Simply put, a fixed-term contract has a deadline. They are employed for a fixed period and, once it has expired, they may be laid off. Many countries have a propensity for fixed-term contracts and the courts will likely decide that a fixed-term contract is actually an indeterminate contract. Because indeterminate contracts can be so costly for employers, many indeterminate contracts are turning to fixed-term contracts. However, one aspect to consider is speculative harm. These are damages that may occur in the future, but are difficult to calculate or unlikely. Since indeterminate contracts have uncertainties as to how long they will last, a court cannot accept speculative damages for these cases. In most countries, fixed-term contracts are the exception rather than the norm. China is an exception. Under China`s labour law, an indeterminate contract means that you have hired an employee for life. If the duration or termination of a contract is governed by law, these terms and termination provisions apply to the contract. For example, Consumer Protection Act 68 2008 (CPA) allows the termination of certain fixed-term contracts for consumers within 20 days, eliminating the uncertainty surrounding notice periods.
The CPA also sets a maximum term of two years for these fixed-term consumer contracts. Any allegedly longer agreement should be demonstrated by the supplier in favour of the consumer. Note: Some lenders require proof of their employment status and Lancaster`s policy is to include a funding-compliant date in research contracts. In addition, some lenders will ask you a question such as « Is your financial situation likely to change in the next X years? » In both cases, it will be clear that you may be indeterminate, but you are not permanent. For example, for an athlete, an indeterminate contract can be considered valid as long as the athlete is healthy and the age and condition that suits their sport. Therefore, how a court will judge its effective duration generally depends on each agreement. The short answer is that it can affect how much money you have if you are fired for no reason. If your contract is indefinite and does not contain or is not reasonable, it is accepted that your contract contains a tacit clause that your employer must reasonably communicate to you before your termination or payment instead of termination. If your employer does not inform you properly or makes a payment instead, you are entitled to damages. In addition, the courts have held that employers cannot waive their common law of notification or payment obligations instead of the continued reinstatement of a worker on a temporary basis; if this is the case, employment may be considered indeterminate. With a fixed-term contract, the situation is somewhat different.
If your contract is temporary, your job is already considered terminated on a specified end date, so your employer is not required to inform you properly before that date. For example, if your contract runs from May 1 to September 1, your employer is not required to inform you in August that your contract is about to expire.