StartupDocs.se - Employment Agreement Probationary v1.0.docx

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VERSION HISTORY Version

1.0

When

Who

What

2016-12-23

Erik Byrenius, Mattias Larsson

First version

EMPLOYMENT AGREEMENT This employment agreement (the “Agreement”), “Agreement”), is made between [Company Name] AB, reg. no [Company ID Number], [Address] (the “Company”), and [Name], personal no. [Personal ID Number], [Address] (the “Employee”).

1.

GENERAL

1.1

The Employee is hereby employed [as position, if applicable] by the Company.

1.2

The employment’s starting date is [date]. is [date].

1.3

The employment is for a probationary period of up to 6 months (Swedish: provanställning (Swedish: provanställning ). ). If the employment is not terminated within the 6 months’ probationary period, the employment automatically converts into an employment for an indefinite period (Swedish: tillsvidareanställning ). ).

1.4

The employment is a full time position and may require overtime.

1.5

The Employee shall perform his/her duties at the Company's premises in [City]. The employment may require business travel.

2.

TASKS

2.1

The Employee shall [perform the the duties set forth by the Company from time to time, according to company guidelines and instructions].

2.2

The Employee may not hold any other employment or assignment or engage in other business activities, paid or otherwise[, if such involvement is not reasonably possible to reconcile with the employment under this Agreement. Where doubt exists concerning compatibility of engagement with employment, the Employee must obtain prior consent from the Company].

3.

SALARY, VACATION AND OTHER BENEFITS

3.1

The fixed gross monthly salary is SEK [amount].

3.2

The Employee is not entitled to compensation for overtime or travel time.

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3.3

The Employee is entitled to [30] days of paid vacation per each 12-month period beginning [April 1] and ending [March 31]. The paid vacation is earned the same period the year before. During the employment’s first such period, the Employee is [not entitled to any paid vacation][entitled to advance payment of [days] vacation days].

3.4

During business travel the Employee shall be compensated for reasonable expenses, after submitting an expense report and presenting corresponding receipts.

3.5

[The Company pays premium-based occupational pension (Swedish: tjänstepension) for the Employee, according to the Company’s policy from time to time .]

3.6

[The Employee receives preventive care benefits (Swedish: friskvårdsbidrag ), according to the Company’s policy from time to time.]

3.7

[The Employee is insured under [applicable insurances, e.g. TGL, TFA and TRR].]

4.

CONFIDENTIALITY

4.1

The Employee undertakes towards the Company to keep strictly confidential, not to make use of or disclose to any person or company (otherwise than in the performance of the Employee's duties for the Company) any information (of whatever kind and in whatever form) relating to the Company’s and any associated company’s customers or internal affairs (such as strategic plans, customer lists, profitability, pricing, employees, methods, processes, routines, codes and other similar types of information) which the Company reasonably wants to keep secret.

4.2

Clause 4.1 shall not apply to any information that has been made public by someone having the legal right to disclose the information.

4.3

If the Employee should commit a breach of this Clause 4, the Employee shall be liable to the Company a penalty of SEK fifty thousand (50,000) for every single breach. However, the Company is always entitled to claim indemnity corresponding to the actual damage. Payment of penalty does not affect the Company’s right to demand other sanctions (for example indemnification) due to a breach of this Employment Agreement.

4.4

The confidentiality undertaking in this Clause 4 shall survive the termination of this Agreement.

5.

INTELLECTUAL PROPERTY

5.1

The right to inventions, patents, patent applications, trademarks, designs, copyright, domains, know-how, software, source code, concepts and other intellectual property ("lPR") which have been developed, invented or otherwise produced or will be developed, invented or otherwise produced by the Employee and which concern the Company's products, systems, services and/or business shall be the Company's gratuitous, exclusive and absolute property. This includes the right for the Company to further develop, alter and copy any results, material or intellectual property rights and to license or transfer such rights to third parties. Thus, the Employee shall not be entitled to any form of compensation for, or have any other right to, such IPR.

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5.2

The Employee agrees to (without any additional compensation), at any time during the employment or thereafter, execute any such further documents or deeds as the Company, at its sole discretion, finds necessary or desirable in order to protect, register, maintain or in any other way to fully enjoy the Company’s rights in Section 5.1.

5.3

In relation to copyright rights in computer programs and software created by the Employee as part of employment tasks or work instructions, the copyright is transferred to the Company in accordance with section 40a § Swedish Copyright Act (1960:729).

5.4

All material of any nature (whether written, structured, photos, video uptakes etc.) which the Employee has access to in the employment with the Company, shall be the property of the Company irrespective of whether the Employee has been entrusted with the material by the Company, by any third party or if the Employee has developed the material independently.

5.5

When the Employee's employment with the Company expires or is terminated, or if otherwise requested by the Company (in its sole discretion), the Employee shall return to the Company all reports, documents, working material and other property (including notes and copies thereof), belonging to the Company but in the possession of the Employee. The Employee is not entitled to keep any copies or duplicates of the material.

6.

TERMINATION The employment may be terminated by either party giving the other party notice of termination of (i) 14 days during the probationary period (Swedish: provanställning ) or (ii) [1/2/3] month[s] if the employment has converted into an employment for an indefinite period (Swedish: tillsvidareanställning ), unless a longer notice period follows from mandatory law.

7.

NON-COMPETITION AND NON-SOLICITATION

7.1

The Employee is bound by the non-competition provision as set forth in Appendix 1.

