The formation of the relationship of employer and employee by written agreement is generally determined by the usual principles governing the formation of all contracts. The basic elements of any enforceable contract are as follows:
" an agreement;
" between competent parties;
" based upon the genuine assent of the parties;
" supported by consideration;
" made for a lawful objective; and
" in the form required by law.
Guam Checklist — Employment Agreements: A Detailed Description keywords: Guam, checklist, employment agreements, types Introduction: An employment agreement is a crucial legal document that outlines the terms and conditions of the working relationship between employers and employees. In Guam, a U.S. territory in the Western Pacific, there are specific considerations and requirements when drafting employment agreements. This comprehensive checklist will guide employers and employees in Guam to ensure compliance with local laws and regulations. 1. General Information: — Begin the employment agreement by including the names and contact information of both the employer and employee. — Clearly indicate the start date of the employment and specify whether it is a fixed-term or indefinite agreement. — Mention the job title and provide a brief description of the employee's duties and responsibilities. 2. Compensation and Benefits: — Specify the salary or hourly rate of pay agreed upon, including any applicable overtime rates. — Highlight the frequency of pay, whether it is weekly, biweekly, or monthly. — List the employee benefits provided, such as health insurance, retirement plans, vacation, sick leave, and any other perks offered by the employer. 3. Work Schedule and Leave Policies: — Clearly define the employee's work schedule, including the number of hours per day and days per week. — Enumerate the designated rest days and public holidays. — Detail the employer's policies regarding vacation leave, sick leave, family and medical leave, and other types of leave allowed by Guam's labor laws. 4. Termination and Resignation: — Specify the notice period required for resignation or termination of employment, as per Guam's labor laws. — Outline the circumstances under which termination can occur, such as misconduct, poor performance, or redundancy. — If applicable, describe any severance or redundancy package that may be provided upon termination. 5. Confidentiality and Non-Compete Agreement: — Include a clause addressing the confidentiality of sensitive company information and trade secrets. — If necessary, include a non-compete agreement that restricts the employee from working for a direct competitor for a specified period of time after leaving the company. 6. Dispute Resolution and Governing Law: — Specify the method of dispute resolution, such as mediation, arbitration, or litigation. — Indicate the governing law applicable to the employment agreement, which is typically Guam law. Types of Guam Checklist — Employment Agreements: 1. Standard Employment Agreement: This is the most common type of employment agreement used in Guam, covering the general employment terms and conditions mentioned in the checklist above. 2. Executive Employment Agreement: If the employee holds a high-level management position or executive role, an executive employment agreement may be necessary. This type of agreement usually includes additional terms related to bonuses, stock options, confidentiality obligations, and non-compete clauses. 3. Fixed-Term Employment Agreement: This agreement applies when employment is for a specific period, such as a fixed project or seasonal work. It should clearly state the agreed duration of employment and any provisions related to early termination. Conclusion: Creating a comprehensive employment agreement using this checklist will help employers and employees in Guam establish a clear and mutually beneficial working relationship. It is essential to tailor the agreement to specific circumstances, seeking legal advice when necessary, to ensure compliance with Guam labor laws and protect the rights of both parties involved.
