Employment Contract Considerations
Going to work for a competitor or troubled company
When going to work for a competitor or a troubled company then there are some financial considerations that have to be taken into account. First and foremost assume the job will only last a year and that you will need to look for another position while you are out of work. Given that assumption an employment contract is a must.
The employment contract has everything spelled out including grounds for termination, payments, insurance coverage, re-location (if you move), out placement services, and what can be disclosed. Attorney’s fees should be covered, in additionyou should retain the right to select the attorney to be used.
Bonus should cover lost benefits at current place of employment such as vesting and unpaid bonuses. In addition there should be some amount for the “risk” taken for leaving a “sure thing” and going to a competitor or a troubled company.
Expense should include cost differential if you are moving from a low cost housing market to a high cost market. Moving travel expenses, broker commissions, pre-payment penalties, interest rate differentials and moving expenses for all items such as extra cars, boats, RVs etc.
Bonus should have two components short term 12 to 18 months and long term 3 to 5 years.
Termination & Compensation
The contract should cover what will be paid by whom and when. For example if you were moved will they move you back, will they pay for outplacement, status of your bonus, recommendations, and insurance coverage after termination.
Changing jobs is risky business. Janco Associates, Inc. can help you in the process. We can act as your agents to help you negotiate your contract or advise you on what you have been offered.
For foriegn assginments there are special considerations, click here
IT Employment News
White House ready to retaliate against China for OPM data breachAugust 2nd, 2015
The White House announced on Saturday that they are planning to retaliate against China for recent data breach of the Office of Personnel Management affecting more than 20 million Americans. The Obama administration is still debating the specific response and is not expected to be decided for weeks to come as officials formulate a plan that won't provoke a counter attack.- more info
Huntsman: US needs to deal with China hacksAugust 2nd, 2015
Jon Huntsman, former ambassador to China, on Sunday said the government has to face the fact that China was hacking the U.S. "Yes, they do it. Yes, the state is behind it," he told host John Catsimatidis on "The Cats Roundtable" on New York's AM 970.- more info
Five signs you're letting your job search drive youAugust 2nd, 2015
There are times in life when it pays to be a passenger and others when it's best to be in the driver's seat. When it comes to a job search, you can't afford not to take the wheel. So how can you tell if you're in the fast lane or letting your job search drive you? This doesn't mean you should ignore them altogether.- more info
Billy Joel Boulevard? N.Y. lawmakers question if honor should be given to the livingAugust 1st, 2015
Kennedy Center Honoree Billy Joel and Alexis Roderick arrive at the Kennedy Center Honors gala dinner in Washington in 2013. Kennedy Center Honoree Billy Joel and Alexis Roderick arrive at the Kennedy Center Honors gala dinner in Washington in 2013.- more info
Companies are giving their workers benefits instead of raisesAugust 1st, 2015
Once a staple of the American workplace, the annual raise is turning into a relic of the pre-crisis economy as companies turn to creative - and cheaper - ways to compensate their employees. More businesses are upping their spending on benefits such as one-time bonuses, health care and paid time off, according to recent survey data.- more info