Areyana Johnson
Austin/Houston Employment Trial Lawyer Areyana Johnson

The blog serves as an introductory overview on employment agreements. An employment agreement is a legally binding document that outlines the terms and conditions of the working relationship between an employer and an employee. It is crucial for both parties as it sets clear expectations and provides a framework for resolving disputes. Common provisions in an employment agreement typically include job description, compensation, benefits, work schedule, confidentiality, non-compete clauses, and termination procedures. Each of these provisions serves to protect the rights and interests of both the employer and employee while ensuring mutual understanding and agreement on key aspects of the employment relationship.

Job Description and Duties is one of the first key provisions. This section outlines the role, responsibilities, and expectations of the employee within the company. It may include specific duties, reporting relationships, and performance expectations. A well-defined job description helps prevent misunderstandings and ensures both parties are aligned regarding the employee’s role within the organization.

Compensation and Benefits is another critical provision. It details the employee’s salary, wage rate, and any bonus or incentive structures. This provision should also address the frequency and method of payment (e.g., weekly, bi-weekly, monthly, or via direct deposit). In addition to base compensation, many employment agreements include information about benefits, such as health insurance, retirement plans, paid time off (PTO), sick leave, and other perks like gym memberships or company stock options. Clear terms around compensation and benefits help employees understand what they can expect financially and ensure compliance with wage laws. This is also the section where reference to additional compensation such as stock options may be found. 

Work Schedule and Location provisions typically specify the employee’s working hours, including whether they are expected to work full-time, part-time, or on an as-needed basis. It may also cover shift patterns, overtime rules, and the location of work, whether it’s on-site at the employer’s facility or remote. These provisions can also include flexibility regarding working hours or hybrid work arrangements, especially relevant in today’s work environment.

Another key provision is the Confidentiality and Non-Disclosure Agreement (NDA). Many employment contracts require employees to keep certain business information confidential, even after their employment ends. This is especially true for positions that involve access to proprietary data, trade secrets, or other sensitive information. The confidentiality clause ensures that the employer’s intellectual property, business plans, and customer information are protected. Employees may also be required to return any proprietary materials upon termination of employment.

Non-compete Clauses may also be included, particularly in industries where specialized knowledge or skills are highly valued. A non-compete provision restricts the employee from working for competing businesses or starting a similar business for a certain period of time after leaving the employer. The terms of non-compete clauses typically vary by jurisdiction but must be reasonable in scope, geography, and duration to be enforceable. This provision is intended to protect the employer’s competitive position and intellectual property. Unlike California for example, Texas is still a jurisdiction that enforces non-compete provisions. 

The Term and Termination section outlines how the employment relationship can be ended. It defines the conditions under which either party can terminate the agreement, with or without cause. This section also addresses notice periods, severance pay (if applicable), and any post-employment obligations such as non-compete or confidentiality agreements. Some agreements may also include a probationary period during which either party can terminate the contract with little notice or without cause. Understanding termination rights is crucial for both the employee and employer, as it provides clarity in the event of performance issues or other conflicts.

Other provisions may include Dispute Resolution mechanisms, which can specify the process for resolving disputes, often requiring mediation or arbitration before pursuing litigation. Intellectual Property Rights clauses can be included, particularly for employees who create work products such as software, inventions, or written materials as part of their job duties. Additionally, some contracts include Employment at Will provisions, which clarify that the employee can be terminated for any lawful reason, unless otherwise stated in the agreement.

Finally, Governing Law and Jurisdiction provisions indicate the legal jurisdiction that governs the contract, should disputes arise. This ensures that both parties are clear on which laws apply and where any legal matters will be addressed.

In summary, an employment agreement is a comprehensive document that ensures both the employer and employee are clear on their rights, responsibilities, and expectations. It protects both parties and fosters a more transparent and functional working relationship. Key provisions, including job duties, compensation, benefits, confidentiality, non-compete clauses, and termination procedures, help safeguard each side’s interests and provide a structure for resolving conflicts should they arise.

#EmploymentAgreements #NonCompetes #RestrictiveCovenants

Harjeen Zibari
Dallas Employment Trail Lawyer Harjeen Zibari

Happy Holidays! This is a very special time of year but can feel chaotic across several industries. Restaurants and bars see some of their busiest years to date. Long-anticipated movies are finally being released and the theaters are packed. (Although I am excited for Wicked, I am even more excited for Sonic the Hedgehog 3). And of course, retail stores are busier than ever.

These industries are more often than not filled with hourly employees, who are considered “non-exempt” employees. But what does that mean? 

