CONTRACT OF EMPLOYMENT

KNOW ALL MEN BY THESE PRESENTS:

This Contract of Employment is executed made this [date] by:

[name of company].  a corporation duly organized and existing in accordance with laws of the
Republic of the Philippines, with principal offices at [address] represented in this act by its Founder and
Chief Executive Officer (“CEO”), [ER NAME hereinafter] referred to as the EMPLOYER;
-AND-
EE NAME of legal age, Filipino and a resident of MANILA herein referred to as the
EMPLOYEE.
Witnesseth:
WHEREAS, the Employer is engaged in the business of a engineering and design company
(otherwise a, “design company”) a type of business entity that focuses primarily on the information
technology and allied services sector thus includes but is not limited to software development that may
lead to technological advancements and industrial innovation;

WHEREAS, the EMPLOYEE hereby possesses the education, experience, and skills required to
perform the job as described herein;

WHEREAS, the EMPLOYER is in need of the services of the EMPLOYEE who shall perform
work assigned to;

WHEREAS, Employee manifests and guarantees that he/she possesses the requisite qualities and
competencies needed by the Employer in the conduct and course of its business;
NOW THEREFORE, the parties hereby agree as follows:

1. APPOINTMENT
Employee is hereby appointed as “POSITION” under probationary status for a period of six (6)
months reckoned from the first day of actual report for work. At the time of the Employee’s engagement,
he/she will be informed of the reasonable standards required for his/her regularization.

2. COMPENSATION
2.1 Employee will receive a basic monthly rate of PHP 00,000 gross of withholding tax, SSS, Pag-
IBIG contributions, and government-required deductions to be allowed by Employee. In addition,
Employer will pay the mandatory 13th month salary at the end of each calendar year and EMPLOYER
may, at its discretion, provide midyear or performance bonuses. Annual and incremental salary
adjustments and merit increases may be effected on a case to case basis and upon the recommendation of
the immediate manager and upon approval of management.

3. REGULARIZATION OF EMPLOYMENT
By or before the end of the six-month probationary period, depending on the recommendations of the
immediate supervisor/manager, Employee will become a regular employee of the company entitled to all
company benefits and privileges enjoyed by regular employees. Vacation and sick leaves shall be based
on existing laws and policies of the company.
 4. VACATION AND BENEFITS
4.1 Upon regularization, Employee will be entitled to thirteen (7) vacation leaves upon regularization
and (8) sick leaves upon hiring, for each year of actual employment, which are all non-monetizable. The
Employee is required to accrue leaves benefits, before it can be applied for. Since leave credits are not
convertible to cash, the Employee is strongly encouraged to use all leave credits during the calendar year
earned. Any remaining accrued leave not used by December 31 st may only be carried over until March
31st of the following year.
4.2 Employee will be paid 200% of their regular wage during “regular official holidays” including:
New Years’ Day, Maundy Thursday, Good Friday, April 9, Labor Day, Independence Day, Phil-Am
Friendship Day, All Souls Day, Christmas Day and Rizal Day, if these days are worked. However,
employees who refuse to report for work on days tagged as “regular official holidays” will get 100% or
their regular wage. Employee will also receive 30% of his/her regular pay during special nonworking
holidays issued by the President of the Republic of the Philippines in the course of the calendar year.

5. DUTIES AND RESPONSIBILITIES [of the position]

5.1 Employee shall perform the duties and responsibilities that his position or job necessarily entails,
as may be contained in his job description or as may be reasonably assigned to him by the company from
time to time. The specific duties and responsibilities of Employee are contained in the corresponding
Scope of Work and Job Description, which herein Employee acknowledges to have read and understood
as a condition for his regularization and entitlement to other benefits and promotion.

5.2 Employee is obliged to perform his duties loyally, independently, industriously to help meet the
goals and objectives of the Company and is expected to carry out these responsibilities to the best of his
knowledge and abilities to protect and advance the interests of the Company, its principals, and its
employees. It is a condition of Employment that Employee maintains the necessary level of technical
expertise in the performance of his job, which may necessitate him to attend Courses and Certification
Programs to keep abreast of current developments and changes in technology.

6. PLACE OF WORK
Employee’s primary place of work will be Metro Manila, Philippines. The Employee agrees that
Employer may transfer him to any other location as may be required by the demands of the business, the
organizational requirements of the company and the responsibilities of the Employee’s position. The
Employee may be required to travel from time to time, as the necessity of the business dictates.

