When drafting employee NDAs, the disclosing party (employer) should ensure that confidential information is defined broadly enough to cover trade secrets, proprietary technology, customer data, financial records, and any other sensitive business information.
Important provisions include clear restrictions on disclosure or unauthorized use of confidential information, obligations that continue even after employment ends, and explicit clarification of ownership rights over intellectual property created during employment.
It is recommended to set reasonable time limits for confidentiality obligations, ensure compliance with state labor and privacy laws, and avoid overly broad clauses that may be deemed unenforceable. Consulting a legal professional helps align the NDA with both company needs and applicable employment regulations.