Under the Fair Labor Standards Act (“FLSA”), employees are divided into two categories: exempt and non-exempt. Exempt employees are exempt from overtime requirements under the FLSA, meaning that your employer does not have to pay you extra if you work over 40 hours a week as an exempt employee. Your employer can elect to pay you extra for extra hours worked, but the law does not require it to. Exempt employees are fixed salary employees, subject to certain salary thresholds per job type. For example, for “white collar” employees, the salary is at least $844/week ($43,888 annually). This will be increased to $1,128/week ($58,656 annually) in January 2025. These thresholds are determined by the Department of Labor (and, therefore, are prone to political pressures). See the applicable tables set forth by the DOL at https://www.dol.gov/agencies/whd/overtime/salary-levels. Please note that this is subject to change.

To be considered a “white collar” employee, you must fit into “executive, administrative” or “professional” roles. Common examples include lawyers, accountants, or software engineers. So, if you have a particularly heavy week, you unfortunately are not entitled to time and a half. You do, however, have the assurance of a steady, predictable salary every week. 

Non-exempt employees, however, are not exempt from the full protections under the FLSA. These are hourly employees or employees who make below the salary thresholds set forth by the Department of Labor, as discussed earlier. These employees must be paid a rate of 1.5 times their regular hourly rate for every hour worked over 40 hours in a week. That means a minimum wage worker making $7.25 must be paid $10.875 for every overtime hour. 

For example, if you are making minimum wage working the concession stand at the movie theater, but you work 50 hours the week Wicked is released, you must be paid $7.25 for the first 40 hours for a total of $290, and then $10.875 for hours 41-60 for another $217.50. In total, you must be paid $507.50 for the week. 

It is important to note that you are not entitled to work overtime by law. However, if you do work overtime, you must be paid accordingly by law. However, if you notice that you are being retaliated against after engaging in protected activity by having your hours cut, you may still be protected.

During this holiday season, be grateful to the non-exempt employees who are working extra hard so that you can enjoy yourself during the most wonderful time of the year. Also . . . tip your servers.

Are you a non-exempt employee who has not been paid appropriately under the law? Contact me in Dallas today or one of my talented colleagues in Houston or Austin for a consultation. 

Rachel Bethel
Austin/Houston Employment Trial Lawyer Rachel Bethel

As a Texas worker, you should know that the Fair Labor Standards Act (FLSA) offers many protections and safeguards for employees. In this blog, I’ll explain some key contours of the FLSA so that you can be more informed of your rights under the law.

What is the FLSA?

The Fair Labor Standards Act was enacted in 1938 to set basic standards for minimum wage, overtime pay, fair competition for employers, and employment of minors. A chief goal was to ensure that workers were fairly compensated for their time and labor. Today, the FLSA remains critical for employees across the country, and it is enforced by the U.S. Department of Labor (DOL).

Minimum Wage & Overtime 

One of the core protections under the FLSA is the minimum wage. As of 2024, the federal minimum wage is $7.25 per hour. In Texas, state law does not set a minimum wage higher than the federal rate, so the federal minimum wage applies here.

Overtime is another important aspect of the FLSA. Covered non-exempt employees must be paid time-and-a-half for any hours worked over 40 in a workweek. For example, if a non-exempt employee earns $10 per hour, they must be paid $15 per hour for each hour worked over 40 hours in a given week. However, some employees are classified as “exempt” under the FLSA, which means they do not receive overtime pay, regardless of how many hours they work.

Exempt vs. Non-Exempt Employees

While non-exempt employees are entitled to overtime pay, exempt employees are not. Determining whether or not one is an exempt employee can be tricky. There are several considerations for how one’s status is determined.

Employees who fall into certain categories—briefly described below—may be classified as exempt from overtime pay. There are strict tests and criteria to determine whether an employee meets the requirements for exemption. For example, to qualify as exempt, the employee must meet the following general criteria:

  1. Salary: The salary must meet the federal minimum threshold, currently $684 per week (equivalent to $35,568 annually).
    1. Sadly, just this week, a federal district court in Texas vacated the DOL’s attempt to increase this minimum salary. The DOL had increased the threshold to $844 per week as of July 1, 2024, with plans of increasing it again to $1,128 per week as of January 1, 2025. Unfortunately, the DOL’s agenda has been struck down.  
  2. Duties: The employee’s job duties must primarily involve executive, administrative, professional, computer, or outside sales responsibilities as defined by the FLSA.

Exempt Employment Categories

The executive exemption applies to employees whose primary role involves managing an organization or a significant department or division within it. 

The administrative exemption covers employees engaged in high-level office work related to the business operations or management of the organization. 

The professional exemption applies to employees whose work involves advanced knowledge and discretion in an area of science or learning. 

