Tennessee employment contract template
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How Tennessee employment contract Differ from Other States
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Tennessee enforces ‘at-will’ employment, allowing either party to terminate employment without cause, subject to exceptions.
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Non-compete agreements are strictly interpreted and generally disfavored under Tennessee law compared to some other states.
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Tennessee law does not require employers to provide written employment contracts except for specific job types or agreements.
Frequently Asked Questions (FAQ)
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Q: Is a written employment contract required in Tennessee?
A: No, Tennessee does not require written employment contracts for most jobs, but having one is recommended.
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Q: Are non-compete clauses enforceable in Tennessee?
A: Yes, but Tennessee courts interpret them narrowly and only enforce them if they are reasonable in scope and duration.
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Q: Can an employer terminate an employee without cause in Tennessee?
A: Yes, Tennessee follows at-will employment, allowing termination without cause unless limited by contract or law.
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Tennessee Employment Contract
This Employment Contract (the "Agreement") is made and entered into as of this [Date] by and between [Company Name], a [State of Incorporation] corporation with its principal place of business at [Company Address] (the "Employer"), and [Employee Legal Name], residing at [Employee Address] (the "Employee").
1. Identification of Parties
- Employer: [Company Name], [Company Address], Principal Contact: [Principal Contact Name]
- Corporate Entity Details: [e.g., LLC, Corporation, Partnership]
- Employee: [Employee Legal Name], [Employee Address], [Employee Phone Number], [Employee Email], Social Security Number: [Employee SSN - Optional and with Consent]
2. Employment Details
- Job Title: [Job Title]
- Job Description: [Detailed Job Description]
- Core Responsibilities:
- [Responsibility 1]
- [Responsibility 2]
- [Responsibility 3]
- Reporting Relationship:
- Reports to: [Supervisor's Job Title/Name]
- Supervisory Scope: [List of Employees Supervised, if any]
- Work Location:
- Primary Work Location: [Primary Work Location]
- Alternative Work Location: [Alternative Work Location, if any]
- Remote/Hybrid Option:
- Option A: Fully On-Site
- Option B: Hybrid (Specify Days): [Specify Days]
- Option C: Fully Remote
- Employment Classification:
- Option A: Full-Time
- Option B: Part-Time
- Option C: Temporary
- Option D: Seasonal
- Option E: Intern
- FLSA Status:
- Option A: Exempt
- Option B: Non-Exempt
3. Type and Term of Employment
- Option A: Fixed-Term Employment
- Duration: [Number] months
- Start Date: [Start Date]
- End Date: [End Date]
- Renewal Guidelines: [Renewal Criteria]
- Performance Evaluation Criteria: [Performance Metrics]
- Option B: Indefinite/At-Will Employment
- At-Will Employment: The Employer and Employee acknowledge that this is an at-will employment relationship, meaning that either party may terminate the employment relationship at any time, with or without cause or notice, subject to applicable laws.
- Just Cause Termination:
- Option A: Just Cause Clause Included: Termination by the Employer requires just cause. [Define "Just Cause" Here]
- Option B: Just Cause Clause Excluded
- Compliance Statement: This Agreement is subject to and compliant with all applicable Tennessee and federal anti-discrimination and retaliation laws.
4. Compensation and Benefits
- Compensation:
- Base Salary: [Salary Amount] per [Pay Period, e.g., year, month]
- Hourly Wage: [Hourly Wage Amount]
- Commission: [Commission Structure Details]
- Incentive/Bonus Plan: [Bonus Plan Details]
- Pay Frequency: [e.g., Bi-weekly, Monthly]
- Pay Method:
- Option A: Check
- Option B: Direct Deposit
- Authorized Deductions: [List of Deductions, e.g., Taxes, Insurance Premiums]
- Overtime: Non-exempt employees will be compensated for overtime hours worked in excess of 40 hours in a workweek at a rate of one and one-half times their regular rate of pay, as required by the Fair Labor Standards Act (FLSA) and Tennessee law.
- Variable Compensation: [Details of Variable Compensation Arrangements]
- Benefits:
- Health Insurance: [Health Insurance Plan Details]
- Dental Insurance: [Dental Insurance Plan Details]
- Vision Insurance: [Vision Insurance Plan Details]
- Disability Insurance: [Disability Insurance Plan Details]
- Life Insurance: [Life Insurance Plan Details]
- 401(k)/Pension Plan: [401(k)/Pension Plan Details]
- Sick Leave: [Sick Leave Policy Details]
- Parental and Family Leave: [Parental and Family Leave Policy Details]
- Paid Time Off (PTO)/Vacation: [PTO/Vacation Policy Details]
- Holiday Schedule: [List of Paid Holidays]
- Tuition Reimbursement: [Tuition Reimbursement Policy Details]
- Other Perks: [List of Other Perks]
5. Working Hours and Workplace Policies
- Working Hours:
- Daily Schedule: [Daily Schedule, e.g., 9:00 AM - 5:00 PM]
- Weekly Schedule: [Weekly Schedule, e.g., Monday - Friday]
- Flexibility/Shift Requirements: [Flexibility/Shift Requirements Details]
- Breaks:
- Rest Periods: [Rest Period Policy Details]
- Meal Breaks: [Meal Break Policy Details]
- On-Call Policies: [On-Call Policy Details, if applicable]
- Mandatory Attendance: [Mandatory Attendance Policy Details]
- Code of Conduct: [Reference to Code of Conduct Document]
- Acceptable Use of Technology: [Reference to Acceptable Use Policy Document]
- Confidentiality: Employee shall maintain the confidentiality of all company information.
