Labour Research (September 2004)

Law Queries

Fixed-term to permanent

Q. We have members who have been working at the same site on a series of fixed-term contracts for over four years. Are they now classed as permanent employees?

A. The Fixed-Term Employees (Prevention of Less Favourable Treatment) Regulations 2002, which came into force on 1 October 2002, contain a provision to limit the use of successive fixed-term contracts.

Where an employee has been continuously employed under a fixed-term contract or a series of fixed-term contracts for four years or more, and is then re-engaged on a new contract, that contract is deemed to be permanent unless the employer can objectively justify the need for that employee to remain on a fixed-term contract.

However, this is not retrospective - any employment prior to 10 July 2002 (when the regulations were required to comply with the European Fixed-term Work Directive) is discounted, so your members will not be deemed to be permanent employees under these regulations.


This information is copyright to the Labour Research Department (LRD) and may not be reproduced without the permission of the LRD.