Salesman Contract Of Employment Template for Pakistan

A comprehensive employment agreement governed by Pakistani law, specifically designed for sales professionals. This contract establishes the terms and conditions of employment for salespeople, including their duties, compensation structure (base salary and commission), sales territories, performance metrics, and compliance with local labor laws. The document incorporates key provisions from Pakistan's Industrial and Commercial Employment Ordinance and other relevant employment legislation, ensuring proper protection for both employer and employee while establishing clear guidelines for sales-related responsibilities and compensation.

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What is a Salesman Contract Of Employment?

The Salesman Contract Of Employment is a specialized employment agreement used when hiring sales professionals in Pakistan. It is designed to comply with Pakistani employment law, including the Industrial and Commercial Employment Ordinance and relevant labor regulations. This contract type is essential for businesses engaging sales professionals, as it addresses unique aspects of sales employment such as territory assignments, commission structures, sales targets, and performance metrics. The document provides legal protection for both parties while clearly defining the sales-specific responsibilities, compensation mechanisms, and performance expectations. It is particularly important for establishing clear guidelines around commission calculations, sales territories, and target achievements, while ensuring compliance with local employment regulations regarding working hours, benefits, and termination procedures.

What sections should be included in a Salesman Contract Of Employment?

1. Parties: Identification of the employer company and the salesman, including full legal names and addresses

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

3. Definitions: Definitions of key terms used throughout the agreement, including 'Territory', 'Products', 'Commission', etc.

4. Appointment: Terms of employment, position title, and effective date

5. Duties and Responsibilities: Detailed description of the salesman's roles, sales targets, and reporting obligations

6. Territory and Products: Definition of sales territory and products/services the salesman is authorized to sell

7. Compensation Structure: Base salary, commission rates, bonus schemes, and payment terms

8. Working Hours and Location: Standard working hours, flexibility requirements, and primary work location

9. Leave Entitlements: Annual, sick, and other leave entitlements as per Pakistani law

10. Performance Metrics: Sales targets, KPIs, and performance evaluation criteria

11. Confidentiality: Protection of company's confidential information and trade secrets

12. Non-Competition: Restrictions on working with competitors during and after employment

13. Company Property: Rules regarding use and return of company assets, including sales materials

14. Termination: Grounds and procedures for contract termination, notice periods, and consequences

15. Governing Law: Specification of Pakistani law as governing law and jurisdiction

What sections are optional to include in a Salesman Contract Of Employment?

1. Probation Period: Terms of initial probation period - include if the position has a probationary period

2. Travel Requirements: Travel obligations and reimbursement policies - include if position requires regular travel

3. Team Management: Leadership responsibilities - include if the salesman will manage other team members

4. International Sales: Terms for international business - include if role involves cross-border sales

5. Vehicle Allowance: Terms of company vehicle or vehicle allowance - include if applicable

6. Product Training: Mandatory training requirements - include if specific product training is required

7. Relocation Terms: Relocation assistance and terms - include if position requires relocation

8. Sales Support: Details of sales support provided - include if specific support structure exists

What schedules should be included in a Salesman Contract Of Employment?

1. Schedule 1 - Commission Structure: Detailed breakdown of commission rates, tiers, and calculation methods

2. Schedule 2 - Sales Targets: Specific sales targets and quotas for performance evaluation

3. Schedule 3 - Territory Map: Detailed map and description of assigned sales territory

4. Schedule 4 - Product List: Complete list of products/services the salesman is authorized to sell

5. Schedule 5 - Expense Policy: Detailed policy for business expense claims and reimbursements

6. Appendix A - Code of Conduct: Company's code of conduct and sales practices

7. Appendix B - Benefits Package: Details of additional benefits and eligibility criteria

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

Jurisdiction

Pakistan

Publisher

Genie AI

Document Type

Employment Contract

Cost

Free to use

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