A Kentucky employment contract can protect both the employer and the employee. It outlines the employee’s job responsibilities, the compensation the employer will pay them, and everything else in between. Whether you need to include a confidentiality clause or how long the employment period will be, an employment agreement allows employees to cover all the required terms and conditions.
In Kentucky, a contract is valid if it is based upon the idea that it involves an offer, acceptance, and consideration [1] .
- Laws: K.R.S. Title XXVII.
- Definition of Employee: § 342.640: “Every person, including a minor, whether lawfully or unlawfully employed, in the service of an employer under any contract of hire or apprenticeship, express or implied, and all helpers and assistants of employees, whether paid by the employer or employee, if employed with the knowledge, actual or constructive, of the employer.”
By Type (4)
Independent Contractor Agreement
Lays out the relationship between an employer and an independent contractor.
Subcontractor Agreement
Provides a written record of the agreement between a contractor and a subcontractor.
Employee Non-Compete Agreement
Prevent workers from taking employment with a competitor or setting up a competing firm.
Employee Non-Disclosure Agreement
Restrains unauthorized disclosure, preventing unwarranted spread of information.
Hiring in Kentucky
Before you start writing your Kentucky employment contract, you need to know several state labor laws and regulations.
At-Will Employment
Kentucky is an at-will employment state. There are also exceptions to the at-will employment rules.
Exceptions
- Public Policy: Yes
- Implied-Contract: Yes
- Good-Faith Exception: No
Minimum Wage ($/hr)
Basic Minimum Rate (per hour): $7.25 [2] .
Premium Pay After Designated Hours: Weekly – 40, 7th day.
In Kentucky, the seventh-day overtime law applies, which is separate from the minimum wage law. It requires that any employees who work seven days in any one workweek are paid time and a half for hours worked on the seventh day when employees work all seven days of the workweek. It does not apply when the employee is not permitted to work over 40 hours total in one workweek.
Child Labor
Kentucky does not require employment certificates or age certification; however, employers of children under age 18 must maintain a proof of age for each minor employee [3] .
Payday
In Kentucky, employers must pay employees on at least a semi-monthly basis.
Meal and Rest Breaks
Kentucky requires paid 10-minute rest periods for employees for each 4-hour work period.
Meal periods are also required in Kentucky. Employees are entitled to a meal period no sooner than the third nor later than the fifth hour of their work shift unless another arrangement has been mutually agreed upon.
Recordkeeping Requirements
Employers in Kentucky must keep employee records on wages, hours, and payroll for at least one year [4] and for:
- Discrimination
- Safety & health/workers’ compensation
- Child labor
Sample
Download a Kentucky employment contract template below in PDF or Word format.
