Temporary contracts are often used within schools, but what are the pitfalls?
Temporary/fixed-term contracts are employment contracts which are for a limited time or have a pre-
determined end date. They can provide great flexibility for both employer and employee in situations where it’s difficult to commit to a permanent role, or where there is a need to respond quickly to changing needs.
For example, when you need to cover for an absent staff member or have a temporary funding agreement.
They can be easily extended, or can be made permanent if things change and if the employee wishes to stay. This has to be confirmed in writing.
A fixed-term contract with an agreed end date will normally end automatically on that date and notice does not have to be given again. However, if there is not a clear end date or if circumstances have changed, notice should be given in writing. Therefore, we would always recommend issuing written notice to be sure that you have fulfilled your obligations and also so that the employee is clear on what is happening and has time to look for alternative employment.
Employees on temporary contracts have the same employment rights as permanent employees and cannot be treated differently or less favourably.
Once an employee on a temporary contract has more than 2 years’ service, they are entitled to a redundancy payment when their contract ends.
Once an employee on a temporary contract has 4 years’ service, they are considered to be permanent and automatically become a permanent employee.
School leaders should always keep on top of their temporary contract arrangements so that they are clear
on the costs and implications of ending a temporary contract and ensuring employees are not going to become permanent if this is not required.
For more information or to seek advice, please contact your HR partner.