AN EMPLOYMENT AGREEMENT WITHOUT TERM BECOMES A BURDEN? HOW TO REPLACE IT WITH FIXED-TERM AGREEMENT

Apr, 28 2017

After the conclusion of employment agreement without term, the employer quite often understands that the employee under this position is required only for certain period of time. What shall he do in this case?

1) Terminate current employment agreement
Most courts consider that changing the term of employment agreement by signing additional agreement is illegal. Therefore, in order to avoid employment disputes, first it is required to terminate current agreement.

2) Add new staff unit
Before hiring the employee, it is necessary to add new position to staff schedule. Employment duties may be similar, however shall not be completely identical.
If employer does not comply with these requirements, then there is a risk that the State Labor Inspection may qualify new agreement as agreement without term.

3) Conclude new employment agreement
The final step is to conclude new employment agreement with fixed term.

However, all the employer’s efforts may be ruined if new agreement violates requirements of the law.
The most common mistakes in fixed-term employment agreement are:
– The agreement does not specify grounds for fixed term;
– The term of the contract, which is concluded for the period of temporal absence of the employee, is limited by the exact date;
– A fixed-term employment agreement is concluded against the will of the employee, although it was required.

To avoid risks, it is better to ask professional lawyers for drafting of employment agreements. VALEN specialists will prepare a draft of employment agreement that meets requirements of the law, and will also inform you on any issues regarding the terms of employment agreement.