7. HOURS OF WORK
The Employee shall render a minimum of eight (8) hours of work per day and report for work at least
five (6) days per week. EMPLOYEE is required to report in work 9am-6pm. It is understood that the
Employee is being employed with a level of trust and confidence and degree of responsibility that may
further require him to render work beyond normal business hours for which Employee may be justly
compensated by offsetting of working hours based on the number of hours rendered beyond the (8) hours
of work.

8. OVERTIME WORK
In case the demands of the business or the company would require the Employee to work more than
his regular work schedule, he may be required to render overtime work. As non-rank and file workers,
Overtime work is not compensable for all employees unless otherwise declared by management.
 9. DECORUM
The Employee shall observe and comply with all company rules and regulations, written or otherwise.
Employee shall devote his entire working time for the Employer and shall have no direct or indirect
interest in any firm or entity, whether for profit or not, directly in competition with or offering the same
services or within the scope of the same industry as Employer nor shall Employee take any interest that is
conflicting or inimical to Employer.

10. NON-COMPETITION
In the event Employee is separated or terminated from employment for whatever reason, he shall not
in any capacity, whether in the capacity as an employee, officer, director, partner, manager, consultant,
agent or owner, neither directly nor indirectly advise, manage, render or perform services to or for any
person or entity foreign or local which is engaged in a business competitive to that of the Employer or any
of its subsidiaries within any geographical location wherein the Company or any of its subsidiaries
produces, sells or markets its good and services at the time of such termination for a period of two (2)
years from date of separation or termination, without the prior notice to and written consent of the
Employer.

11. NON-SOLICITATION
For a two-year period following the termination of the Employee’s employment for any reason or
without reason, the Employee shall not solicit or induce any person who was an employee of the
Employer or any of its subsidiaries, to leave their employment with the Employer.

12. INTELLECTUAL PROPERTY [any related property that your company owns]
11.1 The Company shall be entitled to sole ownership of all work product and any intellectual
property rights including but not limited to software programs, hardware specifications and other property
rights created, developed and discovered by the Employee while in the course of his employment with the
Company and created on company premises and equipment, including all registrations for the same.
Work Product means all programs, systems, data and materials, including but not limited to, images,
graphic user interface, source code, object code, and any documentation and notes associated with the
[name] Application, in whatever form, first produced or created by or for Employer as a result of, or
related to, performance of work or services under this Contract.

11.2 The Employee agrees that he shall promptly disclose to the Company the following: a) all
software programs, inventions, improvements, discoveries and technical developments (‘Inventions’)
made, created or conceived by him/her (either alone or with others) during the term of employment, b) all
Inventions which are based on proprietary information of the Company and are made or conceived by
employee (either alone or with others), and development concepts, ideas, design, and multimedia
graphics, and artwork.

11.3 The Employee hereby assigns to the Company his entire right, title and interest in and to such
Inventions and documents, which relate in any way to or are useful in the Company’s business and in the
course of his employment. The Employee shall do all acts necessary and/or required by the Company to
give effect to this provision. Employee further agrees to cooperate with the Company in the procurement
and maintenance of patents, copyrights, and/or other protection of the Company’s rights to such
Inventions/Documents, Content Design and Multimedia Graphics, at the Company’s expenses. The
Employee shall keep and maintain adequate and current written records of all such Inventions, Content
Designs and Development, which shall automatically become the exclusive property of the Company.
11.4 The Employee also waives his right to file for any copyright application for any such inventions
or concept, designs, ideas while actively employed by the company and within one (1) year form date of
resignation or termination from the company. If within one (1) year after leaving the Company’s employ,
a patent application or copyright registration is filed by the Employee or on his behalf describing and
Invention within the scope of his work for the Company, or which otherwise relates to a portion of the
Company’s business of which he/she had knowledge of and access to during his/her employment,
Employee agrees to specifically state that “the Invention, Concept, Design was conceived by her/him
within the scope of his employment with Employer.”

13. NON-DISCLOSURE
Employee acknowledges and confirms that this contract must remain confidential. Except as may be
legally required by competent authority or applicable statutes, the parties hereto shall not make any
unauthorized disclosures of the terms and conditions embodied in this contract.