The computer employee exemption applies to workers with a specific set of duties and skills within the computer technology field.

The outside sales exemption applies to workers who make certain kinds of sales or who obtain requests for services while working outside of the employer’s offices.  

Part-Time Employees and Overtime

Another common misconception is that if an employee is classified as part-time, the employee is not entitled to overtime pay. This is not true under the FLSA.

The FLSA specifies that any employee—whether full-time or part-time—who works more than 40 hours in a workweek must receive overtime pay at time-and-a-half their regular rate of pay. The classification of “part-time” merely refers to the regularity of the employee’s schedule (typically fewer than 40 hours per week). The classification itself has no bearing on whether one is entitled to overtime.

In industries where workers face fluctuating schedules, tracking one’s hours can help ensure that the employer is complying with overtime laws. Failure to do so can result in significant penalties for employers under the FLSA.

What to Do If You Believe Your Rights Have Been Violated

If you believe your employer has failed to comply with the FLSA, there are potential avenues for recourse. An experienced employment law attorney can help you navigate your options and ensure that your rights under the FLSA are fully protected.

Areyana Johnson
Austin/Houston Employment Trial Lawyer Areyana Johnson

Ever wondered what the causation standard for an 11 (c) violation was? Well keep reading because the answer if further addressed below. The Occupational Safety and Health Act (OSHA) of 1970 was designed to ensure safe and healthful working conditions for employees across the United States. One critical provision within OSHA is Section 11(c), which provides protections for whistleblowers—employees who report unsafe working conditions or violations of workplace safety regulations. Section 11(c) is a vital part of OSHA because it safeguards individuals who take the courageous step of reporting their employer’s non-compliance with safety laws, ensuring that employees are not retaliated against for their actions.

Overview of OSHA and Section 11(c)

OSHA was created to address the increasing number of workplace injuries, illnesses, and fatalities during the mid-20th century. The law’s primary aim is to reduce work-related hazards and protect workers’ rights to a safe and healthy work environment. OSHA sets standards for workplace safety, regulates employers’ compliance, and enforces penalties for violations.

Section 11(c) of the Occupational Safety and Health Act specifically deals with whistleblower protections. This section prohibits employers from retaliating against employees who exercise their rights under OSHA, including the right to file complaints about unsafe conditions, request inspections, or participate in safety-related activities. The intent behind Section 11(c) is to encourage workers to report unsafe conditions without fear of losing their job, facing discrimination, or suffering other adverse consequences from their employer.

Under this section, whistleblower protection is extended to employees who report or refuse to engage in dangerous or illegal activities that violate OSHA standards. Such whistleblowers may file complaints with the Occupational Safety and Health Administration, and if the employer is found to have retaliated, the employee may be entitled to remedies including reinstatement, back pay, and compensation for any damages caused by the retaliation.

The Scope of Protection Under Section 11(c)

The protection afforded by Section 11(c) covers a wide range of activities that employees may engage in to safeguard workplace safety. This includes:

1. Filing a Complaint: Employees are protected when they file complaints with OSHA about unsafe or unhealthy working conditions.

2. Refusing to Work in Dangerous Conditions: If an employee reasonably believes that working conditions pose an imminent danger to their health or safety, they have the right to refuse to work, and this refusal cannot be used as a reason for retaliation.

3. Participating in Inspections or Investigations: Employees are protected when they cooperate with OSHA inspections, investigations, or hearings related to workplace safety.

4. Complaining About Employer Violations: If an employee informs the employer or other authorities about a violation of workplace safety rules, they are shielded from retaliation.

Retaliation and Enforcement

Retaliation against whistleblowers may take many forms, including demotion, suspension, salary reduction, termination, or creating a hostile work environment. It can also involve any action that adversely affects the employee’s work conditions or job security. OSHA is empowered to investigate allegations of retaliation and determine whether the actions taken by the employer were unlawful.

When an employee believes they have been retaliated against for engaging in protected activity under Section 11(c), they can file a complaint with OSHA. The complaint must generally be filed within 30 days of the alleged retaliation. Once a complaint is filed, OSHA will investigate the matter and determine whether there is sufficient evidence to support the claim. If retaliation is found, OSHA may order corrective actions, including reinstatement of the employee, back wages, and other compensatory damages.

