An offer letter is a step closer to working for a new employment as it describes the basic terms of the employment position offered by a company. This letter typically includes some basic information about the position, such as job title, starting date, salary and bonuses, pay schedule, fringe benefits, at-will / just cause classification, and the deadline to accept the position. An offer letter is really important to both the employer and employee. For employers, it’s crucial to include the right terms as the offer letter can serve as the foundation for the working relationship for many years. On the other hand, if you’ve received an offer letter from an employer to a new job, it’s a good idea to read it carefully and have it reviewed by an experienced employment attorney to ensure your interests are protected.
Most employers will turn to an attorney to draft their employment contracts. It only makes sense for you to have an attorney review the same contract. For employers, it’s smart to put things into writing to avoid future lawsuits regarding the terms of employment.
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It pays to negotiate
Often the first employment contract is a starting place. From there, you should negotiate to secure terms that work for you. Speaking with an attorney in order to strategize can really pay dividends.
Are offer letters and employment agreements the same thing?
Offer letters aren’t employment contracts, but these letters can give you some of the same contractual rights. Offer letters serve as important evidence if your employer takes away any of your job responsibilities and benefits after you accept the job. Make sure the key terms, including your duties, are outlined in the offer letter.
As an employer, should I have an employment agreement for my at-will employees?
Most states across the country follow the employment at will model. This employment classification enables employers to fire an employee at any time, for any reason or for no reason. Similarly, an employee may quit at any time, for any reason or for no reason. Terms within an offer letter can establish an at-will relationship.
What terms are usually included in an offer letter?
A typical offer letter will include the salary, payment structure, binge benefits (if any), job title, name of supervisor, employee classification (at-will, 1099 etc.), the start date, and any other terms and conditions of employment.
What should I do if an offer letter contains a term that I refuse to accept?
If you haven’t signed it then you can try to negotiate. If you think your employer will be unwilling to budge then think about retaining an employment lawyer who can strategize with you and even potentially negotiate on your behalf with your employer.
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