14. CONFIDENTIALITY [for editing also]

14.1In order to safeguard the Company’s interest and the confidentiality of its business and
affairs, the Employee agrees that during the term of his employment and from and after the
actual cessation of his employment, he shall maintain strict confidentiality and shall not disclose
any technical, business, financial or commercial information, methods, processes, inventions
(whether covered by intellectual property protection or not or whether marked confidential or
not) including but not limited to: customers, customer lists or requirements, price lists, pricing
structures, marketing and sales information, business plans or dealings, employees or officers,
financial information, product lines research activities, plans designs, formulae whether authored
by the Employee or otherwise – to suit the Employee’s purpose or those of any other person,
company, business entity or other organization whatsoever.

14.2 The EMPLOYEE will hold the Confidential Information received from the Employer in
strict confidence and shall exercise a reasonable degree of care to prevent disclosure to others.
14.3 Employee shall not take out from the Employer’s premises any technical plans, charts, drawings,
codes and other materials containing technical data and information unless with the prior written consent
or permission of the Employer.

1.1 A trade secret is any information, process or idea that is not generally known in the
industry, that the Company considers confidential, and that gives the Employer a
competitive advantage.
Examples of trade secrets include:
a. technical plans, charts, drawings, and other materials containing technical data and information
b. computer program listings, source codes and object codes
c. all information relating to programs now existing or currently under development
d. customer lists and records, sources of purchasing and all other information related to vendors
and suppliers.
 14.4 During and after the Employee’s tenure with the company, he shall at all times practice good
discretion, ask permission and seek prior approval from the company in the use or disclosure of any
company documents – technical or business information, or any information which one might reasonably
expect the company to regard as confidential, whether transmitted or acquired from the Company’s
customers, suppliers, or other persons – to any person, company or entity.
14.5 Upon acceptance of the terms of this Contract of Employment, the Employee must formally
declare that he has properly tendered his resignation from his previous employer and is free from any
obligation to them, not bound to any other company, or subject to any non-competition clause. The
Employee shall neither disclose to the Company nor induce the Company to use any confidential
information or material, which belongs to his former employer.

14.6 The obligations contained in this paragraph shall cease to apply to any information or
knowledge, which may subsequently come into the public domain after the termination of employment,
other than by way of notarized disclosure.
14.7 The Employer reserves the right to take disciplinary action, up to and including termination for
violations of the Confidentiality Clause of this Contract. Failure to comply with this confidentiality
undertaking shall be construed and considered as Gross Misconduct and may be deemed a ground for the
termination of his employment.

15. UNDERTAKING
The Employee shall work exclusively for the benefit of the company. Employee warrants that he shall
comply with all his undertakings and obligations set forth in this Contract and shall indemnify the
Employer of any actual losses, damages, costs and expenses, including attorney’s fees, incurred as a result
of the breach of this Agreement or his willful act, omission, fraud or negligence.

16. TERMINATION
The Employer reserves the right to terminate or cancel this Contract after observing due process for
just or valid causes and after compliance with procedural and substantive due process requirements under
the Labor Code. Termination may be due to any, but not necessarily limited to the following:
(a) Inefficiency;
(b) Breach of confidentiality and non-disclosure
(c) Violation of company’s intellectual property rights
(d) Just and authorized causes enumerated in Article 282, 283, and 284 of the Labor Code;
(f) Other causes provided in the Company Rules and Regulations; and
(g) Other analogous causes.
 1. ACCEPTANCE OF TERMS AND CONDITIONS OF EMPLOYMENT
By the Employee’s affixing of his signature on the herein Employment Contract, we undertake and
guarantees that:
a. The Employee has read and fully understood the terms and conditions hereof and accepts the same;
b. The terms and conditions for the regularization of his employment have been clearly communicated to
and accepted by him/her at the time of his engagement.

IN WITNESS WHEREOF, we have set our hands this [date] at [city name].

EMPLOYER EMPLOYEE
SIGNED AND WITNESSED BY:
_______________________ _______________________

ACKNOWLEDGMENT
REPUBLIC OF THE PHILIPPINES)
)S.S.

BEFORE ME, this [DATE] in [City name], personally appeared:

(Name CTC No. Issued at Issued on)

known to me to be the same persons who executed the foregoing instrument consisting four (4) pages
including this Acknowledgment, and who acknowledged to me that the same is their voluntary and free
act and deed and those of the parties represented.

IN WITNESS WHEREOF, I set my hand and affix my notarial sea on the date and place above written.
Notary Public
Doc. No. _____;
Page No. _____;
Book No. _____;
Series of ______.