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SAMPLE EMPLOYMENT AGREEMENT
This AGREEMENT, entered into this ___ day of [Month], 20__, between [Business], a [state of
incorporation] (the "Company"), and [name of employee] (the "Employee"),
WHEREAS, the parties hereto desire to enter into this Agreement to define and set forth the terms
and conditions of the employment of the Employee by the Company;
NOW, THEREFORE, in consideration of the mutual covenants and agreements set forth below, it
is hereby covenanted and agreed by the Company and the Employee as follows:
1. Position; Employment Period
The Company hereby employs the Employee as its [position], and the Employee hereby agrees to
serve in such capacity, for the period beginning [start date], 20__, and ending on the date on which the
Employee's employment is terminated in accordance with paragraph 8 below (the "Employment Period").
2. Performance of Duties
The Employee agrees that during the Employment Period he shall devote his full business time to
the business affairs of the Company and shall perform his duties faithfully and efficiently subject to the
direction of the [President] of the Company; provided that the foregoing shall not limit or prevent the
Employee from serving on the board of directors of charitable organizations or other business corporations
not in competition with the Company. The Employee shall not be assigned duties and responsibilities that
are not generally within the scope and character associated or required of other employees of similar rank
(a) Subject to the following provisions of this Agreement, during the Employment Period the
Employee shall be compensated for his services as follows:
(b) He shall receive an annual salary, payable in monthly or more frequent installments, in an
amount which shall initially be [$ amount] per annum, subject to such increases as may from time to time
be determined by the [President] of the Company.
[specify pension and other non-salary benefits.]
(c) He shall be entitled to vacations of not less than [amount] per year.
(d) He shall be entitled to such other perquisites as may be customarily granted by the Company to
employees of similar rank and position.
Subject to the provisions of paragraph 8, if the Employee's employment is terminated during the
Employment Period by reason of his Disability (as defined below), the Employee shall continue to receive
an annual salary and benefits in accordance with paragraphs 3(a) and 3(b) through the end of the [number]
full calendar month of such disability but not in any event beyond the end of the Employment Period. For
purposes of this Agreement the term "Disability" means a physical or mental disability which renders the
Employee incapable of performing his duties under this Agreement and which disability has existed for at
least [number] months, as determined by an independent physician selected by the Company and agreed to
by the Employee. Any salary payments to the Employee shall be reduced by the amount of any benefits
paid for the same period of time under the Company's disability insurance programs.
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