However, enforcement of Section 11(c) can be complex. The burden of proof typically lies with the complainant, meaning that the whistleblower must provide evidence that the adverse action they experienced was directly related to their protected activity. Under the nexus requirement of a 11(c) claim is the but-for inquiry. Thus the question becomes was the whistleblower’s complaint a but-for reason for the subsequent adverse action he or she faced?  Some examples of but-for evidence included in the OSHA’s Desk Aid include close timing, between the protected activity and adverse action, evidence of hostility towards the protected complaint, and disparate treatment faced by the complainant when viewed in comparison to other employees. For more examples, see here.  If an employee is unable to prove this connection, his or her claim may be dismissed.

Conclusion

Section 11(c) of the Occupational Safety and Health Act plays a crucial role in ensuring that workers are able to exercise their rights without fear of retaliation. It encourages employees to speak up about unsafe working conditions, thereby helping to uphold the broader goals of the Occupational Safety and Health Act itself. By providing whistleblower protections, the provision helps maintain a balance between employer interests and employee rights, creating a safer work environment for all. For OSHA to be effective in reducing workplace hazards, it is essential that employees feel empowered to report violations and trust that they will not face retaliation for doing so.

Harjeen Zibari
Dallas Employment Trail Lawyer Harjeen Zibari

In today’s world of complex agreements and seemingly endless paperwork, we’ve all come across the phrase: “Consult an attorney.” It can be written in fine print at the bottom of documents. The phrase can be found in contracts, waivers, or other legal documents, almost like an afterthought. For many, this phrase feels like legal boilerplate or a mere formality, but it is not. Consulting an attorney is a crucial step for protecting yourself and understanding your rights and obligations.

Here’s why “consult an attorney” isn’t just a suggestion and why taking it seriously can save you from serious complications.

Complex Legal Language: It’s Not Just Jargon

Legal documents are notorious for their complex language and “legalese.” This isn’t accidental—legal terms often carry specific meanings that can differ from everyday usage. Without a legal background, it’s easy to misinterpret what you’re agreeing to. 

An attorney can clarify these terms, ensuring you know exactly what you’re signing. They’ll translate legal language into straightforward terms, so you can make informed decisions.

Understanding Your Rights and Obligations

When you sign a document, you’re bound to the terms outlined within it, and some agreements are stricter than others. In real estate, business partnerships, and yes, even employment contracts, the terms can significantly impact your future. When the document says to “consult an attorney,” it’s a signal that signing the agreement likely has consequences.

For example, employment contracts might include non-compete clauses that limit your career options after leaving a job. Employment severance and settlement agreements typically have language giving up rights to bring legal claims. Waivers that are compliant with the Older Workers Benefit Protection Act must advise you to consult with an attorney first. Consulting an attorney can help you understand your rights and ensure you’re not unknowingly giving up something valuable.

Avoiding Future Legal Battles

Many people skip the legal review to save time or money, but this can lead to costly disputes later. Failing to fully understand an agreement can result in unintended breaches of contract, which might lead to legal action.

Consider that employment agreement you might not have read carefully or didn’t fully understand. You could breach it by starting a competing business or hiring your friend from your old place of employment in violation of a non-solicitation clause. If you weren’t aware of these clauses or did not understand their implications because you didn’t consult an attorney, and you proceed with a restricted activity, a former employer may sue for breach of contract, leading to legal fees, damages, and a potentially ruined business relationship. Consulting an attorney from the start helps you spot these issues, allowing you to negotiate terms that work in your favor and avoid problems down the road.

Navigating Legal Consequences and Liabilities

Documents are often accompanied by specific legal consequences if the terms aren’t followed. Waivers, for example, may limit your right to sue in the event of an injury, while liability clauses could make you financially responsible for damages. While it’s possible to sign a waiver without an attorney, understanding its impact on your legal options is crucial.

If you’re signing something that includes language about waiving rights or assuming liability, an attorney can explain what it means for your future options. This way, you’re aware of the risks you’re taking on and can make an informed choice.

Understanding Alternative Options

An attorney can also offer alternative ways to proceed that may be less risky. For instance, if you’re unsure about a business partnership agreement, an attorney could suggest drafting a more limited agreement or creating terms that allow an easy exit. Attorneys often know about lesser-known solutions or strategies that can protect you more effectively.

Without an attorney’s advice, you might feel locked into specific terms that don’t work for you, simply because you’re unaware of other options.

Conclusion: When in Doubt, Reach Out!

The phrase “consult an attorney” may seem like a routine suggestion, but it’s a powerful reminder to take legal agreements seriously. An attorney’s guidance can protect your rights, help you avoid future disputes, and provide clarity and confidence as you move forward. The next time you see that fine print telling you to consult an attorney, take it as sound advice—it’s worth your time, effort, and peace of mind. Do you have a contract that you need help understanding prior to signing? Book a document review with me today!

