered unconscionable if it was agreed upon when one party was under duress or had unequal bargaining power.
Types of Maryland Employment Agreements
There are various types of employment contracts in Maryland, and here are common ones;
- A permanent agreement is an indefinite contract used to hire employees permanently.
- A fixed-term contract features a start and end date. It is mainly used to hire employees on a short-term contract.
- Independent contractor agreement is used to hire freelancers or contractors to complete a specific job. Note that these freelancers or contractors are not employees of the hiring company.
- A confidentiality agreement prevents employees from releasing essential information about their employer's business/company.
- The non-compete agreement limits employees from working for a competitor or establishing a competing business.
- A severance agreement outlines the benefits and protections a worker will enjoy when employment with a company ends.
Are Employment Agreements Enforceable in Maryland?
All agreements that do not violate public policy are enforceable in Maryland. The contracts must adhere to contract laws and have all elements of a contract, including an offer, acceptance, and consideration.
Note that restrictive contracts, like non-compete, are also enforceable in Maryland as long as they meet the specific requirements outlined by the law. However, there are restrictions;
- For non-compete contracts for employees earning less than $31,200 annually.
- If clauses in the non-compete agreement cause undue hardship for employees.
In addition, Maryland is an at-will employment state. And that means employers can hire and fire employees for almost any reason without legal consequences. However, there will be some reservations in the presence of an employment contract. Also, employers should not fire employees due to discrimination or those who refuse to commit a criminal act.
If you want to create an employment contract, Forms.legal has you covered. We offer free Maryland employment agreement templates to make your work easier and stress-free. Just be sure to select a template that suits your needs, fill in the details, download, and print when done.
Also check sales employment contract and different types of employment agreements here.