- Workplace Policies: [Reference to Employee Handbook and Other Policies]
- Professional Appearance: [Professional Appearance Expectations]
6. Intellectual Property Rights
- Option A: Employer Ownership
- All work products, inventions, developments, or discoveries made by the Employee during the term of employment, whether during or outside of regular working hours, and whether or not directly related to the Employee's job duties, shall be the sole and exclusive property of the Employer.
- Assignment of Inventions: Employee agrees to assign all rights, title, and interest in such work products, inventions, developments, or discoveries to the Employer.
- Option B: Limited Ownership
- Only work products, inventions, developments, or discoveries directly related to the Employee's job duties are the sole and exclusive property of the Employer.
- Assignment of Inventions: Employee agrees to assign all rights, title, and interest in such work products, inventions, developments, or discoveries to the Employer.
- Scope of Work: [Specify whether only work within job duties or also related works/hour restrictions]
7. Confidentiality
- Definition of Confidential Information: [Detailed Definition of Confidential Information]
- Duration of Protection: [Duration of Confidentiality Obligation, e.g., During Employment and Indefinitely Thereafter]
- Exceptions: [List of Exceptions to Confidentiality Obligation, e.g., Disclosures Required by Law]
8. Restrictive Covenants
- Option A: No Restrictive Covenants
- Option B: Restrictive Covenants Included
- Non-Compete: Employee agrees not to engage in any business that competes with the Employer within a [Geographic Scope] for a period of [Duration] following the termination of employment. Scope of prohibited activities: [Detailed list of activities]
- Non-Solicitation: Employee agrees not to solicit employees or clients of the Employer for a period of [Duration] following the termination of employment.
- Non-Disparagement: Employee agrees not to disparage the Employer, its officers, directors, employees, or products/services, at any time.
9. Separation Procedures
- Voluntary Resignation: Employee shall provide [Number] days' written notice of resignation.
- Termination for Cause: Employer may terminate employment for cause, including but not limited to: [List of Potential Grounds for Termination, e.g., Misconduct, Incapacity, Policy Breach].
- Termination Without Cause: Employer may terminate employment without cause at any time, subject to the at-will employment provision.
- Layoff: Employment may be terminated due to layoff for economic or business reasons.
- Mutual Separation: Employment may be terminated by mutual agreement of the Employer and Employee.
- Summary Dismissal: Employer may terminate employment immediately for egregious misconduct.
- Severance Payment:
- Option A: No Severance Payment
- Option B: Severance Payment Included: [Severance Payment Terms]
- Payout of Accrued Benefits: [Details Regarding Payout of Accrued Benefits]
- Company Property: Employee shall return all company property upon termination of employment.
10. Dispute Resolution
- Internal Grievance Procedures: [Step-by-Step Internal Grievance Procedures]
- Dispute Resolution Method:
- Option A: Mediation
- Option B: Arbitration
- Option C: Litigation
- Governing Law: This Agreement shall be governed by and construed in accordance with the laws of the State of Tennessee.
- Venue: The venue for any legal action arising out of or relating to this Agreement shall be in [County Name] County, Tennessee.
- Mediation: Prior to initiating any legal action, the parties agree to participate in non-binding mediation.
- Waiver of Jury Trial: [Optional: Waiver of Jury Trial Clause]
11. Compliance with Tennessee Employment Laws
- Employment-at-Will: Employment is at will, as governed by Tennessee law.
- Minimum Wage and Overtime: Employer complies with Tennessee's minimum wage and overtime standards.
- Tennessee Healthy Workplace Act: Employer prohibits workplace bullying in accordance with the Tennessee Healthy Workplace Act.
- Workers' Compensation: Employer maintains workers' compensation insurance as required by Tennessee law.
- E-Verify: Employer complies with Tennessee's E-Verify law.
12. Anti-Discrimination and Equal Employment Opportunity
Employer is an equal opportunity employer and does not discriminate on the basis of race, color, religion, sex, national origin, age (40 or older), disability, sexual orientation, or veteran status, or any other characteristic protected by federal or Tennessee law.
- [Optional: Detailed Anti-Discrimination Policy]
- Complaint Reporting Channels: [Procedure for Reporting Discrimination Complaints]
13. Additional Policies
- Compliance with Health and Safety Standards: Employer complies with OSHA and the Tennessee Occupational Safety and Health Act.
- Required Training/Licensing: [List of Required Training/Licensing]
- Employee Handbook Acknowledgment: Employee acknowledges receipt and understanding of the Employee Handbook.
- Background Check/Drug Testing: [Background Check/Drug Testing Requirements]
- Eligibility to Work: Employee represents that they are eligible to work in the United States.
14. Amendment and Waiver
This Agreement may be amended only by a written instrument signed by both parties. No waiver of any provision of this Agreement shall be effective unless in writing and signed by the party against whom the waiver is sought to be enforced.
15. Severability
If any provision of this Agreement is held to be invalid or unenforceable, the remaining provisions shall remain in full force and effect.
IN WITNESS WHEREOF, the parties have executed this Agreement as of the date first written above.
____________________________
[Employer Representative Name]
[Employer Representative Title]
[Company Name]
____________________________
[Employee Legal Name]
Witness: ____________________________ [Witness Name] (Optional)