What Are Fixed-Term and Indefinite-Term Employment Contracts? (Turkish Labour Law, Article 11)
What is a Fixed-Term and Indefinite-Term Employment Contract?
What is a fixed-term and indefinite-term employment contract is one of the most critical questions in labor law. This is because the duration of the contract directly affects the rights of the parties. Therefore, it is necessary to choose the correct type of contract.
The employee undertakes to perform work, and the employer pays wages. Thus, an employment relationship is established between the parties. If the parties set a duration in the contract, they establish a fixed-term employment contract. However, if the parties do not set a duration, an indefinite-term employment contract arises.
Fundamental Elements of an Employment Contract
First, it is necessary to properly understand the employment contract. This is because this structure determines the entire employment relationship.
An employment contract contains three fundamental elements:
- The employee performs the work
- The employer pays wages
- The employee works under the subordination of the employer
Therefore, the element of subordination forms the basis of the contract. Furthermore, this element allows it to be distinguished from other types of contracts.
What is a Fixed-Term Employment Contract?
A fixed-term employment contract is a contract in which the parties clearly specify an end date. Therefore, the contract terminates at the end of the specified period.
For example:
- Project-based work is performed
- Seasonal work is performed
- Temporary needs are met
However, an employer cannot enter into this contract in every situation. This is because the law requires objective reasons. Therefore, the employer cannot act arbitrarily. Additionally, if there is no valid reason, the contract is considered an indefinite-term contract.
What is an Indefinite-Term Employment Contract?
An indefinite-term employment contract is a contract where the parties do not specify a duration. Therefore, the employment relationship continues and is not limited by time.
In practice, employers prefer this model more. Because the need for continuous work is met with this contract.
Also:
- The employment relationship continues
- Parties exercise the right of termination
- Notice periods come into effect
For this reason, the employee gains stronger protection.
Differences Between Fixed-Term and Indefinite-Term Employment Contracts
These two types of contracts lead to different outcomes. Therefore, it is necessary to clearly evaluate the differences.
| Criteria | Fixed-Term | Indefinite-Term |
|---|---|---|
| Duration | Determined at the beginning | Not determined |
| Termination | Ends at the end of the term | Requires formal termination |
| Job Security | Remains more limited | Becomes stronger |
| Notice Period | Mostly not applied | Applied |
Therefore, the contract type directly determines the employee's rights.
In What Situations Is a Fixed-Term Contract Made?
The employer must show a valid reason to establish a fixed-term contract. Otherwise, the contract is accepted as an indefinite-term contract.
For example:
- The duration of the work is known from the start
- Seasonal work is performed
- Temporary needs arise
For this reason, the nature of the work plays a determining role.
Things to Consider
It is necessary to act consciously during the contract process. Therefore, it is beneficial to follow these steps:
- Clearly determine the contract type
- Write the duration clearly
- Compare your rights
- Request a written document
👉 Current legislation:
Internal Links
👉 Related content:
- What is a service certificate
- What is an employment contract
Conclusion
In conclusion, what is a fixed-term and indefinite-term employment contract defines the foundation of the employment relationship. Therefore, the parties choose the correct type of contract. Furthermore, making a conscious choice prevents the loss of rights and makes the process secure.