Kentucky employment contract template

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How Kentucky employment contract Differ from Other States

  1. Kentucky recognizes at-will employment, enabling either party to terminate the employment relationship for any legal reason without notice.

  2. Unlike some states, Kentucky does not mandate paid sick leave or vacation time unless specified in the employment contract.

  3. Kentucky has specific requirements for workers’ compensation coverage that employers must address in their employment contracts.

Frequently Asked Questions (FAQ)

  • Q: Is a written employment contract required in Kentucky?

    A: No, employment contracts are not legally required but are recommended to clearly outline terms and conditions.

  • Q: Can Kentucky employers terminate employees without cause?

    A: Yes, Kentucky is an at-will employment state, allowing employers to terminate employees for any legal reason.

  • Q: Are non-compete agreements enforceable in Kentucky?

    A: Yes, but non-compete agreements must be reasonable in scope, duration, and geographic area to be enforceable.

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Kentucky Employment Contract

This Employment Contract (the “Agreement”) is made and entered into as of [Date], by and between [Employer Business Name], a [State] corporation with its principal place of business at [Employer Address] (“Employer”), and [Employee Full Legal Name], residing at [Employee Address] (“Employee”). Employer’s EIN (if applicable): [Employer EIN]. Employee’s SSN (if necessary): [Employee SSN]. Employer is represented by [Employer Representative Name].

1. Employment

  • Employee's Job Title: [Job Title]
  • Duties and Responsibilities: [Detailed Description of Duties and Responsibilities]
  • Department/Supervisor: [Department or Supervisor]
  • Primary Work Location: [Work Location, including options for remote or hybrid work]

2. Employment Type

  • Option A: Full-Time
  • Option B: Part-Time
  • Option C: Temporary
  • Option D: Contract-Based
  • Exempt or Non-Exempt (under FLSA): [Exempt or Non-Exempt]
    • Explanation (if necessary): [Explanation of Exemption Status]

3. Term of Employment

  • Option A: At-Will Employment
    • Either party may terminate employment at any time for any lawful reason. Employer reminds the employee of their rights under federal and Kentucky-specific laws, protecting against discrimination and retaliation.
  • Option B: Fixed-Term Contract
    • Start Date: [Start Date]
    • End Date: [End Date]
    • Renewal Terms: [Renewal Terms]
    • Evaluation Conditions: [Evaluation Conditions]
  • Option C: Remove unused clauses.

4. Compensation and Benefits

  • Compensation:
    • Option A: Salary: [Salary Amount] per [Pay Period]
    • Option B: Hourly Wage: [Hourly Wage Amount]
    • Option C: Salary Grade: [Salary Grade]
    • Option D: Commission Structure: [Commission Structure Details]
  • Pay Frequency: [Pay Frequency]
  • Payment Method: [Payment Method]
  • Overtime: Eligibility and Calculation: [Overtime Details, Kentucky: Over 40 hours/week]
  • Incentive/Bonus Compensation: [Incentive/Bonus Details]
  • Benefits:
    • Medical Insurance: [Yes/No, Details]
    • Dental Insurance: [Yes/No, Details]
    • Vision Insurance: [Yes/No, Details]
    • Life Insurance: [Yes/No, Details]
    • Disability Insurance: [Yes/No, Details]
    • Retirement/401(k) Plan: [Yes/No, Details]
    • Paid Time Off (PTO): [Yes/No, Details]
    • Sick Leave: [Yes/No, Details]
    • Vacation Days: [Yes/No, Details]
    • Parental Leave: [Yes/No, Details]
    • Holidays: [Yes/No, Details]
  • Option E: Include or exclude benefits above as needed.

5. Expense Reimbursement

  • Allowable Expenses: [Description of Allowable Expenses]
  • Approval Process: [Expense Approval Process]
  • Reimbursement Method: [Expense Reimbursement Method]

6. Work Schedule and Workplace Standards

  • Days and Hours: [Days and Hours Expected to Work]
  • Overtime Policies: [Overtime Policies]
  • Flexibility Options: [Work Schedule Flexibility Options]
  • Dress Code/Professional Conduct: [Dress Code and Standards of Conduct]
  • Option A: Add more detailed workplace policies.
  • Option B: Remove as needed.

7. Employee Handbook

  • Employee will receive and acknowledge the Employee Handbook, which covers workplace safety, conduct, and other important policies.
  • Option: Separate manual reference: [Yes/No]

8. Intellectual Property

  • Option A: Ownership of work product, inventions: All work product and inventions created by Employee during employment shall be the sole property of Employer.
  • Option B: Assignment of rights/invention agreements apply: [Yes/No]. Agreement attached as Exhibit A.
  • Option C: Omit clauses if not relevant to the position.

