Contracts prevent employers from getting burned in hot markets

Poorly drafted agreements provide no protection for employer
By David Corry
|Canadian HR Reporter|Last Updated: 05/31/2007

In hot labour markets, employment contracts have a valuable role to play in protecting employers from the pitfalls that can come with a weaker negotiating position.

However, if poorly drafted or improperly implemented, written agreements will provide none of the protections the employer seeks and may actually increase its financial exposure.

Due to the historic inequality of bargaining power between employers and employees, courts will carefully review all factors to ensure an employee’s rights are protected.