Contract
of employment

A contract of employment is notable for the fact its terms are defined by the Labor Code, granting the employees a number of benefits, such as a holiday leave.

A contract of employment can be signed

  • for a trial period of up to 3 months
  • for a fixed period, defined upfront with concrete start and end dates of the employment
  • for an indefinite period

An fixed period contract can cover a period of up to 33 months and the parties can only sign up to three of them. Should they exceed this limit, their fourth fixed period contract will be automatically transformed into an indefinite period contract. The trial period contract, despite covering a fixed period, doesn’t count for this limit. It means that an employee can be hired for up to 36 months under fixed period agreement (3 months of the trial period + 33 months of fixed-period contract employment, under up to 3 contract).

The February 22 2016 amendment to the Labor Code removed fixed period contracts to substitute for an absent employee

However, one can still sign such agreements, which is now simply defined as one of the subtypes of fixed period contracts (art. 251, § 4, pt. 1 of Labor Code):

  • with a goal to substitute an employee during their justified absence at work,
  • with a goal to perform casual or seasonal work,
  • with a goal to perform work through a term of office.

Main benefits of a contract of employment:

  • right to benefits arising from the Labor Code,
  • the employer being obliged to pay social security contributions,
  • protection from contract termination,
  • guarantee of a minimal wage.

Disadvantages of a contract of employment:

  • the employee cannot delegate their work to another person;
  • the place and time of work are strictly defined.

Frequently asked question, contract of employment

Signing the agreement

Holiday leave

Medical leave (e-ZLA, L4)

Compensation

Insurance

Other

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