Arkansas employment contract template
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How Arkansas employment contract Differ from Other States
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Arkansas follows strict employment-at-will principles, allowing either party to terminate employment without cause unless otherwise specified.
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There are no state-mandated severance pay or notice period requirements under Arkansas law, unlike some other states.
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Non-compete and restrictive covenants are enforceable but subject to specific limitations unique to Arkansas courts and statutes.
Frequently Asked Questions (FAQ)
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Q: Is a written employment contract required in Arkansas?
A: No, Arkansas law does not require a written employment contract, but having one helps clarify duties and protect both parties.
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Q: Can an employer include a non-compete clause in Arkansas?
A: Yes, but to be enforceable, non-compete clauses must be reasonable in scope, geography, and duration according to Arkansas law.
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Q: Are there any required breaks or meal periods for Arkansas employees?
A: No, Arkansas law does not mandate meal or rest breaks, though federal wage and hour rules may still apply.
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Arkansas Employment Contract
This Employment Contract (the “Agreement”) is made and entered into as of [Date], by and between [Employer Name], located at [Employer Address] (“Employer”), and [Employee Name], residing at [Employee Address] (“Employee”).
1. Employment
- Option A: The Employer hereby employs the Employee, and the Employee hereby accepts employment with the Employer, upon the terms and conditions hereinafter set forth.
- Option B: The Employer wishes to engage the Employee as an independent contractor, and the Employee wishes to be engaged by the Employer as an independent contractor, upon the terms and conditions hereinafter set forth. (Note: This may require a separate Independent Contractor Agreement)
2. Job Title and Responsibilities
- Job Title: [Job Title]
- Description of Duties and Responsibilities: [Detailed Description of Job Duties]
- Work Location: [Work Location, Include options for multiple locations or remote work]
3. Employment Type and FLSA Status
- Employment Type:
- Option A: Full-Time
- Option B: Part-Time
- Option C: Temporary
- Option D: Seasonal
- Option E: Internship
- Option F: Contractual
- FLSA Status:
- Option A: Exempt (Salary Basis: [Salary Amount])
- Option B: Non-Exempt (Hourly Rate: [Hourly Rate])
4. Term of Employment
- Option A: Fixed Term
- Starting Date: [Start Date]
- Ending Date: [End Date]
- Evaluation Criteria: [Performance Evaluation Criteria]
- Renewal Procedures: [Contract Renewal Process]
- Early Termination Policies: [Process for Early Termination]
- Option B: At-Will Employment (Arkansas is an at-will employment state. Either party may terminate the employment relationship at any time, with or without cause or notice, except for unlawful reasons.)
- Option 1: Standard At-Will Clause: The Employer and Employee agree that this is an "at-will" employment relationship.
- Option 2: At-Will Clause with Just Cause Exception: The Employer and Employee agree that this is an “at-will” employment relationship; however, after [Number] months of employment, termination by Employer will only be for just cause.
5. Compensation
- Wage/Salary: [Dollar Amount]
- Payment Frequency:
- Option A: Weekly
- Option B: Bi-Weekly
- Option C: Monthly
- Method of Payment:
- Option A: Direct Deposit
- Option B: Check
- Overtime: For non-exempt employees, overtime will be paid at a rate of one and one-half (1.5) times the regular hourly rate for all hours worked in excess of 40 in a workweek, as required by the Fair Labor Standards Act and Arkansas law.
- Bonus/Variable Pay:
- Option A: Bonus Plan (See attached Bonus Plan document)
- Option B: Commission Based on Sales (Detailed terms attached)
- Option C: No Bonus
6. Benefits
- Health Insurance:
- Option A: Medical, Dental, and Vision Insurance (Details outlined in the employee handbook)
- Option B: Medical Insurance Only (Details outlined in the employee handbook)
- Option C: No Health Insurance
- Life Insurance:
- Option A: Employer-provided Life Insurance Policy (Amount: [Dollar Amount])
- Option B: Option to purchase life insurance through Employer’s provider.
- Option C: No Life Insurance
- Disability Insurance:
- Option A: Short-Term Disability Insurance
- Option B: Long-Term Disability Insurance
- Option C: No Disability Insurance
- Retirement/Pension Plan:
- Option A: 401(k) Plan with Employer Match ([Matching Percentage])
- Option B: Access to Company IRA program.
- Option C: No Retirement Plan
- Paid/Unpaid Leave:
- Option A: Vacation Leave: [Number] days per year, accrued according to policy.
- Option B: Holiday Leave: [List of Holidays]
- Option C: Sick Leave: [Number] days per year, accrued according to policy.
- Option D: Family/Medical Leave: In accordance with FMLA and Arkansas law.
- Option E: Unpaid Leave: Governed by Company Policy.
- Other Perks: [List any other benefits, e.g., company car, cell phone]
7. Working Hours and Employee Conduct
- Normal Working Hours: [Start Time] to [End Time], [Number] days per week.
- Rest and Meal Breaks: [Duration of Meal Break], [Number] Rest Breaks. Compliant with Arkansas state law.