Areyana Johnson
Austin/Houston Employment Trial Lawyer Areyana Johnson

Did you know that Beaumont, TX was once home to one of the most important oil booms in U.S. history? It’s true! Growing up in Beaumont, a medium sized Southeast Texas town, field trips to the Spindletop site were pretty routine. Today you can still tour the Spindletop Boomtown Museum located on Lamar University’s campus in the southern part of Beaumont.

The oil and gas industry has undergone transformative changes since the discovery of oil at Spindletop in Beaumont in 1901. This landmark event not only marked the beginning of the Texas oil boom but also catalyzed the rise of petrochemical production. The vast quantities of crude oil extracted from Spindletop laid the groundwork for a burgeoning petrochemical sector, as the byproducts of refining oil became crucial for producing a wide array of chemicals and materials. This development helped fuel the industrial growth of the region and the nation, leading to advancements in everything from plastics to fertilizers.

As the petrochemical industry evolved, it became a vital component of the global economy, leveraging the raw materials derived from oil and gas to create essential products. In Beaumont and surrounding areas, facilities sprang up to process crude oil into petrochemicals, driving innovation and creating jobs. Today, the region continues to be a hub for petrochemical manufacturing, contributing significantly to the economic landscape of Texas and the broader U.S. economy. The legacy of Spindletop endures, as it not only symbolizes the birth of the oil industry but also highlights the intricate relationship between crude oil extraction and the diverse petrochemical products that support modern life.

The Golden Triangle (Beaumont, Port Arthur, Orange, TX) is also home to the world’s largest oil refinery. [1] Throughout the southeast Texas region, the petrochemical manufacturing industry in Jefferson County accounts for 46.7% GDP of the region according to the state comptroller’s site. In 2019 alone, the region boasted more than 34,000 jobs within the industry as well. Here, there are numerous petrochemical companies that are widely known such as Arkema, ExxonMobil, Goodyear, and Sunoco. All in all, the petrochemical industry has brought many jobs to the Southeast Texas region which has been great for the local economy.

However, turning shades to another aspect within the petrochemical industry is employment discrimination. As with any other industry, there has been a plethora of instances the U.S. Equal Employment Opportunity Commission (EEOC) has addressed several cases of employment discrimination within the petrochemical industry, revealing persistent issues related to race, gender, and disability.

In March of 2023, ExxonMobil Corporation was sued by the EEOC for failure to take effective measures to thwart harassment on the basis of race. Occurring at its Baton Rouge, Louisiana location, ExxonMobil was alleged to have failed to protect a Black employee who found a hangman’s noose at his worksite in 2020. Prior to this employee’s complaint, ExxonMobil was on notice of previous similar instances where three additional nooses were found at the baton Rogue plant. Furthermore, ExxonMobil is alleged to have only investigated a few but not all instances regarding the hanging of these nooses. Ultimately, the EEOC alleges that ExxonMobil failed to investigate all of the instances as well as failed to effectuate reasonable measurers to halt the racially motivated actions. For additional information regarding this lawsuit, see here.

 Another notable case involving employment discrimination and a petrochemical plant in Texas is where the EEOC field a lawsuit against Valero of claims of disability discrimination. Valero is alleged to have discriminated against an employee by discharging him for failure to take a reading test. Prior to the termination, Valero is alleged of failing to accommodate the same employee. For additional information on this lawsuit, see here.

These cases underscore the need for ongoing vigilance and proactive measures within the petrochemical industry to combat discrimination. They serve as a reminder that organizations must prioritize diversity and inclusion, ensuring equal opportunities for all employees, regardless of race, gender, or disability.

In a nutshell, employers must initiate a prompt and remedial measure following notification of racial discrimination and harassment in the workplace. An employer should also act on an employee’s request for accommodations then engage in the interactive process. Contact our office to discuss whether you may have a claims of employment discrimination in the workplace.

#EEOC #OilandGas #Discrimination

[1] https://comptroller.texas.gov/economy/economic-data/manufacturing/2020/southeast.php.

Kalandra Wheeler
Kalandra Wheeler is a Board Certified Houston/Austin employment lawyer.
  1. Your Texas-Sized Voice. Voting is how Texans make their voices heard. Whether it’s about who should sit in the Oval Office or how schools should be funded, your vote helps decide key issues. Elected officials make decisions that directly affect your daily life—from healthcare and education to taxes and transportation. Your vote says, “Here’s what matters to me.”’
  1. 2. Every Vote Counts. You might think your vote doesn’t make a difference, but elections can be incredibly close. Some races are decided by just a few votes, so every ballot truly matters. Whether you’re in a big city like Houston or a small city like Longview, your vote can make a significant impact.
  1. 3. Local Elections Are a Big Deal. While national races tend to get the spotlight, local elections are where you can see the most direct changes in your community. Texans vote for mayors, city council members, school boards, and more. Voting at the local level ensures your community’s specific needs are addressed.
  1. 4. People Fought and Died for the Right. Voting is not just a privilege—it’s a right that people died to secure. Throughout history, people have marched, protested, and even died to make sure that everyone, regardless of race or gender, can vote. By casting your ballot, you honor those sacrifices.

