By default, in all but one US State, employees can be fired with no notice for no reason (or for any reason other than a handful of specific exceptions like "because of your race"). The legal departments of most companies feel that having a clearly specified contract would weaken this right, so as a matter of policy they do not have contracts with the majority of employees (this includes most tech employees). They have employees sign separate contracts for things like "keeping all the company's secrets", "granting ownership of copyrights and patents" or "promising not to work for any competitor for some length of time", and these contracts are not tied to their salaries.
You are welcome to decide that you don't like this system, but you will find it difficult to find employment.
In the US we call employment contracts "employment agreements", and we don't tend to think of them as contracts, even though they're legally enforceable as contracts. One of the weird things about living here.
They are absolutely contracts and people who don't treat them as such are just asking for trouble. I don't care what an employer tries to call it. Anything that has legal language and they're expecting me to sign my name on it is a legal contract and I treat it as such.
Every such paper I have received has explicitly noted the following, paraphrased:
- This is not a contract; any contract with us must be signed by the CEO. (Paper is not signed by the CEO.)
- You are an "at will" employee. The employment relationship may be ended at any time, by any party, for any reason, or no reason at all. There are no notice requirements, and any and all obligations of one party to the other are severed at the moment of separation.
- We may change the terms and conditions of your employment at any time. If you don't like it, you are free to leave.
As employment "contracts" go, these were slightly less useful to me than a roll of toilet paper.
> - You are an "at will" employee. The employment relationship may be ended at any time, by any party, for any reason, or no reason at all. There are no notice requirements, and any and all obligations of one party to the other are severed at the moment of separation.
When I made my comment, I was trying to get a handle on just why Americans don't think of these as contracts, and the quoted bit is why I think. An employment contract, to an American, means, for whatever reason, probably because that's how Europeans do it, that the company can't just fire you.
The fact that should the agreement ever turn up in court, it's contract law that will be used to adjudicate it, just doesn't register. Probably because lawsuits are so far away from the American consciousness, something only big companies with huge budgets do with each other. Or ambulance chasers or other such grifters.
About the only thing such papers are good for in court is as proof that an employer-employee relationship existed. You do what we say, and we give you money. It could be used if the employer did not pay you what you were owed for working, for instance, but there is not much else on the paper itself that is enforceable.
The only negotiable point is the rate of pay. The valuable consideration is money for labor. All other terms and conditions of employment are set by the employee manual, which is "do this, just like this, or we fire you".
I guess that makes sense. I've worked for a lot of small companies, though, so most of these I've signed have also been signed by the CEO. I wouldn't be surprised if they tried to treat it like a contract if they wanted to use it against you in court, though.
Bizarre. As a Brit I've never not had one. And I know US companies are perfectly capable of doing them for international employees.
The culture shock I'm feeling at this discovery is worse than discovering the US doesn't have electric kettles, bans crossing the road, or still uses cheques in shops.