The Sales Employment Contract is essential for businesses in New Zealand engaging sales professionals in various capacities. This agreement is designed to comply with New Zealand employment law while addressing the unique aspects of sales roles, including commission structures, performance metrics, and client relationship management. It should be used when hiring any sales professional, from entry-level representatives to senior sales managers, and can be customized based on the specific sales role, industry, and company requirements. The document includes mandatory provisions required by New Zealand law, such as those outlined in the Employment Relations Act 2000, while incorporating commercial elements specific to sales positions such as territory assignments, target setting, and commission calculations. This contract type is particularly important for establishing clear expectations and protecting both employer and employee interests in sales-focused roles.
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1. Parties: Identification of the employer and employee, including full legal names and addresses
2. Background: Context of the employment relationship, including the role being offered and general purpose of the agreement
3. Definitions: Key terms used throughout the agreement including specific sales-related terminology
4. Position and Duties: Detailed description of the sales role, responsibilities, reporting lines, and performance expectations
5. Term of Employment: Whether the employment is permanent, fixed-term, or casual, including start date and hours of work
6. Remuneration: Base salary, commission structure, and other financial benefits
7. Performance Expectations: Sales targets, KPIs, and measurement criteria
8. Leave Entitlements: Annual, sick, bereavement, and public holiday leave as per Holidays Act 2003
9. Expenses and Tools: Policy on reimbursement of work-related expenses and provision of necessary tools
10. Confidentiality: Protection of company's confidential information and trade secrets
11. Intellectual Property: Ownership of work product and innovations developed during employment
12. Restraint of Trade: Non-compete and non-solicitation provisions post-employment
13. Termination: Grounds for termination, notice periods, and procedures
14. General Provisions: Standard legal clauses including governing law, entire agreement, and amendments
1. Company Vehicle: Terms of company vehicle provision and use, included when a vehicle is provided
2. International Travel: Terms related to international travel requirements, included for roles with overseas territories
3. Home Office Allowance: Provisions for remote working arrangements and related allowances, included for remote/hybrid roles
4. Team Management: Additional responsibilities and expectations for sales team leaders or managers
5. Territory Allocation: Specific geographic or client territory assignments, included when territories are exclusively allocated
6. Product Training: Specific requirements for product knowledge and training, included for technical or specialized product sales
7. Client Handover: Procedures for transferring clients upon termination, included for relationship-based sales roles
1. Schedule 1 - Remuneration Structure: Detailed breakdown of base salary, commission rates, bonus structures, and calculation methods
2. Schedule 2 - Sales Targets: Specific sales targets, quotas, and performance metrics
3. Schedule 3 - Territory/Client List: Defined sales territory or allocated client accounts
4. Schedule 4 - Company Policies: Key company policies including sales processes, expense claims, and code of conduct
5. Appendix A - Commission Calculator: Examples or formulas for commission calculations
6. Appendix B - Benefits Summary: Summary of additional benefits including health insurance, phone allowance, etc.
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