Updated on June 5th, 2023
A Maryland employment contract is used to establish the terms and conditions of a working relationship between an employee and an employer. The form may be used for both full-time and part-time positions and details the employee’s duties, responsibilities, and role within the company. The employee’s compensation, vacation time, personal leave, and other benefits may also be laid out in the agreement. The document gives both parties a clear understanding of their respective rights and responsibilities ensuring a mutually beneficial work environment.
Independent Contractor Agreement – This agreement is used for contractors to establish a working relationship with their clients.
Subcontractor Agreement – General contractors can use this agreement to hire subcontractors on a large project.
- Labor Statutes: Labor and Employment
- Definition of Employee: § 3-1001(c)
- Minimum Wage:
- Overtime: Employees must be paid one and a half (1.5) times their hourly rate for all work that exceeds forty (40) hours with the following exceptions (§ 3–415):
- Institutions providing on-site care to disabled, sick, or elderly persons (except for hospitals).
- Workers in the agricultural industry (overtime starts after sixty hours) (§ 3–420).
- Record Keeping: Payroll records must be kept for a minimum of (3) years (§ 3–305),(Labor Dept.).
Permitted? Yes (Labor Dept.), at-will employment is permitted in Maryland. Employees may be hired and fired for almost any reason without a contract. However, an employer may not wrongfully terminate an employee for any of the following circumstances:
- Jury duty (§ 8–907).
- Military service.
- Making a complaint to the employer or Commissioner (§ 3–308).
- Refusing to commit criminal acts.
- Retaliation for filing workers’ compensation claims or attempting to enforce rights for receiving overtime.