<Company Name>
HR Policy
Fixed Term Contract Policy (FTC)
Policy Effective Date: <DD/MM/YY>
No part of this documentation may be reproduced or transmitted in any form or by any means, electronic
or mechanical, including photocopying or recording, for any purpose without express written permission of
the CEO of <Company Name Here>.
© 2021, <Company Name Here>. All Rights Reserved
Revision History
Ver Change Description Prepared Reviewed By Approved Date
No. By By
TABLE OF CONTENTS
1. Objective 4
2. Scope and Applicability 4
3. Definition / Glossary 4
4. Policy/procedures 4
5. Offer of Employment 5
6. Duration of Fixed-term Contracts 5
7. Terms of Employment 5
8. Non-contractual Benefits 5
9. Access to Opportunities for Permanent Work 6
10. Termination Procedure 6
11. Special Circumstance and Exception 6
12. Non-compliance and Consequence 6
1.Objective
In line with the company‘s hiring policy, <Company name> would hire professionals or
consultants on contract for a specified tenure where specific tasks may not require full time
resources or where a special skill is required. These contracts are typically time bound meant
for a specific task and with a start and an end date.
2.Scope and Applicability
The policy applies to all functions / departments of the Company.
3.Definition / Glossary
Term / Abbreviation Definition / Expansion
FTC Fixed Term Contracts
4.Policy & Process
4.1 Definition
In line with the Company’s goals and requirements, manpower resources are vital to achieve its
objectives. There are situations where a permanent or full time employee may not be required
for certain tasks or small target-oriented projects. This policy recommends that hiring managers
may opt for temporary or fixed term contracts.
4.2. Procedure
The Manager of a department is responsible to assess the resources required to complete a
task or a project by dividing it into long-term and short-term activities. Then he/she has to
evaluate the resources available and resources required to complete the task or project. Based
on recommendations and approvals from management, the manager will approach HR for
temporary resources.
Upon receiving the justification and approvals, HR will review the proposal and take a decision
based on the following:
√ it is confirmed that the task or project will last for only a temporary period
√ a particular job requires specific skills which are not available internally
√ a replacement is required for a position who is on long leave / travel / training
√ a temporary surge in work that requires additional resources
√ position is dependent on external funding or support until task is completed
5.Offer of Employment
<Company>’s offer of temporary employment will make it clear to the prospective FTC that the
contract is:
√ for a specified period of time only (ie the termination date will be stated)
√ for a specific task or project and that once it is complete, the contract will be terminated
√ to cover for another employee who is absent from work and that the contract will terminate
once the employee returns
6.Duration of FTCs
√ Company reserves the right to change the duration or tenure of the contract
√ Contractor has no right to demand regular employment status or benefits that are applicable
to regular employees
√ Company may offer the contractor an extension to the original contract or a permanent role
if the situation so demands
7.Terms of Employment
<Company> undertakes to pay contractual terms offered and accepted by the FTC. It is the
Company’s policy not to discriminate against FTCs from regular employees in terms of safety,
respect, treatment and work environment.
8.Non-contractual Benefits
<Company> will ensure that during their engagement, FTCs will be provided with all necessary
tools, accesses, work stations, equipment, stationary and basic amenities.
9.Termination Procedure
√ In advance of the expected contract end date, the Manager will:
o Remind the FTC that the contract is set to expire on a specific date
o Review the tasks completed / pending and to assess if an extension is required
o Consider any alternative work that may be available for the FTC to complete
√ Following the assessment, if it is decided to terminate the contract on the due date or prior
to that, then a meeting with the FTC must be conducted to inform of the final decision.
10. Special Circumstance and Exception
Any deviation to this policy has to be approved by HR. Any changes to the policy has to be
approved by Legal and Compliance.
11. Non-compliance and Consequence
Violation of this policy is subject to disciplinary action, up to and including termination.
