How to read your first job offer or employment contract
A plain-English walkthrough of your first employment contract: pay, hours, probation, notice, non-competes and IP. What each section really means and what to ask before you sign.
The short answer
An employment contract is the written version of the deal you are agreeing to. The salary number is the part everyone reads; the parts that actually cause problems later are probation, notice periods, working hours, who owns what you create, and what happens if you leave. You are allowed to read it slowly, ask questions, and ask for changes before you sign. Asking questions does not withdraw the offer.
Start with the five numbers
Before you read a single clause, find five numbers and write them down. If any of them is missing or vague, that is your first question to the employer.
- Gross pay — the amount before tax and deductions, and how often it is paid.
- Working hours — the expected hours per week, and whether overtime is paid, unpaid or built into the salary.
- Probation period — how long it lasts and what notice applies during it.
- Notice period — how much warning each side must give to end the job.
- Paid leave — days of holiday, sick leave, and whether unused days carry over.
Probation is not a trial run with no rules
A probation period usually means a shorter notice period on both sides, not that you have no rights. Check two things: how long it is, and what notice applies during it. A one-week notice during a six-month probation means you could be let go with a week's warning for half a year.
If the contract lets the employer extend probation, look for a limit. 'Probation may be extended at the company's discretion' with no cap is worth asking about.
Who owns what you make
Most employment contracts say the employer owns the work you create during the job. That is normal and expected for work you are paid to do.
The clause to read carefully is the one that reaches beyond your job: personal side projects, open-source contributions, things you build on weekends on your own laptop. Wording like 'all inventions conceived during the term of employment' can be read very broadly.
If you have an existing project you care about, list it in writing as excluded before you sign. Doing it afterwards is much harder.
Restrictions after you leave
Three different clauses restrict you after the job ends, and they are often confused with each other.
- Confidentiality — you cannot share the employer's private information. Reasonable and normal.
- Non-solicitation — you cannot poach their clients or staff for a period. Usually acceptable if it is short and specific.
- Non-compete — you cannot work for a competitor for a period. This is the one that can genuinely block your next job.
What you can reasonably ask for
Negotiating your first contract feels risky. In practice, polite, specific questions are normal and expected, and employers deal with them every week. Vague pushback ('this seems unfair') is what makes conversations awkward. Specific asks do not.
Ask in writing, keep it short, and ask for one or two things rather than ten.
Sample clause language
Illustrative wording, written for this guide — not copied from any real contract.
The Employee assigns to the Company all right, title and interest in any and all inventions, works and materials conceived or created during the period of employment, whether or not related to the Company's business and whether or not created using Company resources.
'Whether or not related to the Company's business' captures your personal projects. Ask for it to be limited to work related to the company's business or made using company time or equipment.
The Employee assigns to the Company all right, title and interest in inventions, works and materials created in the course of the Employee's duties or using Company time, equipment or confidential information. Pre-existing works listed in Schedule 1 are excluded.
Scoped to the job, with a written carve-out for what you already own.
Red flags to look for
- Salary described only as a range, or 'to be confirmed', in the signed document.
- Unpaid overtime described as 'such hours as are necessary to perform the role' with no limit at all.
- A non-compete with no time limit, no geographic limit, or no defined industry.
- IP assignment that covers everything you create, related to the job or not.
- The employer can change your duties, location or pay 'at its sole discretion' without your agreement.
- A clause saying you must repay training or recruitment costs if you leave, with no sliding scale.
What to ask for
- Ask for the exact salary figure and payment date to appear in the contract itself.
- Ask for a cap on probation extension, or remove the extension right.
- Ask to list existing personal projects as excluded from the IP clause.
- Ask for the non-compete to be narrowed to named competitors and a shorter period, or dropped for a junior role.
- Ask for notice periods to be equal on both sides.
- Ask for anything you were promised verbally — remote days, review timing, bonus — to be written in.
Find this clause in your own contract
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Frequently asked questions
Can I ask for changes without losing the offer?
Asking specific, polite questions about a contract is completely normal and employers expect it. An employer who withdraws an offer because you asked a reasonable question has told you something useful about working there.
The employer said 'nobody signs the standard version, don't worry about it'. Is that fine?
No. Only what is written in the signed document is enforceable. If a term will not be applied, ask for it to be removed or amended in writing.
Do I have to sign on the spot?
Almost never. Asking for one or two days to read it properly is a standard request.
Does this guide apply in my country?
The structure of employment contracts is broadly similar across countries, but employment law is highly local — notice periods, non-compete enforceability and overtime rules vary a lot. Use this to understand what you are reading, then check local rules or ask a qualified adviser for anything that matters financially.
Related guides
This guide is general educational information about how these clauses usually work. It is not legal advice, and contract law differs by jurisdiction. For a decision that matters, speak to a qualified lawyer.