What is the difference between a fixed-term and an indefinite-term contract?

A fixed-term contract is an employment agreement that has a specific beginning and end date. It is also referred to as a contract of limited duration. This type of contract gives employees the security of knowing exactly how long their job will last and what wages and benefits they will receive for the duration of the contract. An indefinite-term contract, also known as an at-will contract, does not have an end date. It is open-ended, and either party can end the agreement with notice. This type of contract gives employers the flexibility to adjust the terms of employment as needed. It also gives employees the assurance that they can leave the job when they need to without fear of repercussions. The difference between fixed-term and indefinite-term contracts lies in the length and the security they offer. A fixed-term contract is for a set amount of time, and the employee is guaranteed a job for that particular duration. An indefinite-term contract is open-ended and offers the employee more flexibility but also less job security as either party can end the agreement at any time.

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What is the difference between a fixed-term and an indefinite-term contract?

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