Illinois software developer employment contract template

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How Illinois software developer employment contract Differ from Other States

  1. Illinois restricts the use of non-compete and non-solicitation clauses for certain lower-wage employees, unlike some other states.

  2. Illinois law requires stricter notice and consideration for enforcing non-compete covenants compared to many other states.

  3. Illinois mandates specific wage and hour compliance, including overtime rules, which may differ from federal or other state standards.

Frequently Asked Questions (FAQ)

  • Q: Are non-compete clauses enforceable in Illinois software developer contracts?

    A: Non-compete clauses are enforceable only in limited circumstances and are restricted for lower-wage employees under Illinois law.

  • Q: Does Illinois require paid sick leave for software developers?

    A: Illinois mandates paid sick leave for employees under the Paid Leave for All Workers Act, effective as of 2024.

  • Q: Is overtime required for Illinois software developers?

    A: Most Illinois software developers must be paid overtime unless they qualify for exemptions under state or federal law.

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Illinois Software Developer Employment Contract

This Software Developer Employment Contract ("Agreement") is made and effective as of [Date],

BETWEEN:

[Company Name], an Illinois entity with its principal place of business at [Company Address] ("Employer"),

AND:

[Employee Name], residing at [Employee Address] ("Employee").

Employer and Employee agree as follows:

1. Employment

  • The Employer hires the Employee as a Software Developer.
  • Option A: Specific Title: The Employee's specific title is [Specific Title, e.g., Senior Software Engineer].
  • Option B: Reporting Structure: The Employee will report to [Supervisor Name], [Supervisor Title].

2. Job Responsibilities

  • The Employee will perform the following duties:
    • Designing and developing software systems.
    • Writing clean, testable, and efficient code.
    • Debugging and testing software.
    • Conducting code reviews.
    • Using version control systems (e.g., Git).
    • Documenting code and maintaining technical specifications.
    • Participating in agile/Scrum meetings.
    • Supporting DevOps deployment processes.
    • Maintaining technical specifications.
    • Adapting to new technologies and platforms as needed.
  • Required technologies: [List of Programming Languages, Development Frameworks, Software Platforms, Cloud Technologies, Security Standards, Toolsets].

3. Work Location

  • Option A: Primary Work Location: The Employee's primary work location is [Company Address].
  • Option B: Remote/Hybrid Work: The Employee may work remotely/in a hybrid arrangement subject to Employer's remote work policy, including:
    • Requirements for approval and monitoring of remote work.
    • Provision and return of company-issued equipment.
    • Virtual collaboration requirements.
    • Data security protocols for home/remote offices.

4. Full-Time Employment

  • The Employee's position is full-time.
  • Standard workweek: [Number] hours per week, [Number] hours per day.
  • Core hours: [Specify Core Hours].
  • Flexible scheduling options: [Specify Flexible Scheduling Options].
  • Option A: Overtime: The Employee is eligible for overtime pay at one and one-half times their regular hourly rate for hours worked over 40 in a workweek, in accordance with the Illinois Wage Payment and Collection Act.
  • Option B: Exempt: The Employee is an exempt employee and is not eligible for overtime pay.
  • Break and meal periods will be provided in accordance with the Illinois Minimum Wage Law.

5. Compensation

  • Option A: Salary: The Employer will pay the Employee an annual gross salary of [Dollar Amount], payable [Frequency of Payment, e.g., bi-weekly] via [Payment Method, e.g., direct deposit].
  • Option B: Hourly Rate: The Employer will pay the Employee an hourly rate of [Dollar Amount], payable [Frequency of Payment, e.g., bi-weekly] via [Payment Method, e.g., direct deposit].
  • Wage statements will be provided in accordance with Illinois law.
  • Performance-based incentives/bonuses: [Specify Criteria and Amount/Percentage].
  • Equity/stock plan eligibility: [Specify Eligibility Requirements].
  • Signing/retention bonus: [Specify Amount and Terms].

6. Benefits

  • The Employee is eligible for the following benefits, subject to eligibility requirements and waiting periods:
    • Health insurance: [Specify Plan Details].
    • Vision insurance: [Specify Plan Details].
    • Dental insurance: [Specify Plan Details].
    • Life insurance: [Specify Plan Details].
    • 401(k) or Illinois Secure Choice Retirement Savings Program: [Specify Details].
    • Paid Time Off (PTO): [Specify Accrual Rate and Carry-Over Policy].
    • Sick leave: In accordance with the Illinois Paid Leave for All Workers Act.
    • Illinois state holidays: [List of Holidays].
    • Reimbursement for work-related expenses: [Specify Policy].
    • Technology/home office stipend: [Specify Amount and Frequency].
    • Commuting/parking allowance: [Specify Amount and Conditions].
    • Technical training/certification cost reimbursement: [Specify Policy].

7. Intellectual Property

  • All software, code, documentation, trade secrets, and inventions created by the Employee within the scope of their employment are the sole and exclusive property of the Employer, in accordance with the Illinois Employee Patent Act.
  • The Employee will disclose all inventions promptly to the Employer.
  • Pre-existing IP or side projects: [Specify Process for Disclosure and Approval].
  • Open-source contributions require prior written approval from the Employer.

8. Confidentiality

  • The Employee agrees to maintain the confidentiality of the Employer's confidential information, including source code, system designs, customer data, algorithms, and internal processes, in accordance with the Illinois Trade Secrets Act.
  • This confidentiality obligation survives termination of employment.

