Puerto Rico Employment Guide

Essential Components of an International Employment Contract

For global hiring, employment contracts must be executed in English, though bilingual versions are acceptable. These agreements must be formalized in writing and signed by both the employer and the employee to ensure legal enforceability across jurisdictions.

A comprehensive contract should clearly specify the following elements:

1. Full legal names of the employer and employee
2. Official employment commencement date
3. Duration of the employment term, if fixed
4. Detailed job description and primary responsibilities
5. Conditions and procedures for contract termination

For instance, SailGlobal assists multinational companies in drafting contracts that comply with local labor laws while maintaining global standards, reducing legal risks in countries like Germany and Japan where termination clauses are strictly regulated.

Understanding Probation Periods for Different Employee Classifications

The length of the probation period varies significantly based on the employee's classification under international labor standards.

1. Non-exempt employees: Typically subject to a 9-month probation, allowing employers to assess performance in roles eligible for overtime.
2. Exempt employees: Often have a 12-month probation period, common for managerial or professional roles exempt from overtime regulations.

In practice, companies like SailGlobal recommend aligning probation terms with local regulations—for example, adhering to the 6-month maximum in the UAE while using extended periods where legally permissible, such as in Singapore for senior roles.