7.2

During the term of the employment and for a period of [6-24 [Note: Typically follows the non-competition clause.]] months after the termination of the employment, the Employee may not without the written approval of the Company directly or indirectly, for its own account or the account of others, solicit, recruit or in other ways engage employees, consultants, customers and/or partners of the Company.

8.

MISCELLANEOUS

8.1

The Employee hereby agrees that the Company may process the Employee’s personal data in accordance with what is set forth in Appendix 2.

8.2

This Agreement (with its appendices) constitutes the entire agreement of all matters relating to the Employee’s employment with the Company. All written or oral commitments and pledges prior to the Agreement are replaced by the contents of this Agreement. Any changes or amendments to this Agreement shall be made in writing and be signed by both parties.

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_________________ In witness whereof the parties have executed this Agreement in two identical copies (of which the parties have received one copy each).

Company

Employee

City:

________________________

City:

________________________

Date:

________________________

Date:

________________________

_______________________________

_______________________________

[Name], [Title]

[Name]

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APPENDIX 1 NON-COMPETITION [Note: This non-competition clause is based on (but not identical to) a new Swedish standard from 2015, between Svenskt Näringsliv (Confederation of Swedish Enterprise) and PTK (Swedish collaborative organization for 26 unions). Non-competition clauses can be difficult to enforce and are not always necessary. Do not come up with your own clauses, as they may be considered invalid by a court. If you decide to include a non-competition clause, see http://www.ptk.se/products/files/konkurrensklausuler.pdf for more information on the Swedish standard, and a discussion about its validity and applicability, especially regarding the duration and compensation.] 1.

The Employee and the Company acknowledge and agree that the Employee has and/or will get access to trade secrets and other sensitive information in the Company’s business and that the Employee can use the information in a way that would hurt the Company from a competition perspective. [For avoidance of doubt, such sensitive information includes, but is not limited to, X, Y and Z.]

2.

Undertakings by the Employee 2.1. Therefore, during a period of [6-24] months after the termination of the employment with the Company, the Employee may not: a) be employed at a company with a competitive business to the Company; or b) in any other way, directly or indirectly, carry on or be concerned, engaged or interested in any capacity whatsoever in any trade or business competing with the Company[, including, but not limited to, X, Y and Z]. 2.2. If the Employee commits a breach of this non-competition undertaking, the Employee shall pay a normalized indemnity corresponding to [6] times the Employee’s monthly salary for each and every breach. 2.3. The monthly salary is calculated as the average of the monthly payments of salary, commission, bonus etc. to the Employee during the last 12 months of employment, only including periods when the Employee has worked for the Company to the extent set out in the employment agreement (i.e. excluding periods if leave of absence, parental leave etc.). 2.4. The Employee acknowledges and agrees that the Company, in case of a breach, is entitled to a recurring indemnity to be paid by the Employee, in case the Employee does not voluntarily cease the activities in breach of this non-competition undertaking.

3.

The Company acknowledges and agrees that this non-competition undertaking is not valid if the Employee is dismissed due to redundancy (Swedish: arbetsbrist ).

4.

Compensation 4.1. If the Employee after the employment is restricted by this non-competition undertaking and as a consequence thereof is unable to find another employment or occupation with

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the same or better remuneration than received from the employment at the Company, the Company shall pay a monthly compensation to the Employee. 4.2. The compensation shall be the difference between the Employee’s monthly salary at the Company and the (lower) remuneration that the Employee receives from another employment or occupation. The monthly salary shall be calculated as set out in Clause 2.3. 4.3. The Employee shall take reasonable action to minimize the loss of income as a consequence of this non-competition undertaking. 4.4. The compensation shall not exceed [60]% of the Employee’s monthly salary at the Company. 4.5. No compensation shall be paid if the employment is terminated due to the Employee’s retirement. 4.6. If the Employee is dismissed due to cause (Swedish: avskedad ), the Company may reduce or completely deny the compensation[, after deliberation with the Employee’s union [Note: Only if the Employer is member of any employers’ organization and/or the Employee is a member of any union.]]. 5.

The Company may, at it’s sole discretion, limit (in terms of duration and/or scope) or completely revoke this non-competition undertaking, including the Employee’s right to compensation, at any time up until two weeks after the Employee has (i) requested such decision from the Company and (ii) accounted for his/her planned activities after the termination of employment.

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APPENDIX 2 PERMISSION FOR PROCESSING OF PERSONAL DATA Processing by the Company of personal data concerning its employees requires in certain cases that permission be obtained from the Employee, according to the Swedish Personal Data Act (1998:204). The purpose of the rules is to protect the integrity of the individual. In addition, the Company is required to inform the Employee of the purposes of the process. This document is intended to give the Employee necessary information and for the Employee to give the Company permission as follows: The Company will in its business need to process information about its employees, e.g. name, address, personal code/social security number, information concerning the employment, goals, privileges, work achievements and educational matters. The information will be used for administration, planning, evaluation and development of the employment and for evaluation and decisions about the business and direction of Company. Certain information may also be transferred to authorities, other companies within the same group of companies and to business parties and thus be made available within and outside the EU, e.g. in internal computer networks for the group of companies. The purposes of such transfers may be reporting obligations to authorities in certain cases, needs of sharing information for cooperation and coordination within the group of companies as well as internal and external marketing purposes and cooperation with third parties. The Employee has a right according to the Personal Data Act, to obtain information from the Company about the processing of personal data pertaining to the Employee. The Company will, upon request by the Employee or if otherwise discovered, rectify any erroneous data. The Company will respect the right of the Employee to withdraw given permission for processing of personal data.

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StartupDocs.se - Employment Agreement Probationary v1.0.docx

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