Permanent Employment Contract for Canada

Permanent Employment Contract Template for Canada

A comprehensive legal agreement governed by Canadian employment law that establishes a permanent employment relationship between an employer and employee. This contract outlines all essential terms and conditions of employment, including job responsibilities, compensation, benefits, working hours, leave entitlements, and termination provisions. The document ensures compliance with both federal and provincial employment standards while protecting the interests of both parties. It incorporates mandatory requirements under Canadian labor laws, human rights legislation, and relevant provincial employment standards acts.

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What is a Permanent Employment Contract?

This Permanent Employment Contract is designed for use in establishing formal, ongoing employment relationships within the Canadian legal framework. It serves as a fundamental document for businesses operating in Canada who are hiring permanent employees, whether full-time or part-time. The contract incorporates essential provisions required by Canadian federal and provincial employment laws, including minimum employment standards, human rights protections, and workplace safety requirements. It is particularly important as it clearly defines the rights, obligations, and expectations of both employer and employee, helping prevent future disputes and ensuring legal compliance. The document should be customized based on the specific province of employment, as employment standards vary by jurisdiction, and should be reviewed periodically to ensure continued compliance with evolving employment legislation.

What sections should be included in a Permanent Employment Contract?

1. Parties: Identification of the employer and employee with full legal names and addresses

2. Background: Brief context about the employment relationship and purpose of the agreement

3. Definitions: Key terms used throughout the agreement

4. Position and Duties: Job title, role description, responsibilities, and reporting relationships

5. Term and Hours of Work: Commencement date, work schedule, and hours expectations

6. Compensation: Base salary, payment frequency, and review process

7. Benefits: Health insurance, retirement plans, and other standard benefits

8. Vacation and Leave: Annual vacation entitlement, statutory holidays, and various leave policies

9. Probationary Period: Initial evaluation period and conditions

10. Confidentiality: Protection of company confidential information and trade secrets

11. Intellectual Property: Ownership of work product and innovations

12. Non-Solicitation: Restrictions on soliciting employees or customers

13. Termination: Grounds for termination and notice requirements

14. Governing Law: Applicable jurisdiction and legal framework

15. General Provisions: Standard boilerplate clauses including severability and amendments

What sections are optional to include in a Permanent Employment Contract?

1. Remote Work: Terms for working from home or remote locations, used when remote work is permitted

2. Commission Structure: Details of sales or performance-based compensation, included for sales roles

3. Non-Competition: Post-employment competition restrictions, used for senior roles or when dealing with sensitive information

4. Stock Options: Terms of equity compensation, included when applicable

5. Relocation: Relocation assistance and terms, used when employee is moving for the position

6. International Travel: Terms for international work assignments, included for roles requiring travel

7. Flexible Working Arrangements: Terms for flexible hours or compressed work weeks, used when non-standard arrangements apply

8. Training Requirements: Mandatory training and professional development obligations, used for regulated professions or specialized roles

What schedules should be included in a Permanent Employment Contract?

1. Schedule A - Job Description: Detailed outline of position responsibilities and requirements

2. Schedule B - Compensation Details: Comprehensive breakdown of salary, bonuses, and benefits

3. Schedule C - Company Policies: Key workplace policies the employee must adhere to

4. Schedule D - Benefit Plans: Details of insurance and benefits coverage

5. Appendix 1 - Code of Conduct: Company's code of conduct and ethical guidelines

6. Appendix 2 - Confidentiality Agreement: Detailed confidentiality obligations and procedures

7. Appendix 3 - Remote Work Policy: Specific guidelines for remote work arrangements when applicable

Authors

Alex Denne

Head of Growth (Open Source Law) @ Genie AI | 3 x UCL-Certified in Contract Law & Drafting | 4+ Years Managing 1M+ Legal Documents | Serial Founder & Legal AI Author

Jurisdiction

Canada

Publisher

Genie AI

Document Type

Agreement Contract

Cost

Free to use
Relevant legal definitions
Clauses
Relevant Industries

Technology

Financial Services

Healthcare

Manufacturing

Retail

Professional Services

Education

Construction

Hospitality

Transportation

Energy

Mining

Agriculture

Telecommunications

Media and Entertainment

Relevant Teams

Human Resources

Legal

Finance

Operations

Sales

Marketing

Information Technology

Research and Development

Customer Service

Administration

Product Development

Quality Assurance

Business Development

Corporate Communications

Executive Leadership

Relevant Roles

Chief Executive Officer

Chief Financial Officer

Department Manager

Software Developer

Sales Representative

Administrative Assistant

Human Resources Manager

Marketing Coordinator

Project Manager

Research Analyst

Operations Director

Customer Service Representative

Financial Analyst

Business Development Manager

Technical Support Specialist

Executive Assistant

Product Manager

Quality Assurance Engineer

Account Manager

Data Scientist

Industries
Teams

Employer, Employee, Start Date, Job Title, Department, Location, Probationary Period, Notice Period, Salary, Overtime, Vacation Pay, Statutory Holidays, Benefits, Bonus, Expenses, Working Hours, Rest Breaks,  Leaves of Absence, Confidentiality, Intellectual Property, Non-Solicitation, Non-Competition, Code of Conduct, Termination,  Severance Pay, Governing Law, Entire Agreemen

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