Over the high-income threshold
Practice F hires Patricia under an employment contract that has a maximum term of 5 years.
Patricia will earn over the high-income threshold for the first year of the contract.
Practice F is able to engage Patricia on this basis because an exception applies. The exception is that she will be earning over the high-income threshold for the first year of the contract.
Our lawyers can provide Practice F with advice on whether or not Patricia is covered by an exemption under the new fixed term contract provisions.
We can also review Practice F’s fixed term and other employment contracts, to ensure that they are compliant with the new provisions and Practice F’s other obligations at law.
Consecutive fixed term contract for a period of more than 2 years
Dominic is employed by Practice G and has an employment contract with a maximum term of 18 months.
Dominic’s contract is due to run out in January 2024, and Practice G wants him to continue in his role after that date. Practice G wants to offer Dominic another fixed term contract for a period of 12 months.
Under the new laws, unless an exception applies, Practice G cannot enter into a fixed term contract for a further 12 months, as it would mean that Dominic was engaged to perform the same or substantially similar work, on a fixed term basis, for a period of more than two years.
Our lawyers can provide Practice G with advice on whether it may lawfully continue to engage Dominic on a fixed term basis. We can also provide practical legal advice on other appropriate engagement options available to Practice G.
Additionally, we can review Practice G’s fixed term and other employment contracts, to ensure that they are compliant with the new provisions and Practice G’s other obligations at law.
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