California software developer employment contract template
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How California software developer employment contract Differ from Other States
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California prohibits non-compete clauses, protecting employee mobility more than most other U.S. states.
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California mandates specific overtime pay and break requirements that may exceed those in other states.
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IP assignment clauses must comply with California Labor Code Section 2870, limiting employer control over inventions.
Frequently Asked Questions (FAQ)
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Q: Are non-compete clauses enforceable in California?
A: No, California law generally makes non-compete clauses unenforceable, except in very limited circumstances.
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Q: Does California require overtime pay for software developers?
A: Yes, unless classified as exempt, software developers in California are entitled to overtime pay under state law.
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Q: Can employers claim ownership of employee inventions?
A: Employers may only claim inventions made during employment and related to company business, per Labor Code Section 2870.
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California Software Developer Employment Contract
This California Software Developer Employment Contract (the "Agreement") is made and entered into as of [Date], by and between [Company Legal Name], a [State of Incorporation] corporation with its principal place of business at [Company Address] ("Company"), and [Employee Legal Name], residing at [Employee Address] ("Employee").
The Company and Employee agree as follows:
1. Employment
Option A: The Company hereby employs Employee, and Employee hereby accepts employment with the Company, as a full-time Software Developer.
Option B: The Company hereby employs Employee, and Employee hereby accepts employment with the Company, as a full-time Software Developer on a [Remote/Hybrid] basis. Employee's primary work location will be [Work Location Address].
2. Job Duties
The Employee's primary job duties shall include, but are not limited to:
- Software architecture design and implementation.
- Backend and frontend coding.
- Application and API development.
- Mobile and/or web application creation and maintenance.
- Debugging and testing (unit, integration, system).
- Maintenance of existing software systems.
- Algorithm development and optimization.
- Deployment scripting and automation.
- Participation in DevOps practices.
- Use of continuous integration/continuous delivery (CI/CD) tools.
- Code review participation and adherence to established coding standards.
- Contribution to technical documentation.
- Active participation in agile/scrum meetings.
- Project tracking using Jira or equivalent tools.
- Cross-team collaborative workflows.
3. Required Technical Proficiencies
Employee is expected to be proficient in the following technologies: [List of Required Technologies].
4. Version Control
Employee shall use Git for version control and adhere to Company's code quality, commit frequency, and merge request procedures.
Option A: Adherence to the following Git workflow guidelines: [Link to Git Workflow Document or Description].
Option B: The Company utilizes a branching strategy of [e.g. Gitflow, Github Flow]. All pull requests require approval from at least [Number] peer developers.
5. Reporting Relationship
Employee will report to [Supervisor Name and Title].
Employee will also collaborate with [Lead Developer/Team Name].
6. Remote Work Policy (If Applicable)
If Employee is working remotely, the following applies:
- The Company [will/will not] provide a home office stipend. If so, the amount is [Amount].
- Employee is responsible for maintaining an ergonomic workspace.
- Employee must adhere to a [Specific Schedule] schedule.
- The Company [will/will not] use monitoring software. If so, the details are: [Monitoring Details].
- The Company will provide the following equipment: [List of Equipment].
- Employee must adhere to the Company's data privacy standards.
- Employee must use a mandatory VPN or secure tunnel.
- Employee must perform system updates with the frequency of [Frequency].
- The Company reserves the right to inspect or reclaim Company property.
- Technical support will be provided as follows: [Technical Support Details].
- Employee must respond to communications within [Response Time] during working hours.
7. Full-Time Employment and Work Schedule
Employee's employment is full-time, requiring a minimum of 40 hours per week.
Employee's workweek structure is [Specify Days of the Week].
Flexible starting/ending times [are/are not] permitted, subject to [Company Policy].
Employee is eligible for overtime pay in accordance with California law (over 8 hours/day or 40 hours/week, double time after 12 hours).
Employee is entitled to mandatory meal breaks (at least 30 consecutive minutes for shifts over 5 hours) and rest breaks (10 minutes per 4 hours) as required by California law. The Company’s meal/rest break policy is documented in [Location of Policy].
The Company is committed to complying with all relevant sections of the California Labor Code.
8. Compensation
Option A: The Employee's annual salary is [Annual Salary], payable [Payroll Frequency] (e.g., biweekly, semi-monthly) via [Payment Method] (e.g., direct deposit, check).
Option B: The Employee's hourly rate is [Hourly Rate], payable [Payroll Frequency] (e.g., biweekly, semi-monthly) via [Payment Method] (e.g., direct deposit, check).
Overtime eligibility is determined in accordance with California Minimum Wage Orders.
The Company will provide required disclosures under the California Wage Theft Prevention Act.
Employee will be required to sign a wage acknowledgement form.
9. Bonuses and Incentives
Option A: Employee is eligible for a performance-based bonus as determined by Company policy. Details are available at [Bonus Policy Document Location].
Option B: Employee is eligible for project completion incentives as determined by Company policy. Details are available at [Incentive Policy Document Location].
Option C: Employee [is/is not] eligible for discretionary bonuses.
Option D: Employee [is/is not] eligible for RSUs or equity grants. If eligible, details are outlined in a separate agreement.
Option E: Employee [is/is not] eligible for participation in the employer's stock purchase plan.
10. Benefits
Employee is eligible for the following benefits:
- Employer-sponsored health insurance (medical, dental, vision). Details are available at [Benefits Document Location].
