We often wish people we love to stay for us until the last breath. This sounds cliche that we want everyone that matters to us to stay forever. Including in a business. We want our employees to be loyal no matter what condition of the company is. In this case, the employee retention agreement template matters.
With the formal condition in the workplace, it is impossible to retain the employees in a verbal agreement. You need a retention agreement in which this document has terms and conditions agreed by both parties.
Note that some employers try to retain their skillful employees because they are one of the best assets of the company. You can retain your employees in a certain period. If you want to do this, you can do it to specific employees who have a potential skill that can benefit your business. So, it doesn’t have to be all employees.
So, is it possible to do this? Of course, it can be achieved when you handout the key employee retention agreement. This agreement will make sure the employees to stay in the company in a certain period no matter what will happen in the office. As a guarantee, the company usually provides onuses to keep them stay and feel rewarded.
What Are The Elements of The Employee Retention Agreement?
Before you draft the agreement, make sure you understand the elements of the agreement. It is like the common agreement we find, which is very long and consists of so many clauses and terms. Here are some general elements that you have to include:
- Introduction – The introduction usually begins with the general outlook about the retention agreement that should be understood by both parties.
- Recital – This talks about the reasons why you have to hand out the agreement and this talks about the provisions.
- Effectivity – If your employees finally agree with the retention document, then the document should state how long the agreement will be effective. Usually, this is also called the “Retention Term”.
- Duties and responsibilities – The document should also state the old and new responsibilities. The new responsibilities will need to be looked after by the employees after they signed the agreement and the effective date is begun. This part is mostly more specific.
- Salary and other benefits – When you are asking an employee to stay in your company for a certain period, then you need to offer the salary and other benefits on the agreements. State how much the employees will be got by the employees when they stay in your company for a certain period. Make it specific for the salary and also bonuses.
- Termination of employment – Even though your employee has signed the employee retention agreement, the contract termination is still possible. Note that nothing is permanent. You might find your employees damage your business or your company is suffering certain lose and you have to cut some of your best employees to stay running. This can be discussed in the termination section.
Employee Retention Agreement Sample Templates