Negotiating a better employment contract can be both exciting and challenging in a number of different ways. Whether you’re starting a new job, getting ready for a more senior role, or receiving an offer from another company, it is important to negotiate the best employment contract possible. Too many employees signed these contracts quickly without fully understanding all of the terms and conditions that they were agreeing to. This guide will help you take some practical measures to improve any employment contract that you may sign.
Understand What’s Up For Negotiation
Most people simply assume that their salary is the only thing that they can negotiate. But it’s possible to negotiate many different parts of your employment contract.
- Base pay
- Performance Bonuses
- Stock options
- Paid time off
- Job title
- Severance pay
If there are terms in your employment contract that you truly do not like, it’s always best to be prepared to simply walk away from an offer.
Timing Is Important
The best time to negotiate the terms of your employment contract is after you’ve accepted an offer but before you’ve signed any agreement. If your employer is really interested in hiring you, they expect some negotiation and often leave room for that in an initial offer. It is OK to ask for a few days to review the offer in order to fully understand what you’re signing up for.
How to Negotiate More Effectively
If you’re at the point where you’ve received an employment contract, you’re already near the finish line. You can use the following strategies to better advocate for yourself to get something close to what you were looking for.
- Appreciation: It is important to express appreciation before diving into any potential changes to an employment contract. A positive tone can make all the difference in the world in terms of getting what you want.
- Be Specific: It is better to deal in specifics instead of making general demands.
- Frame Your Requests Properly: It is important to frame negotiations around the value that you bring to the table.
- Avoid Ultimatums: Giving your potential employer an ultimatum can put them in a difficult position. It is best to stay firm but flexible.
- Focus: It’s unlikely that you’ll be able to get everything that you want in your employment contract. Instead, focus on the two or three priorities that mean the most to you.
Don’t be embarrassed about asking to alter the terms of your employment contract. Your potential employer fully expects that you will negotiate.
Red Flags to Look Out For
There are some important red flags that you should look out for if you’re considering a new position.
- Noncompete Agreements: In California, noncompete agreements are generally unenforceable. But this doesn’t stop many employers from trying to add them in to employment contracts.
- One-Sided Termination Agreements: If your employment contract indicates that you will be considered an at-will employee and subject to termination without notice or severance, this is a major red flag.
- Vague or Undefined Duties: It could be a red flag if your job duties are overly broad or poorly defined. This can lead to a situation where you may have to put up with unfair workload shifts or unexpected role changes.
When signing an employment contract, it’s sometimes best to go with your gut. Consider the general culture of the business you are thinking of becoming part of.
Getting Legal Help With Employment Contracts
Negotiating an employment contract or raise can be intimidating. But it doesn’t have to be. Be sure to read the entire contract and don’t be afraid to ask questions about anything that may confuse you. Pick the two or three items that are important to you, and be firm yet polite about what you want. Are you in the middle of negotiating an employment contract? Our team of employment lawyers at The Labor Champ is here to help you. We care deeply that workers are aware of their rights and that companies are abiding by all labor laws. Whether you just have legal questions or would like a risk-free case evaluation, we are here for you. You can reach out to us anytime at 949-727-9300.
