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

A fixed-term contract and a permanent contract are two types of employment contracts in Maryland. The primary difference between the two is the duration of the contract. A fixed-term contract is a contract between an employer and an employee that is in effect for an agreed-upon period of time. This contract usually requires both parties to fulfill agreed-upon obligations in a specific timeframe. This contract is beneficial for both parties as it gives the employer an extra measure of security for the specific period and allows the employee to acquire applicable experience. A permanent contract is a contract between an employer and an employee for an indefinite period of time. It usually comes with job security and a set of benefits that are defined in the contract. The main advantage of the permanent contract is that it provides the employee with job security and the employer with a reliable employee who is invested in the job. In summary, the main difference between a fixed-term contract and a permanent contract is the duration of the contract. A fixed-term contract is beneficial for an employer to fill a short-term need but is not as secure for the employee as a permanent contract. A permanent contract is beneficial for both employers and employees as it provides job security and other benefits for the employee and stability for the employer.

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

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