Establishing secure connection…Loading editor…Preparing document…

HR MSA Template

This template is fully customizable. Edit the text, fill out the fields, and send it for signature. Give it a try!

HR MASTER SERVICES AGREEMENT

This Master Services Agreement (the "Agreement") is entered into as of Date: by and between Company Name: , Principal Address: (the "Company"), and Service Provider Name: , Principal Address: (the "Provider"). The Company and the Provider are each a "Party" and collectively the "Parties."

1. Definitions

Capitalized terms used in this Agreement have the meanings set forth in an applicable Statement of Work ("SOW"). For purposes of this Agreement, "Confidential Information" includes employee personally identifiable information, payroll data, benefits records, medical and background-screening results, and any nonpublic business information disclosed by a Party.

2. Scope of Services

3. Term and Termination

Term Commencement Date: . Initial term: months. Thereafter the Agreement will automatically renew for successive terms unless either Party provides written notice of non-renewal at least days prior to the end of the then-current term. Either Party may terminate for convenience upon days' written notice. Material breach not cured within days permits termination for cause.

4. Fees, Invoicing and Payment

All fees are exclusive of applicable taxes. Unpaid amounts bear interest at the lesser of 1.5% per month or the maximum allowed by law.

5. Personnel; Background Checks; Classification

Provider shall assign only personnel who are qualified and authorized to perform the Services. Provider is responsible for compensation, benefits, taxes and all employer obligations for its personnel. Provider shall ensure assigned personnel have undergone background screening in accordance with Company requirements and applicable law.

6. Assigned Personnel Records (At least two personnel)

Personnel 1

Proposed start date: Hourly rate / salary:

Provider represents that the foregoing is accurate and Provider authorizes the Company to contact prior employers and references for purposes of verification and background checks. Provider authorizes background checks for Personnel 1: Accept

Personnel 2

Proposed start date: Hourly rate / salary:

Provider authorizes background checks for Personnel 2: Accept

7. Confidentiality and Data Protection

Each Party shall maintain the confidentiality of the other Party's Confidential Information and implement administrative, technical and physical safeguards to protect employee personal data. Provider shall process personal data only in accordance with Company instructions and applicable law.

8. Compliance with Laws; EEO; At-Will

Provider represents and warrants that it and its personnel will comply with all applicable laws, regulations and Company policies. The Parties agree that any temporary or contracted personnel provided under this Agreement are employees of the Provider and not employees of the Company. The Company is an equal opportunity employer and requires compliance with nondiscrimination laws; Provider shall not discriminate in hiring or assignment of personnel.

9. Intellectual Property; Work Product

Unless otherwise agreed in a SOW, all work product created by Provider specifically for the Company under this Agreement shall be deemed work made for hire and assigned to the Company. Provider shall execute assignments and take such actions as reasonably requested to effectuate this provision.

10. Indemnification and Limitation of Liability

Provider shall indemnify and hold harmless the Company from third-party claims arising from Provider's negligence, willful misconduct, or breach of this Agreement. Except for liability arising from gross negligence or willful misconduct, the Parties' aggregate liability shall be limited to the greater of direct damages equal to or the fees paid in the preceding twelve (12) months.

11. Insurance

Provider shall maintain insurance customary for the services provided, including workers' compensation, commercial general liability, and professional liability. Provider shall provide certificates of insurance upon request.

12. Non-Solicitation

During the term and for months after termination, neither Party will solicit for hire the other Party's personnel assigned under this Agreement without prior written consent or payment of a placement fee as agreed in writing.

13. Audit and Records

Company may audit Provider's records that are directly related to fees and compliance with this Agreement upon reasonable notice and during normal business hours. Provider shall retain records for a period of at least three (3) years following performance of the Services.

14. Dispute Resolution; Governing Law

The Parties shall attempt in good faith to resolve disputes through negotiation. If unresolved, disputes shall be submitted to binding arbitration in the state of Governing Law State: , except that either Party may seek injunctive relief in a court of competent jurisdiction.

