Signing an employment agreement in BC? Before accepting a job offer or signing a new contract, make sure you understand what you’re agreeing to.

An employment contract can affect your salary, bonuses, severance pay and ability to work for another company. Some clauses can significantly limit your rights, even if your employer describes the agreement as standard.

Not every employment contract clause is enforceable in British Columbia. Even if you’ve already signed, you may have more rights than your agreement suggests.

⚠️ Before you sign, always check first. A few lines in your employment contract could cost you months of severance pay or restrict your next job. Have the agreement reviewed before accepting the terms.

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What Is an Employment Agreement in BC?

An employment agreement is a contract between an employer and employee that sets out the terms of the job.

It can cover:

  • Salary, bonuses and commissions.
  • Job duties, hours and work location.
  • Vacation and benefits.
  • Probation periods.
  • Severance pay if your employment ends.
  • Restrictions on working for competitors.

Employment agreements can be written, verbal or based on the terms of the working relationship. Even without a signed contract, employees have rights under BC employment law.

Do You Have to Sign an Employment Contract in BC?

You don’t automatically have to sign every employment contract your employer gives you.

If you’re accepting a new job, the employer may make signing an agreement a condition of the offer. You can ask questions or negotiate terms before accepting.

If you’re already employed, the situation is different. Your employer may ask you to sign a new contract during a promotion, restructuring or change to your role.

That agreement could reduce rights you’ve already earned. In some circumstances, a new contract requires something of value in return to be enforceable.

Don’t sign a replacement agreement simply because your employer says everyone has to. Understand what has changed first.

Are Employment Contracts Enforceable in BC?

Yes, but an employment contract can’t take away minimum rights protected by BC law.

An employment agreement must comply with the BC Employment Standards Act and other applicable laws.

A clause may be unenforceable if it:

  • Provides less than the minimum termination pay required by law.
  • Attempts to remove other mandatory employment protections.
  • Uses unclear or conflicting wording that fails to establish the intended restriction.
  • Places unreasonable restrictions on future employment.

Not every mistake makes an entire contract invalid. The wording of the agreement and the applicable law determine which terms can be enforced.

💡 Important: Signing an employment contract doesn’t automatically make every clause enforceable. Your employer may be relying on a restriction that doesn’t legally apply.

6 Employment Contract Clauses to Check Before Signing

These are some of the most important terms to review:

1. Termination and Severance Pay

Your contract may attempt to limit your severance to the minimum required by BC’s Employment Standards Act.

If the clause is enforceable, it can significantly reduce your compensation. If it’s invalid, you may be entitled to months of BC severance pay instead of weeks.

Learn more about termination clauses in BC.

2. Probation Periods

A probation clause may affect your rights if you’re fired shortly after starting a job.

However, being a new employee doesn’t automatically mean you’re on probation or that you’re owed no severance.

Read our guide to probation period rights in BC.

3. Non-Compete and Non-Solicitation Clauses

Your employer may try to restrict where you work or which clients you can contact after leaving.

These restrictions aren’t automatically enforceable. A non-compete clause must be reasonable and legally justified.

Learn more about non-compete clauses in BC.

4. Fixed-Term Contracts

A fixed-term agreement sets an end date for your job.

If your employer ends the contract early without an enforceable termination provision, you may be entitled to compensation based on the remaining term, subject to the applicable rules.

Read our guide to fixed-term employment contracts.

5. Bonuses and Commissions

Check how bonuses and commissions are earned, when they’re paid and what happens if you’re fired or resign.

A contract may attempt to limit payments after termination. Whether that restriction is enforceable depends on its wording and the law.

6. Changes to Your Job

Some contracts give employers broad powers to change your duties, compensation, hours or work location.

A major change to your job could otherwise amount to constructive dismissal in BC. Review these clauses before agreeing to them.

Before You Sign, Know What You're Giving Up.

An employment contract could limit your severance, compensation or next job. Have it reviewed before accepting the terms.

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Can Your Employer Change Your Employment Agreement?

Not every change can be imposed without your agreement.

If your employer wants to reduce your pay, change your duties or introduce a new contract, your rights depend on your existing agreement and the circumstances.

A significant change imposed without your agreement may amount to constructive dismissal, potentially entitling you to severance pay.

However, don’t resign or reject a major contract change without getting legal advice first.

Already Signed an Employment Contract? You May Still Have Rights.

An unenforceable clause doesn’t become valid simply because you signed the agreement.

For example, if you’re fired and your employer offers only a few weeks of severance based on a termination clause, that may not reflect your full legal entitlement.

If the clause is invalid, you could be owed significantly more compensation. Full severance can reach up to 24 months’ pay in appropriate cases.

Before accepting your employer’s decision, have the agreement and severance offer reviewed.

Employment Agreement BC: Frequently Asked Questions

Is a written employment contract required in BC?

No. Employment agreements can be written, verbal or implied. Most employees still have minimum legal protections even without a signed agreement.

Can I negotiate an employment contract?

Yes. Before accepting a job, you can ask your employer to change terms involving salary, bonuses, severance, probation or restrictions on future work.

Can an employment contract limit severance pay in BC?

Yes, if the termination clause is legally enforceable. If it isn’t, you may be entitled to significantly more than the minimum required by law.

Can my employer make me sign a new agreement after I’ve started working?

Your employer can propose a new agreement, but you don’t automatically have to accept every change. The terms and whether you receive something of value in return can affect enforceability.

What if my employment contract is invalid?

An invalid clause may not be enforceable, but that doesn’t necessarily invalidate the entire agreement. Your legal rights depend on which provisions are affected.

Have Your BC Employment Agreement Reviewed

An employment contract can affect your income, severance rights and career long after you’ve signed it.

The employment lawyers at Samfiru Tumarkin LLP help non-unionized employees across British Columbia review contracts, challenge unfair terms and understand their legal rights.

Speak with our Vancouver employment contract lawyers or Surrey employment contract lawyers about your agreement.

Before you sign, always check first.

➡️ Get a Consultation or call 1-855-821-5900.

Advice You Need. Compensation You Deserve.

Consult with Samfiru Tumarkin LLP. We are one of Canada's most experienced and trusted employment, labour and disability law firms. Take advantage of our years of experience and success in the courtroom and at the negotiating table.

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