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Contract Ends.....Then What?


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Hi There,

As the title suggests, if a new person gets a contract for 10 months as a general labourer(or restaurant worker, or factory worker), what happens at the end of the 10 months after the contract is complete?

Does the Employer need to pay severance?

Should the Employer renew the contract (assuming it can the contract be renewed) will it be considered a new contract or an extension of the original contract?

Reason why I am asking;

Labour Protection Act BE 2541

Section 118

Paragraph 3

"The provisions of paragraph one of this Section shall not apply to an Employee whose employment is for a definite period and the employment is terminated at the end of that period."

Any guidance you can provide will be much appreciated.

Thanks,

IL

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I am not a lawyer, but I read the paragraph from the Labour Protection Act that you quote as: No, the employer does not pay severance. That appears to be the whole point of the paragraph.

If the employer and the employee agree in writing to amend the period of the limited-time contract, it is the same contract; if they decide to sign a new contract for a next period, it is a new contract. These are two different things.

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