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Updated on June 5th, 2023
A Montana employment contract allows a business or organization to enter into a binding agreement with a newly hired employee. The completed document will relay the rights, rules, and responsibilities to which both parties consent. Among the terms included in the contract will be the employee’s duties, wages, benefits, personal leave, sick days, and vacation time. The agreement may also include clauses that prohibit the employee from working for competing businesses and disclosing company information.
Unlike the majority of states, Montana does not allow “at-will” employment. This means that employers cannot terminate an employee without good cause after they have completed their probationary period.
Contents |
Types (2)
Independent Contractor Agreement – A work contract between a self-employed individual or company and their client.
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Subcontractor Agreement – A work contract by which a self-employed individual is hired as a subcontractor by a general contractor.
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Laws
- Labor Statutes: Title 39 (Labor)
- Definition of Employee: § 39-2-903(3)
- Minimum Wage: $9.20/hr (§ 39-3-404, § 39-3-409, Dept. of Labor)
- Overtime: One and a half (1.5) times the employee’s standard wage (§ 39-3-405).
- Record Keeping: Employers must keep personnel records for three (3) years after an employee has been terminated (Rule 2.21.6614, 2.21.6615, 2.21.6617). Furthermore, all employers must keep records of confidential records on the age, sex, and race of their personnel (§ 49-2-102).
At-Will Employment
Permitted? No, employers are not permitted to terminate employees at any time without cause except during the probationary period at the beginning of the worker’s employment, which cannot exceed eighteen (18) months (Part 9).
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