The Benefits of Early Voting in Texas

Early voting in is not just a matter of convenience—it’s practically a necessity for many. Starting on October 21, 2024, Texans will have a two-week window to vote early. Here’s why early voting is the smart way to go:

  1. 1. Skip the Election Day Stampede. Everyone knows that everything is bigger in Texas, including Election Day lines. Avoid the Election Day rush, skip the crowds, and get back to doing what Texans do best—living large.
  1. 2. It’s Perfect for Busy Schedules. Between work, family obligations, and the occasional BBQ, Texans lead busy lives. Early voting gives you flexibility, with multiple days and locations to cast your vote. You’ll find the time to vote without the stress of a one-day deadline.
  1. 3. More Accessible for Everyone. Early voting stations are often less crowded and easier to navigate for seniors and people with disabilities.
  1. 4. Life Happens, and Early Voting Is Your Backup Plan. Let’s be honest—things don’t always go as planned. Life’s curveballs could keep you from casting your ballot on Election Day. Maybe your car breaks down or you catch the flu. Early voting gives you peace of mind.
  1. 5. Boosts Voter Turnout. When more people vote, democracy gets stronger. Early voting encourages higher turnout by making it easier for everyone to participate. In a state as diverse as Texas, it’s vital that all voices are heard. Higher turnout also holds politicians accountable—they know they’ll need to represent the interests of all voters, not a select few.

Voting is the most powerful way Texans can influence the direction of our state and country. Early voting, starting on October 21, 2024. Whether you’re passionate about education, healthcare, or the economy, your vote matters. To find an early voting location near you click here. So, grab your boots, make a plan, and vote like a Texan!

Cameron Hansen
Austin/Houston Employment Trial Lawyer Cameron Hansen

Starting a new job is an exciting time, filled with new opportunities and responsibilities. But before you dive into your role, it’s crucial to carefully review the onboarding paperwork your employer provides. While you might be eager to get started, signing documents without understanding their implications could lead to misunderstandings—or worse, waive important legal rights.

As a plaintiff’s employment lawyer in Texas, I’ve seen firsthand how onboarding paperwork can affect employees in the long run. Here are key things you should be looking for, and questions to ask, when going through your onboarding documents.

1. Offer Letter or Employment Agreement

The offer letter or employment agreement sets the tone for your employment relationship and gives you a basis for any discussions regarding your terms and conditions of employment in the future. It should clearly outline:

– Job Title and Responsibilities: Make sure your job description aligns with the role you discussed during the interview process. If your duties are vague, it could lead to confusion or additional responsibilities you weren’t expecting. To the extend you can, also get your employer’s expectations and metrics they will use to measure your success in your role down in writing so its more clear when performance evaluations come around. 

– Salary and Compensation: Verify that your salary, bonuses, and any commission structures are clearly spelled out. Ensure the frequency of payment (weekly, biweekly, monthly) is also defined. If your role comes with bonuses or commissions, make sure the metric by which those payments will be calculated and when they are considered earned is also spelled out to alleviate any confusion about how much and when you will get those payments. 

– Start Date: Double-check that the start date listed aligns with your expectations.

If the offer letter refers to an employment agreement, read it carefully. Employment agreements often include additional terms about your employment, such as probation periods, termination clauses, and the ability of either party to modify the terms. Pay close attention to clauses that discuss “at-will” employment, which allows either you or your employer to terminate the relationship at any time for any lawful reason.

2. Non-Compete, Non-Solicitation, and Confidentiality Agreements

Employers often include agreements that restrict your behavior both during and after your employment. You should review these agreements carefully:

– Non-Compete Agreements: These limit your ability to work for competitors for a certain time period after you leave the company. In Texas, non-compete agreements are enforceable only if they are reasonable in scope, geography, and duration. If the restrictions seem overly broad, consider negotiating or seeking legal advice. These agreements can survive indefinitely so it is important to understand the situation you’ll be left in if you are leaving the current employer for any reason in the future. 

– Non-Solicitation Agreements: These prevent you from soliciting your former employer’s clients, employees, or business partners after you leave. This can significantly affect your future job prospects if you work in a specialized field.