9. Data Privacy and Security

  • The Employee will comply with all data privacy and cybersecurity standards and participate in required security training and audits.
  • The Employee will adhere to the Employer's IT and network security policies, including restrictions on unauthorized software installation, personal device usage, cloud data storage, and data transfers.
  • The Employee will report any security incidents or data breaches immediately.

10. Background Checks and Eligibility to Work

  • The Employee's employment is contingent upon successful completion of a background check, in accordance with the Illinois Employee Background Fairness Act.
  • The Employee attests that they are eligible to work in the United States and will comply with E-Verify requirements.

11. Non-Solicitation

  • During employment and for a period of [Number] months after termination, the Employee will not solicit the Employer's clients, employees, or contractors.
  • This non-solicitation clause is subject to the limitations of the Illinois Freedom to Work Act, as amended.
  • The Employee may not solicit clients, employees, or contractors who worked with the company during the employment, and with whom the employee had material contact, or learned confidential information.

12. Non-Compete

  • Note: Due to the Illinois Freedom to Work Act, non-compete agreements are generally unenforceable for employees earning below [$75,000 as of 2024; threshold may change]. The following clause applies *only* if the Employee's compensation exceeds this threshold and the clause is narrowly tailored.
  • Option A: No Non-Compete: The Employee is not subject to a non-compete agreement.
  • Option B: Non-Compete (Conditional): During employment and for a period of [Number] months after termination, the Employee will not engage in any business that directly competes with the Employer within a [Geographic Area] radius, provided that Employee's annual earnings exceed the applicable Illinois statutory threshold during employment. This restriction applies only to activities directly related to [Specific Duties Restricted].

13. At-Will Employment

  • The Employee's employment is at-will, subject to Illinois law.
  • Either party may terminate the employment relationship at any time, with or without cause, subject to the notice and separation procedures below.
  • The Employer will provide final wages on or before the next regular payday following separation, in accordance with Illinois law.
  • The Employee will return all company property and data access upon termination.

14. Termination

  • Grounds for summary dismissal: [Specify Grounds, e.g., for cause, gross misconduct, IP violation].
  • Layoff procedures: [Specify Procedures].
  • Voluntary resignation: The Employee must provide [Number] weeks' written notice.

15. Severance

  • Option A: No Severance: The Employee is not eligible for severance pay.
  • Option B: Severance (Conditional): The Employee may be eligible for severance pay under certain circumstances, as determined by the Employer's severance policy. [Specify Conditions and Policy Details].
  • Accrued but unused PTO will be paid out at separation, in accordance with the Illinois Wage Payment and Collection Act.

16. Anti-Discrimination/Harassment

  • The Employer is an equal opportunity employer and prohibits discrimination and harassment based on race, religion, color, sex, pregnancy, gender identity, sexual orientation, national origin, ancestry, age, marital status, disability, military status, order of protection status, genetic information, or association with a protected status, in accordance with the Illinois Human Rights Act.
  • The Employer has a complaint and reporting procedure for discrimination and harassment.
  • The Employee will complete annual sexual harassment prevention training as mandated by Illinois law.

17. Dispute Resolution

  • Internal grievance process: [Specify Process].
  • Option A: Mediation: Any disputes arising out of or relating to this Agreement will be submitted to mediation.
  • Option B: Arbitration: Any disputes arising out of or relating to this Agreement will be resolved by binding arbitration in accordance with the rules of the American Arbitration Association. This excludes mandatory arbitration of sexual harassment claims, which is prohibited in Illinois.
  • Illinois law will govern the interpretation and enforcement of this Agreement.
  • Venue for any legal disputes will be in [County Name] County, Illinois.

18. Statutory Notices and Wellness

  • The Employee acknowledges receipt of notices regarding Illinois Workers' Compensation, unemployment insurance, and occupational safety/mental health resources.
  • The Employer has policies regarding workplace wellness, including ergonomics and remote workplace safety. [Specify Policies].

19. Workload Management

  • The Employer will ensure reasonable workload management, including sprint planning/capacity, mandatory downtime during on-call rotations, and policies for preventing excessive work hours, in accordance with Illinois overtime and burnout prevention practices.

20. Outside Work

  • The Employee must obtain prior written approval from the Employer before engaging in any external work, freelance projects, or teaching/consulting that overlaps with the Employer's technologies or business.

21. Professional Development

  • The Employer may provide opportunities for continuing professional development, including company-sponsored participation in software conferences, certification courses, or industry events. [Specify Time-Off and Expense Coverage Policy].

22. Code of Conduct and Policies

  • The Employee will comply with the Employer's Code of Conduct and all other HR policies.
  • The Employer's Employee Handbook, IT Acceptable Use Policy, and Remote Work Guidelines are incorporated by reference.
  • The Employee acknowledges receipt and understanding of these policies.

23. Onboarding and Training

  • The Employee will complete required Illinois-specific and industry-standard onboarding and training.
  • The Employer has policies regarding remote onboarding/termination procedures for out-of-office employment.

24. Entire Agreement

  • This Agreement constitutes the entire agreement between the parties and supersedes all prior or contemporaneous communications and proposals, whether oral or written, relating to the subject matter of this Agreement.

25. Amendment

  • This Agreement may be amended only by a written instrument signed by both parties.

IN WITNESS WHEREOF, the parties have executed this Agreement as of the date first written above.

[Company Name]

By: [Name of Authorized Representative]

Title: [Title of Authorized Representative]

[Employee Name]

Signature:

Date:

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