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A North Dakota employment contract is an agreement that defines the relationship between an employer and an employee and the rights and responsibilities of both parties. Employers use this contract to ensure their employees are fully aware of their role in the company, their duties as an employee, the amount of compensation they will receive, time off and benefits, and the timeframe of their employment. The document also covers confidentiality, non-compete, punctuality, and termination options.
Employment contracts are not a legal requirement for hiring new employees, but they allow employers and employees to get on the same page and avoid complications down the line.
Contents |
Types (2)
Independent Contractor Agreement – Outlines the professional relationship between an independent contractor and their client.
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Subcontractor Agreement – Establishes a working arrangement between a contractor and a subcontractor.
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Laws
- Labor Statutes: Title 34
- Definition of Employee: § 34-06-01(2)
- Minimum Wage: $7.25/hr (§ 34-06-22)
- Overtime: One and a half (1 ½) times hourly wage after employee has worked more than forty (40) hours in a week (Amin. Code § 46-02-07-02(4)).
- Record Keeping: Employers shall keep records of employee names, SSN, dates of employment, hours worked, wages paid, etc. for a minimum of five (5) years (Admin. Code § 27-02-02-01). Employers shall keep records of wages, job classifications, and other employment conditions of each employee at least two (2) years following their termination (§ 34-06-1-07).
At-Will Employment
Permitted? Yes, unless specified in the employment contract, all employment relationships are considered at-will and can be terminated without notice of cause. However, certain reasons for termination are considered “wrongful termination,” such as a breach of contract (firing the employee before the contract has ended), discrimination (§ 14-02.4-03(1)), public policy (e.g., serving as a juror (§ 27-09.1-17)), and retaliation (§ 34-01-20).
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