Digital Contract Signing: Everything You Need to Know!

Digital Contract Signing: Everything You Need to Know!

The new employee onboarding process at any organization consists of completing a lot of paperwork. One of the crucial elements of onboarding paperwork is taking the candidate's signature at the end of every clause. This ink signature has become the norm during onboarding. 

But with the current global pandemic, most organizations, HR teams, and new employees are working remotely. This certainly makes it difficult to get the ink signature on onboarding papers. In times like these, using digital contract signing will be the best way to ensure that the onboarding paperwork is done in time. This will also give the employee a sense of security and value. 

Let’s learn more about digital contract signing in this blog post. 

Digital contract signing: What is it?

In simpler words, digital contract signing includes taking the candidate’s digital signature on the new employee onboarding documents making it easier to complete the process smoothly and efficiently. Since it is digital signing, you can use digital tools or cloud-based onboarding tools that can allow the new employee to access the contract documents. 

How can candidates use digital contract signing?

If your organization uses a cloud-based tool that can provide digital contract signing, candidates can access the documents using this tool. 

All the onboarding documents will be made available as Microsoft Word documents or PDFs. The areas where signing is required are clearly marked to ensure the candidate is aware. Most digital contract signing tools have pre-made cursive signatures or candidates can provide their own by using the touchscreen. 

Once the candidate has digitally signed the documents, they can directly submit them via the cloud-based tool. The signed documents will be made available to the HR teams immediately. 

Digital contracts: Are they legal? 

Yes, digital contracts are as legal as their paper counterparts. The Federal legislation established in 2000 which is also known as the Electronic Signatures in Global and National Commerce Act (ESIGN) has made digital contracts acceptable and legal. 

The digital contracts will have the same status legally as their paper counterparts. So, organizations and candidates need to abide by the terms and conditions put in the digital contracts respectively to avoid any legal action. 

Digital contract signing: What are the advantages? 

Everyone who is involved in the employee onboarding process will benefit from digital contract signing. For HR and hiring teams, digital contracts will make it easier to complete the process. 

Also, going paperless will reduce the need for printing, posting, and chasing the onboarding documents. There will be less risk of losing the documents in the post allowing the companies to comply with the latest CCPA and GDPR. 

For candidates, digital contract signing will make the complete process smooth, quick, and hassle-free. It will also allow the candidates to put more emphasis on learning their responsibilities effectively. They will also get a user-friendly and engaging experience creating a positive onboarding. 

At Squadsy, we are always looking to discuss advanced options that improve the onboarding experience for candidates and organizations. As one of the best onboarding companies, we are always striving to discuss and improve the onboarding process around organizations. To get in on the discussion, contact our team now!

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