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Outside Employment Agreement for South Africa

Outside Employment Agreement Template for South Africa

A South African Outside Employment Agreement is a formal contract that governs the terms under which an employee may engage in additional employment or business activities while maintaining their primary employment. This document ensures compliance with South African labor laws, including the Basic Conditions of Employment Act and Labour Relations Act, while protecting both employer and employee interests. It establishes clear parameters for permitted outside work, managing potential conflicts of interest, and maintaining performance standards in the primary role.

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What is a Outside Employment Agreement?

The Outside Employment Agreement is essential in modern South African workplace environments where employees increasingly seek additional professional opportunities alongside their primary employment. This document becomes necessary when employees wish to engage in consulting, freelancing, teaching, or other professional activities outside their main employment. The agreement ensures compliance with South African labor legislation while protecting the employer's interests regarding confidentiality, resource utilization, and potential conflicts of interest. It typically includes specific provisions about time allocation, reporting requirements, and performance maintenance in the primary role. The agreement helps organizations maintain transparency and set clear expectations while supporting employees' professional growth and additional income opportunities within legal and ethical boundaries.

What sections should be included in a Outside Employment Agreement?

1. Parties: Identification of the employer and employee with full legal names and details

2. Background: Context of the agreement, including reference to primary employment and reason for outside employment arrangement

3. Definitions: Key terms used throughout the agreement, including 'Outside Employment', 'Primary Employment', 'Working Hours', etc.

4. Primary Employment Acknowledgment: Recognition of existing employment relationship and primary duties

5. Permitted Outside Employment Activities: Specific description of allowed outside work, including nature, scope, and limitations

6. Time and Attention: Allocation of time between primary and outside employment, including maximum hours permitted

7. Conflicts of Interest: Provisions for avoiding and managing potential conflicts between primary and outside employment

8. Confidentiality: Protection of confidential information for both primary and outside employment

9. Reporting Requirements: Obligations to report outside employment activities and income

10. Performance Standards: Maintenance of performance standards in primary employment

11. Duration and Review: Term of the agreement and periodic review provisions

12. Termination: Circumstances and process for terminating the outside employment permission

13. General Provisions: Standard clauses including governing law, entire agreement, and amendments

What sections are optional to include in a Outside Employment Agreement?

1. Intellectual Property Rights: Detailed provisions for IP ownership when outside work may involve creative or innovative activities

2. International Work: Additional provisions for outside employment in other countries or jurisdictions

3. Competition Restrictions: Specific non-compete provisions if outside work is in related industries

4. Insurance and Liability: Requirements for professional insurance and liability coverage for outside work

5. Revenue Sharing: Terms for sharing income from outside employment if required by employer

6. Use of Employer Resources: Rules regarding use of employer's facilities, equipment, or resources for outside work

7. Professional Development: Connection between outside work and professional growth or training

8. Health and Safety: Specific health and safety considerations for high-risk outside activities

What schedules should be included in a Outside Employment Agreement?

1. Schedule A - Approved Outside Employment Activities: Detailed list of specific approved activities, employers, or clients

2. Schedule B - Time Allocation Framework: Breakdown of permitted hours and scheduling requirements

3. Schedule C - Conflict Check Procedure: Process and checklist for identifying potential conflicts of interest

4. Schedule D - Reporting Template: Standard format for periodic reporting of outside employment activities

5. Appendix 1 - Related Policies: Copies or references to relevant company policies affecting outside employment

6. Appendix 2 - Compliance Checklist: Checklist ensuring compliance with both primary and outside employment obligations

Authors

Alex Denne

Head of Growth (Open Source Law) @ tiktok成人版 | 3 x UCL-Certified in Contract Law & Drafting | 4+ Years Managing 1M+ Legal Documents

Jurisdiction

South Africa

Cost

Free to use

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