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Common ways employees can breach an employment contract

On Behalf of | Dec 19, 2023 | Business Transactions |

Employees under contract are generally savvier about their rights than those in previous eras. Interestingly, this has made many employers overly focused on ensuring they do nothing to violate the terms of an employment contract.

Unfortunately, losing focus on your own rights during a contracted term of employment can leave an employer vulnerable. For example, you may not notice right away if an employee fails to uphold their side of the agreement.

Here are three ways employees commonly violate employment contracts.

Performance failure

Employment contracts outline all aspects of the working relationship, such as working hours, job tasks and quality standards. Employees who fail to deliver (such as excessive absences or poor work) are in violation of the contract. You may be able to resolve the matter between you, but if not, a legal opinion could help.

Confidential information disclosure

Contracted employees often have access to sensitive company information like trade secrets and business plans. Your employment contract likely forbids them from disclosing confidential data as it could damage your business substantially. If they share your secrets regardless, a legal remedy may help you minimize the possible damage.

Improper company exit

A third way an employee can breach a contract is by leaving the company early or without proper notice or consent. Violating the employee termination procedures outlined in the agreement can harm employers in several ways. For example, you may experience gaps in productivity and face costly training expenses to fill the vacant position.

California is known as a worker-friendly employment law state. Having experienced legal guidance can help you strengthen your contracts and minimize other employee-related risks.