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HANDLING FIXED-TERM CONTRACTS THAT EXTEND BEYOND THEIR END DATE


Q: The fixed-term contract ended, but the employee is still working. How should I as an employer deal with it?


If a fixed-term contract ends but the employee continues working, it's essential to address the situation promptly to ensure legal compliance and clarity for both parties.


Here's how to handle it professionally:


1.     Clarify the Employment Status:

Determine whether the employee is now working under a new agreement or if they are considered a permanent employee. According to the Basic Conditions of Employment Act (BCEA), if an employee continues working after the expiry of a fixed-term contract, the contract may be deemed to have been tacitly renewed on the same terms, but for an indefinite period.

 

2.     Communicate with the Employee:

Engage in a discussion with the employee to clarify their employment status and discuss the terms of their continued employment. Transparent communication is crucial to ensure mutual understanding.

 

3.     Formalise the New Agreement:

If the employee is to continue working, draft a new employment contract or amend the existing contract to reflect the new terms of employment. The Employers' Organisation for Hairdressing, Cosmetology, and Beauty (EOHCB) can provide you with the necessary agreements and contracts. This helps prevent misunderstandings and provides a clear framework for the employment relationship.

 

4.     Review Compliance: 

Ensure that the new employment arrangement complies with all relevant labour laws and regulations, including the Labour Relations Act (LRA), the BCEA, and the Main Collective Agreement of the National Bargaining Council for Hairdressing, Cosmetology, Beauty, and Skincare Industry (HCSBC). This includes providing equal pay, benefits, and working conditions as permanent employees.

 

5.     Document Everything:

Maintain detailed records of all communications and agreements related to the employee's continued employment. Proper documentation is essential for resolving any potential disputes or legal challenges.

 

6.     Seek Legal Advice:

If you are uncertain about the legal implications or the appropriate steps to take, consult with your EOHCB representative. They can provide tailored guidance to ensure compliance with all relevant laws and regulations.


By following these steps, you can address the situation professionally and ensure that both you and the employee have a clear understanding of the terms of their continued employment.


For more detailed information or assistance, you can reach out to us.



 

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