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Employment

Job Contract Red Flags: 10 Clauses to Question

By FixMyContractLast updated Oct 2, 20265 min read

Short answer: A red flag is a clause that is vague where it should be specific, or one-sided where it should be balanced. None of these automatically makes a contract unlawful or a job a bad one — but each is worth a question before you sign, and many employers will clarify or change them when asked.

Ten clauses to question

  1. Pay that isn't pinned down. "Competitive salary" or a bonus "at the company's discretion" with no criteria. Ask for the base figure, pay dates and how any bonus is decided.
  2. Hours "as required". No stated hours, or a salary said to cover all hours worked. Ask what's expected, and whether overtime is paid where the law requires it.
  3. A non-compete wider than the job. Long periods, wide areas or whole industries. Rules differ a lot by place — see are non-competes enforceable and Australia and Canada.
  4. Repayment clauses. Having to repay training costs, relocation or a sign-on bonus if you leave. Ask for the amount to reduce over time and to be waived if you are let go.
  5. A one-sided variation clause. The employer can change duties, location or pay "at any time". See can my employer change my contract.
  6. IP terms that reach your own time. Ownership of everything you create, even outside work and unrelated to the job. Ask to limit it to work done for the employer, and list any existing projects. See IP assignment.
  7. Probation with no notice. Ask what notice applies during probation and how it ends.
  8. Mandatory arbitration and class waivers (mostly US). See should I sign an arbitration agreement.
  9. Confidentiality with no end and no carve-outs. Ask for exceptions for information that becomes public and for reporting wrongdoing. See NDA for employees.
  10. Policies "as amended from time to time" that form part of the contract. Ask for copies of any handbook or policy the contract makes binding.

Five things to do before you sign

  1. Ask for the full contract and any policies it refers to, in writing.
  2. Compare it with the offer letter — pay, title, start date, location.
  3. List your questions and ask them together, politely.
  4. Get changes written into the contract, not just promised by email.
  5. Keep a signed copy.

Where FixMyContract fits

Upload your employment contract to read the clauses that matter in plain English from the employee's side, with the contract's own words beside each point where they can be matched, and a suggested ask for each flagged clause.

This is general information, not legal advice. Employment law depends on where you work; for a specific contract, talk to a licensed employment lawyer.

Sources

All links checked 2 October 2026.

  1. GOV.UK, Employment contracts and conditions — https://www.gov.uk/employment-contracts-and-conditions
  2. Fair Work Ombudsman, Employment contracts — https://www.fairwork.gov.au/employment-conditions/contracts
  3. U.S. Department of Labor, Overtime pay — https://www.dol.gov/agencies/whd/overtime
  4. Ontario, Your guide to the Employment Standards Act — https://www.ontario.ca/document/your-guide-employment-standards-act-0

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