Employment contracts: your first line of defence

In today’s legal climate, even a single outdated clause in your employment agreement can mean the difference between a clean exit and a six-figure legal bill.

A recent report reveals that nearly 90% of termination clauses in existing contracts are invalid under current law.

This underscores the importance of moving away from online templates and boilerplate language in favor of bespoke agreements tailored to today's legal landscape.

Key clauses to review

A new report from Canadian HR Reporter highlights several critical areas employers should address:

• Termination terms: Ensure clarity and compliance with current standards.
• Remote work policies: Clearly define expectations to avoid potential claims.
• Dress codes: Establish reasonable guidelines that respect employee rights.
• Non-solicitation and exclusivity clauses: Ensure enforceability by adhering to legal standards.
• Salary reviews and confidentiality expectations: Avoid vague promises that could erode enforceability.

The importance of precision

In the wake of recent court decisions, even contracts drafted with good intentions are being tossed out over unclear language or clauses that fail to meet current employment standards. Employers who fail to include clear hybrid or remote work language may inadvertently lock themselves out of calling workers back to the office without triggering a claim of constructive dismissal.

Contracts aren’t just formalities – they’re your first...

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