For a definite period of time

Employment agreement for a definite period of time

At first sight an employment agreement for a definite period of time may seem the ideal solution for a labour relation of which contract extension is not (yet) certain - or to see for a while how things are going.

A labour contract may be concluded for a well-defined limited period of time, for instance for a few months. It may also be concluded for the duration of a project or for the duration of the absence of an employee who is temporarily being replaced. One of the conditions is always that the parties have no influence on the termination of the contract during the duration of the contract.

Note that a trial period should never exceed one month in an employment agreement for a period not exceeding two years, this under penalty of nullity. The collective labour agreement may include exceptions to this rule.

Another pitfall is the tacit continuation of the contract upon expiry. It means that the employment conditions will remain unchanged, but termination of the contract may become more difficult.

By law, an employment agreement for a definite period of time automatically changes into an employment agreement for an indefinite period of time if it is extended after a period of three years or when it is extended for the fourth time during this period.

A final remark: People often forget that an employment agreement for a definite period of time cannot be terminated in the course of the duration of the contract, unless this has been expressly agreed upon in advance.