A Vermont employment contract outlines the terms and conditions of employment. An employment contract typically includes details such as the financial compensation the employer will pay the employee for their work, the period of employment, hours of work, the employment termination details, and, if the employer wishes, any confidentiality or non-disclosure clauses.
While Vermont doesn’t have a specific statute that outlines the requirements of an employment contract, it follows the elements of common law like most states. This document should contain adequate consideration, valid offer/acceptance, and mutual assent [1] .
- Laws: Title 21
- Definition of Employee: According to 21 V.S.A. § 302, an employee is every individual who may be permitted, directed, or required by an employer in consideration of direct or indirect gain/profit to perform services.
By Type (4)
Independent Contractor Agreement
Establishes the expectations for a client-contractor relationship.
Subcontractor Agreement
Explains the collaboration between a contractor and a subcontractor.
Non-Compete Agreement
Safeguards company secrets and sensitive information.
Non-Disclosure Agreement
Ensures sensitive business details, like trade secrets, remain confidential between the agreeing parties.
Hiring in Vermont
Before you write a Vermont employment contract, you need to be aware of the state labor laws and regulations, such as the minimum wage.
At-Will Employment
Vermont 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)
The current minimum wage in Vermont is $13.18/hour for non-tipped workers and $6.59/hour for tipped workers. Starting January 1, 2024, the new minimum wage will increase to $13.67/hour for non-tipped workers and $6.84/hour for tipped workers [2] .
Child Labor
In Vermont, employment certificates are required for minors under 16 who are working during school hours.
14- and 15-year-olds may not work during school hours or before 7 a.m. or after 7 p.m. They also can’t work for more than 18 hours per week during school weeks and more than 40 hours per week during non-school weeks.
Children under 14 usually can’t work in non-agricultural work (with the exception of being an actor, performer, or newspaper carrier) [3] .
Payday
Vermont requires employers to pay employees on at least a weekly basis. With written notice, employees can be paid bi-weekly or semi-monthly.
Meal and Rest Breaks
Employees must receive reasonable opportunities during work periods to eat and use toilet facilities in order to protect their health and hygiene [4] .
If an employee takes a lunch break that’s less than 30 minutes, their employer must count the break as “hours worked” and provide payment. A lunch break that’s longer than 30 minutes and frees the employee from their duties completely can be unpaid.
Recordkeeping Requirements
Vermont employers must maintain accurate records of each employee’s wages paid and hours worked for at least two years [5] . For the purposes of unemployment insurance, employers must retain these records for at least three years.
Sample
Below, you can download a Vermont employment contract template in PDF or Word format.