9. Confidentiality

  • Protection of trade secrets, business information: Employee agrees to maintain the confidentiality of Employer's trade secrets and confidential business information.
  • Restrictions during and post-employment: [Details of Restrictions]
  • Non-disclosure scope: [Details of Non-disclosure Scope]
  • Duration: [Duration of Confidentiality Obligations]
  • Exceptions: [Exceptions to Confidentiality Obligations, e.g., reporting to authorities]

10. Non-Solicitation (Optional)

  • Option A: Employee agrees not to solicit clients or employees of Employer for a period of [Number] months/years following termination of employment.
  • Option B: Remove clause.

11. Non-Compete (Optional - Kentucky Requirements Apply)

  • Option A: Employee agrees not to compete with Employer within [Geographic Area] for a period of [Number] months/years following termination of employment. Kentucky courts scrutinize non-competes for reasonableness of scope, geography, and duration.
  • Option B: Remove clause.

12. Termination

  • Grounds for Termination: [Grounds for Termination]
  • Notice Requirements: [Notice Requirements for Termination]
  • Resignation Process: [Employee Resignation Process]
  • Summary Dismissal (for cause/misconduct): [Conditions for Summary Dismissal]
  • Severance Arrangements: [Severance Package Details]
  • Option A: Customize or remove for employer's policies.

13. Post-Termination Obligations

  • Final Pay: [Terms for Final Pay]
  • Return of Company Property: [Requirement to Return Company Property]
  • Health Insurance Continuation (COBRA): [COBRA/Kentucky Mini-COBRA Details, if applicable]

14. Anti-Discrimination and Equal Employment Opportunity

Employer complies with all federal and Kentucky state anti-discrimination laws, including but not limited to those prohibiting discrimination based on race, color, religion, national origin, sex, age, disability, genetic information, and pregnancy.

  • Option A: Include expanded protections: [Include/Exclude details]

15. Wage and Hour Laws

Employer complies with all federal and Kentucky wage and hour laws, including minimum wage, compensable hours, and child labor limitations (if applicable).

16. Workplace Safety and Workers' Compensation

Employer provides a safe and healthy workplace and complies with Kentucky Occupational Safety and Health (KYOSH) standards. Employee is covered by workers' compensation insurance.

  • Option A: Detail reporting requirements and procedures: [Include Reporting Requirements]

17. Dispute Resolution

  • Option A: Internal Complaint/Grievance Process: [Details of Internal Process]
  • Option B: Mediation: [Details of Mediation Process]
  • Option C: Arbitration: [Details of Arbitration Process]
  • Option D: State/Federal Court: [Specify Court]
  • Choice of Law and Jurisdiction: This Agreement shall be governed by and construed in accordance with the laws of the Commonwealth of Kentucky.
  • Option E: Select or remove different mechanisms.

18. Employment Verification and Background Checks

  • Circumstances for employment verification/references, background checks, and pre-employment screenings: [Details of Verification and Screening Processes]
  • Fair Credit Reporting Act (FCRA) Notices: [Applicable FCRA Notices, if any]

19. Additional Policies

  • Option A: Drug and Alcohol Policy: [Details of Policy]
  • Option B: Social Media and Technology Use: [Details of Policy]
  • Option C: Add employer-specific rules or policies: [Add details as necessary]
  • Option D: Remove any policies as needed.

20. Miscellaneous

  • Severability: If any provision of this Agreement is held to be invalid or unenforceable, the remaining provisions shall remain in full force and effect.
  • Integration/Entire Agreement: This Agreement constitutes the entire agreement between the parties and supersedes all prior agreements and understandings, whether written or oral.
  • Assignment: This Agreement may not be assigned by either party without the written consent of the other party.
  • Modifications/Amendments: This Agreement may only be modified or amended in writing signed by both parties.

21. Signature

  • Employer:

    ____________________________
    [Employer Representative Name]
    [Employer Representative Title]
    Date: [Date]

  • Employee:

    ____________________________
    [Employee Full Legal Name]
    Date: [Date]

  • Optional: Witness/Attorney Attestation: [Space for Attestation]

22. Notices (Optional)

  • Option A: Federal E-Verify Participation Notice: [Include Notice, if applicable]
  • Option B: Mandatory Labor Law Posting Acknowledgment: [Include Acknowledgment]
  • Option C: State-Specific Notices (Kentucky Industry/Wage Order Laws): [Add Notices, if relevant]

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