– Confidentiality Agreements: These require you to keep proprietary company information secret. Be sure to understand what information the company considers confidential and the duration of this obligation.

– Arbitration Agreements: Many employers now include arbitration agreements in their onboarding paperwork. By signing an arbitration agreement, you agree to settle any legal disputes through private arbitration rather than in court. 

While arbitration can sometimes be faster, cheaper and less formal than litigation, it can also be less favorable to employees. Arbitration is typically confidential, allowing an employer to keep their bad acts hidden.  There are also procedural considerations, for instance, the rules of evidence and procedure are often more relaxed, which could affect the fairness of the process. If you’re presented with an arbitration agreement, consider seeking legal advice before signing.

Conclusion

Your onboarding paperwork is more than just a formality—it can shape your entire employment experience and affect your legal rights. Before signing anything, take the time to review all documents carefully. If any terms seem unclear or unfair, consider seeking clarification or legal advice. 

If you have any concerns about your rights or the documents you’ve been asked to sign, don’t hesitate to reach out to one of our knowledgeable employment attorneys who can help you protect your interests.

Rachel Bethel
Austin/Houston Employment Trial Lawyer Rachel Bethel

Since it is spooky season, today’s blog is about something that seems to intimidate folks from time to time—mediation. As an employee involved in an active employment dispute, you may hear your attorney advise you to consider mediation. While this may sound like a scary, daunting event, mediations are a highly valuable tool for those involved in workplace conflicts. 

Mediation is one of the most efficient methods of resolving a pre-litigation dispute in advance of court. Mediations allow for parties to discuss their dispute in a less adversarial environment. I’ll walk you through the pre-litigation mediation process, the benefits, and what to expect as a Texas worker.

What is Mediation?

Mediation is a voluntary process in which the parties engage a neutral third-party to support them in obtaining a mutually agreeable resolution. At our law firm, our clients are involved in anything from discrimination matters to workplace sexual harassment to whistleblower retaliation claims. We often advise our clients to consider mediation with their employer or former employer because of the benefits associated with efficient, early resolution. Our opponents are typically interested, too, for many of the same reasons.

The Road to Resolution 

1. Choosing a Mediator

The first step in the process is to discuss mediation with the employer or former employer. If the parties both have interest, the parties must then agree on which mediator to select. 

When going with a private mediator, we counsel our clients to consider mediators with expertise in conflict resolution and employment law disputes. It is essential to choose someone both parties feel comfortable with to ensure agreement and an effective mediation. 

The EEOC provides free mediators as well. These mediators are normally assigned to the parties at random, once both sides express interest in using an EEOC mediator. 

2. Initial Preparation

Prior to the mediation, you and your attorney will:

  • Gather & Review the Evidence: We review all the relevant information we have in your dispute, including all the documents and other materials you have that support your position. We then consider all the arguments available to both sides. We finally relay our thoughts on the case with our clients and discuss various perspectives and strategies for the mediation. 
  • Discuss Housekeeping: Before the mediation, you and your attorney will discuss general things like dress and demeanor. You’ll want to be very professional in both respects. We’ll also review how the selected mediator normally hosts his/her/zer mediation. Our employment attorneys know most of the mediators in the area and have some level of insight into how they host and manage their mediations. Different mediators have different styles and expectations for how it will go. We prepare our clients with each mediator’s style in mind whenever possible.
  • Clarify Objectives: We’ll review what you hope to achieve from mediation and discuss realistic expectations.

3. The Mediation Session

The mediation session itself usually follows a structured format.

  • Opening Statements: Some mediators have the parties meet in a room at the top of the mediation. In today’s technologically savvy world, many mediations happen via Zoom as well. For a Zoom mediation, the mediator will move the parties in and out of “Zoom Rooms.” If the parties are meeting together first, each party has the opportunity to present their side of the dispute and their view of the case. It is a chance to share perspectives and establish context. 
  • Private Caucus: The mediator then separates the parties into different rooms or Zoom Rooms. The mediator conducts a private session with each party. These discussions allow the mediator to provide guidance on each party’s perspectives and counteroffers. The private caucusing also allows each side to speak with the mediator about the strengths and weaknesses of their case. The mediator may use these sessions to explore potential compromises.
  • Negotiation: The mediator works to help both parties identify common ground and negotiate back and forth to a resolution. Mediators may offer more creative solutions for the parties to satisfy everyone’s objectives.

4. Reaching an Agreement

If the parties can reach a consensus, they then proceed to drafting and executing a settlement agreement. We review these documents carefully with our clients before execution to ensure that they understand the terms.

