A Virginia employment contract is used during the hiring process to institute the terms and conditions of a particular employment position. While the agreement’s primary purpose is to relay employee responsibilities and pay, it also details company benefits, days off, confidentiality, and whether the proposed job is subject to a probationary period. If the employer and prospective employee find the contract terms suitable, they may sign the form to put the agreement into effect and establish a formal working relationship.
Employer-employee relationships continue to evolve well after the initial hiring process, like when an employee is rewarded with a raise or promotion. To update the agreement terms, the parties must authorize the changes in writing and attach the amendments to the employment contract.
Independent Contractor Agreement – Spells out the conditions of a working relationship between a self-employed individual or entity and their client.
Subcontractor Agreement – Used when hiring a subcontractor to perform work for a general or “prime” contractor.
- Labor Statutes: Title 40.1
- Definition of Employee: § 40.1-28.9(A)
- Minimum Wage: $11.00/hr (§ 40.1-28.10(C))
- Overtime: One and a half times (1.5) the employee’s standard rate (§ 40.1-29.2(B)).
- Record Keeping: Employers must keep records for payroll, federal and state employment and income tax returns, federal W2 and 1099 forms, and all other relevant documents for four (4) years (VAC § 5-32-10(B)).
Permitted? Yes. At-will employment is legal in Virginia, meaning that an employee may be fired or quit their job for any reason. That said, employers cannot fire employees for unlawful reasons, including when:
- The employer’s motive violates public policy;
- The termination violates an employment contract;
- The termination is based on discrimination; or
- The termination is in retaliation for exercising a legal right.