- Overtime Arrangements: Overtime must be pre-approved by [Supervisor Title].
- Employee Conduct Rules:
- Workplace Behavior and Ethical Standards: As outlined in the employee handbook.
- Attendance: Punctual and consistent attendance is required.
- Dress Code: [Describe Dress Code]
- Drug/Alcohol Policy: Zero tolerance policy as described in the Employee Handbook.
- Technology and Internet Use: Acceptable Use Policy applies.
- Compliance with Policies and Procedures: Employee shall comply with all employer policies and procedures.
8. Intellectual Property and Confidentiality
- Protection of Trade Secrets and Confidential Information: Employee agrees to protect the Employer's trade secrets and confidential information during and after employment.
- Ownership of Inventions/Works: Any inventions, works, or innovations created in the scope of employment are the property of the Employer.
- Work-for-Hire: All work produced by Employee under this contract constitutes "work for hire" under US Copyright law.
- Exclusions: [List any exclusions to intellectual property ownership]
9. Restrictive Covenants
- Option A: Non-Competition
- Employee agrees not to compete with the Employer within [Geographic Area] for a period of [Number] years after termination of employment.
- Scope of Non-Competition: [Detailed Description of Prohibited Activities] (Note: This provision should be narrowly tailored to comply with Arkansas law).
- Option B: Non-Solicitation
- Employee agrees not to solicit the Employer's customers or employees for a period of [Number] years after termination of employment.
- Option C: No Restrictive Covenants.
10. Departure
- Resignation: Employee shall provide [Number] weeks’ written notice of resignation.
- Termination:
- Option A: Employer may terminate employment at any time, as described under At-Will employment, section 4B.
- Option B: Employer may terminate employment for Just Cause, as described under At-Will employment, section 4B, Option 2.
- Return of Company Property: Employee shall return all company property upon termination of employment.
- Final Compensation: Final compensation will be paid according to Arkansas law.
- Continuation/Forfeiture of Benefits: Benefits continuation will be governed by COBRA and the terms of each benefit plan.
- Unused Vacation: [Describe policy regarding payout of unused vacation time, complying with Arkansas law]
11. Termination Clauses
- Grounds for Dismissal: [List Grounds for Dismissal - e.g., misconduct, poor performance, violation of policy]
- Disciplinary Processes: [Describe Disciplinary Processes]
- Severance:
- Option A: Severance Package: Upon involuntary termination without cause, Employee will receive [Number] weeks of severance pay.
- Option B: No Severance Pay.
12. Equal Employment Opportunity
The Employer is an Equal Opportunity Employer and does not discriminate against any employee or applicant for employment because of race, color, religion, sex, national origin, age, disability, genetics, or any other characteristic protected by federal or Arkansas state law. The Employer prohibits discrimination and harassment of any kind.
13. Workplace Safety
The Employer is committed to providing a safe and healthy work environment and complies with all applicable Occupational Safety and Health Act (OSHA) standards and Arkansas health and safety regulations. The Employer provides workers' compensation coverage in accordance with Arkansas law. [Optional: Include detailed safety procedures or reference to safety manual]
14. Dispute Resolution
- Internal Complaint Process: Employees are encouraged to report any workplace issues to [Designated Person/Department].
- Mediation: The parties agree to attempt to resolve any disputes arising out of or relating to this Agreement through mediation.
- Arbitration:
- Option A: Any disputes arising out of or relating to this Agreement shall be settled by binding arbitration in accordance with the rules of the American Arbitration Association.
- Option B: (No Arbitration Agreement)
- Governing Law and Venue: This Agreement shall be governed by and construed in accordance with the laws of the State of Arkansas. The venue for any court proceedings shall be [County Name] County, Arkansas.
15. Specific Policies
- Option A: Firearm Policy: [Include Firearm Policy]. Note: Arkansas has specific laws regarding firearms in the workplace.
- Option B: Smoke-Free Workplace: [Include Smoke-Free Policy]
- Option C: Social Media Usage: [Include Social Media Usage Policy]
16. Required Statutory Notices
- Wage Notice: Employee acknowledges receipt of a wage notice in compliance with Arkansas law.
- Employment-at-Will Disclaimer: Employee understands and acknowledges that this is an at-will employment relationship, as detailed in Section 4B.
17. Entire Agreement
This Agreement constitutes the entire agreement between the parties with respect to the subject matter hereof and supersedes all prior or contemporaneous communications and proposals, whether oral or written.
18. Amendment/Modification
This Agreement may only be amended or modified in writing, signed by both parties.
19. Severability
If any provision of this Agreement is held to be invalid or unenforceable, the remaining provisions shall remain in full force and effect.
20. Assignment
This Agreement may not be assigned by the Employee without the written consent of the Employer.
Acknowledgement and Signature
Employee acknowledges that they have read, understand, and agree to the terms and conditions of this Employment Contract.
Employer Signature: ____________________________ Date: ____________
Name: [Employer Representative Name]
Title: [Employer Representative Title]
Employee Signature: ____________________________ Date: ____________
Name: [Employee Name]