Mastering the Art of Negotiating Your Employment Contract

Starting a new job is exciting— but before you sign on the dotted line, it’s important to make sure your employment contract sets you up for success. Many people feel nervous about “rocking the boat” by negotiating, but the truth is contracts are meant to be discussed. With a little preparation, you can protect your interests and enter your new role with confidence.

Step 1: Prioritize What Matters Most

Not every detail in your contract will be worth negotiating, so focus on the issues that have the biggest impact on your career and peace of mind.

• Deal-Breakers: Decide what’s non-negotiable for you—whether that’s your base salary, flexibility, or the scope of a non-compete agreement.

• Know What’s Normal: Do a little research on what’s standard in your industry. Knowing the market average for salary, severance, or benefits will give you a stronger position.

• Balance is Key: Remember, contracts are about fairness on both sides. Employers want to protect their business, while you want stability and security. A good contract does both.

Step 2: Understand the Common Sticking Points

Every contract is different, but there are a few terms that often come up in negotiations:

Employers often focus on:

• Non-compete or non-solicit clauses (how restrictive they are and how long they last)

• What counts as “cause” for termination

• Performance goals and how success is measured

• Ownership of intellectual property (like ideas, projects, or products you create at work)

• How disputes are resolved if they arise

Employees often prioritize:

• Salary, bonuses, and severance protections

• Clear definition of what qualifies as a “good reason” to resign

• Narrowing the scope of non-compete agreements

• What happens to stock options or equity if the job ends

• Protection against personal liability (like indemnification for legal expenses)

Step 3: Document Everything

Even the friendliest verbal promises won’t protect you unless they’re written into the contract.

• Keep Track: Save drafts, emails, and notes from conversations.

• Get Clarity: Make sure both you and the employer are on the same page about final terms.

• Put It in Writing: Any changes should be included in the contract itself or in a formal amendment. Avoid relying on “handshake agreements.”

Final Thoughts

Negotiating an employment contract isn’t about being difficult—it’s about making sure your new role works for both you and your employer. Taking the time to clarify terms now can save you stress, money, and legal headaches down the road.

If you’re unsure about your contract or want help negotiating, it’s always smart to get advice from an attorney who understands employment agreements. A little guidance up front can give you peace of mind as you start this next chapter of your career. Our team is here to guide you through the process so you can start your new role with confidence.