Experienced business owners know that having the right contracts can significantly help their companies. For the owners of start up businesses, however, the utilization of contracts may seem somewhat overwhelming. There simply are numerous types of contracts available, so it may be difficult for business owners in Michigan and elsewhere to know which are really necessary.
Some businesses, in Michigan and across the country, choose to hire employees under at-will conditions. Terms of employment, including stipulations such as this, may be spelled out specifically in employment contracts, or included in employee handbooks. What exactly is an at-will employee, and is hiring under this condition good for business?
The desire to protects one's business is something all company owners in Michigan and across the country have. Background checks are used by many business owners before employment contracts are signed to ensure that those who apply for the jobs they are offering meet company standards. While taking this step may be a given for owners of larger businesses, for owners of smaller businesses, background checks may be an afterthought.
Business owners often rely on employee contracts in order to protect their business. There is nothing wrong with this practice. These contracts set certain obligations employers are to keep to their employees and vice versa. One type of contract often used, though, is being questioned by some as to whether or not it is good or bad for businesses and employees in Michigan and elsewhere. The contracts in question are known as non-compete agreements.
Company employment contracts come in many forms. The two most commonly used, though, are those that are written and those that are implied. Michigan business owners can help protect themselves and their company by having contracts that legally protect the best interests of their business.
Michigan is an at will employment state, meaning that employers are able to terminate employees at any time, for any reason; employees are also free to leave at any time and without notice. However, an employment contract adds obligations for employees and employers alike; while they do away with the "at will" component implicit in contract-less employee-employer relations, they can specify the specific job duties that an employee must perform as well as what constitutes terminable offenses.
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