- [CalSavers IRA/401(k) or Company Retirement Plan]. Details are available at [Retirement Plan Document Location].
- Paid time off (PTO) accrual rate of [PTO Accrual Rate].
- Compliance with California Family Rights Act (CFRA).
- Sick leave as required by the California Healthy Workplaces, Healthy Families Act.
- [List of Prescribed State Holidays].
- Parental leave options.
- [Company COVID-19/Public Health Leave Policy].
- [Commuter/Parking/Remote Work Stipends - Specify].
- Reimbursement for business expenses under Labor Code Section 2802.
- [Company-Provided Technical Training or Reimbursement Policy].
11. Intellectual Property Assignment
All inventions, code, databases, libraries, algorithms, UX/UI designs, documentation, and other work product created by Employee during the term of this employment, using Company time or resources, or related to the Company's business, shall vest in the Company as works-for-hire under California Labor Code 2870 et seq.
Exception A: Pre-existing intellectual property owned by the employee: [List of IP].
Exception B: Inventions that qualify under Labor Code Section 2870(a)(b)(c): [Description of Process for Disclosing and Exclude Invention from Assignment].
12. Open Source Contribution/Use
The Company [does/does not] have a protocol for open-source contribution/use. Details are available at [Open Source Policy Document Location].
All open source contributions must be reviewed and approved by [Designated Reviewer].
13. Confidentiality
Employee shall maintain the confidentiality of all trade secrets, proprietary code, architecture, APIs, customer/vendor information, security/data breach details, and training materials of the Company, both during and after the term of employment.
14. Outside Employment
Employee must obtain prior written authorization from the Company before engaging in any external employment, moonlighting, freelance development, or open-source contributions.
15. IT Policy Compliance
Employee shall comply with all Company IT policies, including:
- Proper use of Company devices.
- Strong password enforcement and two-factor authentication.
- Network security standards.
- Prohibition on installing/downloading/sharing unapproved software or customer data.
- Reporting potential security vulnerabilities.
- Participating in regular penetration testing or code scanning, as required.
16. Performance Reviews
Employee's performance will be reviewed [Review Frequency].
The basis for evaluation will be [Evaluation Criteria].
Employee has the right to appeal the performance review. The appeals channel is: [Appeal Channel Details].
17. Code Review and Continuous Learning
Employee will participate in peer code reviews, security update cycles, and team feedback sessions.
Employee is expected to engage in continuous learning and professional development.
18. Non-Competition
California law prohibits post-employment non-compete clauses. There is no post-employment non-compete in this agreement.
Option A: Employee agrees not to solicit employees of the company for [Number] years after termination of employment.
Option B: Employee agrees not to solicit clients of the company for [Number] years after termination of employment.
Option C: Employee agrees to notify the company if taking a position with a direct competitor within [Number] months of termination if the position will involve working with core technologies of the company.
19. At-Will Employment
Employee's employment is at-will, meaning either party may terminate the employment relationship at any time, with or without cause, and with or without notice, subject to the notice provisions below.
Option A: Employee agrees to provide [Number] weeks' notice of resignation.
Option B: Company agrees to provide [Number] weeks' notice of termination.
Employee's final paycheck will be provided in accordance with California law.
Employee will receive a COBRA notice upon termination of employment.
Severance eligibility [is/is not] offered. If so, the details are: [Severance Policy Details].
Employee will be paid for accrued unused vacation/PTO as required by California law.
20. Return of Company Property
Upon termination of employment, Employee shall return all Company hardware, code, documentation, credentials, and remove all Company IP/software from personal devices.
21. Transition and Knowledge Transfer
Employee agrees to cooperate in a smooth transition of responsibilities and to provide knowledge transfer as reasonably requested by the Company.
22. Dispute Resolution
The parties agree to first attempt to resolve any disputes through good faith internal discussion.
If internal discussions are unsuccessful, the parties agree to [Mediation/Arbitration] in [City, California]. The provider will be [Mediation/Arbitration Provider]. The allocation of costs will be [Cost Allocation].
This Agreement shall be governed by and construed in accordance with the laws of the State of California, without regard to its conflict of laws principles. Exclusive jurisdiction and venue for any legal action arising out of this Agreement shall be in the state and federal courts located in [County, California].
23. Workers' Compensation and Safety
The Company complies with California workers' compensation statutes and occupational health/safety rules.
The Company provides the following resources for employee mental health/wellness: [Mental Health/Wellness Resources].
24. Equal Employment Opportunity
The Company is an equal opportunity employer and does not discriminate on the basis of gender identity/expression, sexual orientation, race, ethnicity, marital status, veteran status, genetic information, religion, age, disability, or any other protected category under California's Fair Employment and Housing Act (FEHA). The Company is committed to addressing and preventing harassment and retaliation.
25. Other Terms
This Agreement is subject to the following additional terms:
- Background check consent: [Background Check Details].
- Immigration/work eligibility verification (I-9/E-Verify policy): [Immigration Details].
- Intellectual property pre-assignment disclosure forms: [Disclosure Form Details].
- The Company reserves the right to reasonably update policies with prior notice, while preserving core compensation and IP terms.
IN WITNESS WHEREOF, the parties have executed this Agreement as of the date first written above.
[Company Legal Name]
By: [Name of Authorized Representative]
Title: [Title of Authorized Representative]
Email: [Company Email]
[Employee Legal Name]
Signature: _________________________
Email: [Employee Email]