Oklahoma Employment Contract Template

An Oklahoma employment contract is a written agreement between an employer and employee. It defines compensation, duties, benefits, and workplace policies. While most jobs in Oklahoma are at-will, contracts can create binding terms for notice, termination, or additional benefits.

• At-will employment: Oklahoma follows the at-will rule, allowing either party to end employment at any time unless a contract or law provides otherwise. Exceptions apply for discrimination, retaliation, or public policy violations.
• Minimum wage: Oklahoma adopts the federal rate of $7.25/hour. Employers with 10+ full-time employees at one location or with annual gross sales over $100,000 must pay at least $7.25/hour. Smaller employers not covered by the Fair Labor Standards Act may pay as little as $2.00/hour. Tipped employees may be paid $2.13/hour in direct pay if tips raise total earnings to $7.25/hour.
• Overtime: Non-exempt employees must receive 1.5× their regular rate for hours worked over 40 per week.
• Meal/rest breaks: No state law requires adult meal or rest breaks. Federal law applies: breaks under 20 minutes must be paid. Minors under 16 must get a 30-minute break for every 5 hours worked.
• Paid leave: Oklahoma does not mandate vacation, sick leave, or holiday pay. Employers must follow their written policies.
• Pay frequency: Wages must be paid at least twice per month on regular paydays (Oklahoma Statutes Title 40 § 165.3).
• Final pay: Wages are due the next regular payday after termination, regardless of whether the employee quit or was discharged (40 OK Stat § 165.2).
• Child labor: Work permits are required for minors under 16. Youths face hour restrictions during school terms and are barred from hazardous jobs until age 18.
• Non-competes: Broad non-competes are not enforceable. Oklahoma only allows restrictions preventing the solicitation of an employer’s established customers or use of trade secrets (15 OK Stat § 219A).
• E-signatures: Oklahoma recognizes electronic signatures under the Uniform Electronic Transactions Act (16 OK Stat § 87).
• Recordkeeping: Employers must keep payroll and employment records for at least 3 years.

When drafting an Oklahoma employment contract, include these key sections:

1. Add party details: State employer and employee names, job title, start date, and workplace address.
2. Define job duties: Outline responsibilities, supervisor, and performance expectations.
3. Set pay and schedule: Specify wage or salary, pay frequency, and overtime rules.
4. List benefits: Include policies on PTO, holidays, or health coverage if offered.
5. Breaks and leave: Mention your policy on breaks—especially for minors, since state law requires them.
6. Confidentiality and IP: Add clauses protecting trade secrets and clarifying ownership of work created on the job.
7. Restrictive covenants: Use non-solicitation clauses as permitted under Oklahoma law. Avoid broad non-competes.
8. Termination terms: Acknowledge Oklahoma’s at-will rule but include notice or severance terms if applicable.
9. Governing law and signatures: Confirm Oklahoma law applies and allow electronic signatures.