15. Notices

All notices under this Agreement shall be delivered to the addresses below or to such other addresses as the Parties may notify in writing.

16. Miscellaneous

This Agreement, together with any SOWs, constitutes the entire agreement between the Parties and supersedes all prior agreements. No amendment is effective unless in writing and signed by authorized representatives of both Parties. If any provision is held unenforceable, the remaining provisions will remain in full force and effect.

Acknowledgements and Certifications

Each Party certifies that it has the authority to enter into this Agreement and that the individual signing below is authorized to bind the Party. Provider certifies that the information provided in the Personnel sections is, to the best of Provider's knowledge, true and complete.

Company Name:

By:

Date:

Title:

Service Provider Name:

By:

Date:

Title:

Enter text✕

What the HR MSA Template Is and When to Use It

The HR MSA Template is a master services agreement tailored for human resources engagements that sets the commercial and operational terms between a service provider and an employer or client. It consolidates scopes of work, data-handling obligations, confidentiality and IP clauses, service levels, pricing and billing, indemnities, and termination mechanics into a single framework document designed for repeated reuse across projects or hires. Organizations use an HR MSA to standardize vendor relationships, reduce negotiation time, and ensure consistent treatment of employee data, benefits administration, background checks, and other HR functions.

Why an HR MSA Template Matters for HR Operations

A standardized HR MSA clarifies responsibilities, reduces contract-cycle time, and protects sensitive personnel information through defined security and privacy obligations. It creates predictable billing, dispute resolution, and termination procedures so HR programs can scale without bespoke legal review for routine engagements.

Why an HR MSA Template Matters for HR Operations

Which Teams and Roles Use an HR MSA Template

HR, procurement, and legal teams commonly use this template to accelerate vendor onboarding while controlling risk and data handling.

  • In-house HR leaders and people operations: prepare standard terms for benefits administrators, recruiting partners, and PEOs to minimize negotiation and ensure consistent employee data protections.
  • Procurement and sourcing managers: use the MSA to manage vendor panels, standardize SLAs and pricing, and reduce duplicate contract reviews across departments.
  • General counsel and compliance teams: review and approve baseline MSA language to ensure regulatory compliance, including data privacy and record retention requirements.

Use the template as a baseline; adjust only the negotiated commercial exhibits and any industry-specific privacy addenda required for regulated data.

Core Sections You Should Expect in a Professional HR MSA

A robust HR MSA groups essential legal and operational provisions so parties can align on services, performance, and data controls without repeated drafting.

Scope of Work

Defines specific HR services (payroll, recruiting, benefits administration). Attach project-level statements of work to avoid ambiguity about deliverables and acceptance criteria.

Fees and Billing

Specifies pricing model, invoicing cadence, expense pass-through, and late-payment remedies. Include clear definitions for billable time, milestone payments, and change-order mechanics.

Data Protection

Requires applicable security controls, breach notification timelines, and a signed HIPAA business associate agreement where protected health information is processed.

Confidentiality and IP

Protects employee and company data with narrow use restrictions and defines ownership of any deliverables or enhancements created during the engagement.

Liability & Indemnity

Limits direct damages, excludes consequential losses where appropriate, and sets indemnity scope for third-party claims arising from service performance or data breaches.

Termination & Transition

Describes termination for convenience and cause, notice periods, exit assistance, data return or destruction obligations, and any transitional fees.

Step-by-Step: Fill and Finalize an HR MSA

Follow these sequential steps to prepare, review, and execute the HR MSA with minimal rework.

  • 01
    Prepare draft: Populate core fields and attach SOWs.
  • 02
    Internal review: Route to HR, procurement, and legal for comments.
  • 03
    Negotiate terms: Resolve pricing, liability caps, and data clauses.
  • 04
    Execute and retain: Obtain signatures and store final executed copy securely.