Benefits of Mediation

  • Cost Effective: Mediation is typically far less expensive than litigation—for both sides—as it involves far less in legal fees and associated costs. Private mediators do not mediate for free. However, their fees are likely much less than what it will cost both sides to retain counsel for litigation. Court filing fees alone can make up a good percentage of the cost of a private pre-litigation mediator. For those employees or former employees with pending Charges before the EEOC, EEOC mediators are free.
  • Efficient: Should a mediation result in settlement, as most do, you can avoid spending years on litigation and the stress that comes with fighting in court. Mediations are typically finished within a single day. The settlement paperwork doesn’t take too much time to review and execute either, assuming the terms are all reasonable and acceptable for both parties. Mediations are an effective tool for prompt resolution and closure. 
  • Confidentiality: Mediation sessions are confidential, protecting the parties from public exposure and potential reputational harm. Lawsuits, on the other hand, are not private for either side. 
  • Control Over Outcomes: Unlike in court, pre-litigation mediation allows the parties to have more control over the outcome. 

Conclusion

And there you have it! Mediations are not so spooky after all. They offer a constructive path for resolving employment disputes without the need for litigation. Stay open-minded, be willing to remain resilient during the back and forth, and press on to a mutually agreeable resolution.

If you need an experienced employment attorney to represent you in an employment dispute, give us a call.

Kalandra Wheeler
Kalandra Wheeler is a Board Certified Houston/Austin employment lawyer.

Contracts are like relationship agreements for grown-ups—both parties promise to do their part, and if all goes well, nobody gets ghosted. Contracts (e.g., employment contracts or severance agreements) are meant to clearly outline each party’s rights, duties, and obligations. However, when one party suddenly vanishes or otherwise fails to fulfill their obligations, a breach occurs—like being stood up on date night. Cue the financial heartbreak and possible damages for the non-breaching party, who’s left wondering where it all went wrong. Enter detrimental reliance, the legal equivalent of “but you said you’d be there!”—a concept that can seriously change the outcome of a breach of contract claim. Understanding how breach of contract and detrimental reliance work together can help businesses and individuals avoid being ghosted in the legal world.

Breach of Contract AKA the Legal Version of a Bad Breakup: It’s like when someone promises to be there for you but ghosts you instead. A breach can hit in a few different ways:

  • • Material breach: A substantial failure to perform an essential element of the agreement that undermines the contract’s essence. This is like finding out they never loved you—it destroys the foundation of the relationship (or contract).
  • • Minor breach: A partial failure to perform where the core of the agreement remains intact, but some terms weren’t fulfilled. It’s like forgetting an anniversary but still showing up for date night. Annoying, but the relationship is still intact—mostly.
  • • Anticipatory breach: This occurs when one party indicates in advance that they won’t fulfill their obligations. It’s like them texting, “Yeah, we signed a lease, but I don’t think I’ll be moving in” before you even unpack. Harsh, right?

Detrimental reliance, pursued under the theory of promissory estoppel, is like when someone tells you, “I’m not like the others, I swear,” and you believe them—even if you never defined the relationship (executed a formal contract). Maybe you quit your job or made a big move because of their promise, only for them to bail. Now you’re left holding the emotional (and sometimes financial) baggage. In simple terms, detrimental reliance may be when you’ve rearranged your life based on sweet talk without nuptials.

For detrimental reliance to apply, these conditions must generally be met:

  • • A clear and definite promise: The party making the promise must express a clear commitment. Maybe it was, “I’ll never leave you,” or “I’m ready for something serious.” The key is that they made a solid promise—no vague “we’ll see” stuff.
  • • Reasonable reliance: The relying party must show that they reasonably believed and depended on the promise. You didn’t just fall for sweet words; you had every reason to believe them. Maybe you made future plans together—shopping for rings, meeting the family—so you weren’t being irrational. You had reason to trust them.
  • • Detriment: The reliance must result in some form of loss or harm. Maybe you passed up other opportunities, invested financially, or gave up something important. Now, because you counted on that promise, you’re worse off.

Ultimately, it’s up to a court to decide whether justice requires enforcement. This is the part where the universe (or maybe a judge or jury) says, “It wouldn’t be fair for them to walk away without paying some compensation for the mess they made.”

Detrimental reliance becomes significant in contract disputes when one party argues that, despite the absence of a formal contract, the other party’s promises induced them to take specific actions, resulting in harm when those promises weren’t kept. While detrimental reliance can be a helpful legal safety net in certain situations, it’s always better to have a well-drafted contract. It’s less risky to rely on a written agreement that clearly outlines each party’s obligations.

If you believe you’ve suffered from detrimental reliance or a breach of contract, we have attorneys available for consultation.