Limits on the use of fixed term employment contracts

9 April, 2024  

Limits on the use of fixed term employment contracts

 

From 6 December 2023, new limits on the use of fixed term contracts will be in place. For employees other than casuals, this includes:

  • Maximum 2-year contract period — A fixed term contract cannot be for a period of more than 2 years, including renewals and extensions.
  • No more than 2 consecutive contracts — In certain circumstances, an employee cannot have more than 2 consecutive contracts for the same or similar work.

 

If an employee and employer are in dispute about a fixed term contract, and the issue cannot be resolved at the workplace, the Commission may be able to deal with the dispute. This includes by mediation, conciliation or consent arbitration.

Please note also that Employers must give every employee engaged on a new fixed term contract a copy of the Fixed Term Contract Information Statement when they enter into the contract.

For further information see: Disputes about fixed term contracts | Fair Work Commission (fwc.gov.au)

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