How to Configure an Online HR MSA Workflow

Design an e-signature workflow that enforces signing order, required fields, and optional authentication steps for sensitive approvals.

Field Configuration
Signature order Set signer sequence to protect approvals.
Required fields Lock key fields to prevent incomplete execution.
Authentication Use email + SMS or KBA for higher-assurance signers.
Retention Enable automated archival and export to records systems.

Distribution and Integration Considerations for an HR MSA

Choose delivery channels and integrations that match your operational systems and compliance needs.

  • Document formats: PDF, DOCX supported
  • Integrations: Salesforce, NetSuite, Google Workspace
  • Authentication: Email, SMS, SSO options

Ensure the platform captures an audit trail, supports required authentication, and can export signed agreements to your HRIS or contract repository.

Typical Routing: From Draft to Signed HR MSA

A predictable routing flow reduces bottlenecks and ensures each stakeholder sees the document in the right order.

  • Upload: Sender uploads the MSA and attachments.
  • Place fields: Add signature, initial, and date fields.
  • Assign signers: Enter signer emails and set order.
  • Execute: Collect signatures and store completion record.

Timing Considerations and Key Deadlines

Certain HR activities tied to an MSA have statutory or operational deadlines; track them to avoid penalties and service interruptions.

Effective date impact:

Start date governs obligations and may affect payroll cutoffs.

Invoice deadlines:

Specify net terms (e.g., Net 30) to control cashflow and dispute windows.

Data breach notice:

Comply with contractual and state breach-notice timelines.

I-9 and employment records:

Keep related records per 8 CFR §274a.2 retention rules.

Renewal and termination:

Track automatic renewals and notice periods to avoid unintended extensions.

Key Milestones in an HR MSA Lifecycle

A milestone view helps project-manage the legal and operational tasks tied to the MSA.

01

Draft Finalized

All exhibits and SOWs attached and internally approved.

02

Signatory Approval

Authorized signers confirm authority and sign routing is set.

03

Execution Date

Agreement becomes binding and services may begin.

04

Transition/Exit

Complete data handover and wind-down per termination terms.

Common Mistakes to Avoid When Preparing an HR MSA

  • Leaving the scope too vague, which creates disputes over deliverables, acceptance criteria, and billing triggers.
  • Failing to attach or reference a detailed Statement of Work, causing misaligned expectations at project start.
  • Omitting data processing or HIPAA terms when employee health information is exchanged, risking regulatory noncompliance.
  • Using initials or scanned names instead of fully specified signatory names and titles, which can complicate enforcement.

Risks and Potential Legal Consequences of an Incorrect MSA

Contract ambiguity: May lead to costly disputes and exposure to unintended liabilities.
Data breaches: Regulatory fines and indemnity claims if required safeguards are missing.
HIPAA exposure: Civil penalties if PHI protections and a BAA are absent.
Tax reporting: Mischaracterized payments can trigger IRS information return penalties.
I-9 noncompliance: Paperwork violations can incur DHS fines (see 8 CFR §274a.2).
Unauthorized signatory: Invalid signatures can render the agreement unenforceable.

eSignature Vendor Comparison for Executing HR MSAs

Compare common vendor features and starting prices to choose a signing platform that meets security, volume, and compliance needs.

signNow DocuSign Adobe Sign PandaDoc HelloSign
Starting Price $8/user/mo $15/user/mo $14/user/mo $19/user/mo $15/user/mo
Free Trial 7-day free trial Varies by vendor Varies by vendor Varies by vendor Varies by vendor
Bulk Send Yes Yes Yes Yes No
Audit Trail Yes Yes Yes Yes Yes
HIPAA Compliant Yes Yes Yes No No

Frequently Asked Questions About the HR MSA Template

Answers to common execution, enforceability, and compliance questions to reduce delays and rework.


Need help? Contact support

be ready to get more
Join over 28 million airSlate SignNow users