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The employment agreement indicates the relationship between an employer and an cmployee. An employee agreement is essential particularly when confidentiality and nondisclosure agreements are required.

For Employer: The employment agreement protects intellectual property rights and confidential information of the employer (company) whenever hiring a new employee. It establishes your relationship as “employment at will,” lessening the chances of an unfair termination claim. Usually, an employee agreement also imposes non-compete and non-hire provisions, prohibiting an exiting employee from stealing the employer's clients or workers.