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 that are commonly used in Michigan. A fixed-term contract is a contract that has a set expiration date. This type of contract is usually used for temporary employees. It sets out the terms of the agreement, including the job duties, employee expectations, and length of employment. The contract is legally binding, and the employee is required to abide by the specified terms. A permanent contract, also known as an indefinite contract, does not have a set expiration date. It is usually used for long-term employees or positions that are expected to last for an extended period of time. The contract outlines the terms of employment, including job duties, benefits, and other requirements. This type of contract has no established end date, and the employee is allowed to remain employed until either party terminates the contract. In both types of contracts, the employer is required to adhere to the contractual provisions for the duration of the employment. This includes following applicable laws, providing proper benefits, and adhering to the terms of the contract. In summary, a fixed-term contract is a temporary agreement with a set expiration date, while a permanent contract is an indefinite contract with no set expiration date. Both forms of employment contracts are legally binding and must be followed by the employer and employee.

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

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