As the third-largest city in the United States, Chicago offers a vibrant and bustling business landscape for entrepreneurs, corporations, and job-seekers. Unfortunately, due to this large and complex landscape, it can be difficult to understand the laws that govern businesses and employees. One significant feature of the city’s legal landscape that employers should be aware of is at-will employment. Regulations surrounding at-will employment may be confusing, but it is important to follow the law and ensure that your business operates as it should. In this article, we’ll go over the basics of at-will employment and provide simple steps for a business to take during the hiring process.

The term ‘at-will employment’ is defined as an agreement between a business and a worker in which either party can end their relationship at any given time, for any reason. In Chicago, as in most other areas of the US, at-will employment is the default legal standard for employment relationships, meaning that, unless otherwise specified, all work contracts are at-will. This may sound simple but can affect a business in far-reaching ways, such as a company’s potential liability should an employee commit illegal activities in the course of their work. Additionally, this system can avoid long and drawn-out legal issues, such as having former employees claim rights under the contract when they are laid off.

To ensure that at-will employment is legally upheld, businesses should make an effort to protect themselves in the hiring process. One secure practice is to create a proper employee agreement that details specific details about the company’s expectations and stipulates each party’s right to dissolve the contract at any time. Such an agreement should also specify the conditions under which such a divorce may occur, such as dismissal for cause or simple exhaustion of the employee.

Creating an employee agreement also clarifies the types of activities which are considered part and parcel of the employee’s work. Employment contracts should clearly list any activities which are prohibited and detail any specific work procedures, standards of work, and timeline expectations. They should also be cross-referenced with existing city or state regulations relevant to the type of job the employee is expected to perform. If employers want to include a non-compete clause, it should also be specified in the contract, as it is illegal to enforce a non-compete clause which is not part of the written agreement.

For all of these reasons, it’s essential that businesses consult a local legal expert who can provide professional advice and guidance when drawing up an employee agreement. Finding such legal counsel is challenging, especially when you are busy building a business, but here at UpCounsel we can help you find experienced business lawyers in Chicago who understand both local regulations and the specifics of at-will employment.

At-will employment may seem like a simple concept, but it can be complicated to manage and enforce. For a business to effectively protect itself, it’s important to consider the details of an employee’s job and anticipate potential legal liabilities when drawing up contracts. To get started, businesses should contact a local legal expert to create an up-to-date agreement that fits the specifics of the job and includes the company’s expectations.

Topics:

At-Will Employment,

Regulations,

Chicago