Regardless of the timespan, an employee will be working for your organization; there’s a need to have a legally binding temporary employment contract in place.
A temporary employment contract safeguards both employer and employee and clearly records the responsibilities, rewards, and expectations both parties agree to.
Although many organizations use a legal professional to write their temporary employment contracts, it’s possible to do the job yourself.
Read on to discover how to write a temporary employment contract and information on some of the FAQs that brief employment contract writers ask for.
What is a Temporary Employment Contract?
Like any other employment contract, a temporary contract is a legally binding agreement between the employer and the employee. It covers rights and responsibilities, ensuring both parties know what’s required.
Although the content differs between different types of contracts (for example, a freelance contract will have varying details to an independent contractor contract), the basic format will remain the same.
How long can a temporary employment contract last?
There is no legal definition of how long a temporary employment contract may last. That said, advice from the DoL and general good practice suggests they should not last longer than a year.
If the employee is still required after a year, they are recommended to be re-employed on a permanent contract.
Suppose there is concern about employment not being available for the entire 12-month period.
In that case, this can be reflected in the wording around hours worked (creating a casual contract) by making it clear that on some occasions, there may be no need for the employee to work, but when they do, they do so under the terms laid out in the contract.
What’s the difference between contract and temporary employment?
The key difference is that contract employment has no set end date included in the contract. Temporary employment will have a defined term, with the end date specified on the contract.
Other than this, temporary and permanent contracts may be identical for the same job.
What is the difference between a temporary contract and a fixed-term contract?
Temporary employment contracts offer flexibility without a specific end date and are often sourced through recruitment agencies. Temp workers, casual, short-term, or self-employed, are ideal for short-term needs or seasonal demands. They get paid hourly and submit timesheets weekly.
Fixed-term contracts have a predetermined end date and provide more commitment. They suit roles requiring a set period, like project work or covering maternity leave.
Both contracts have benefits like agility and access to talent. Employers must ensure they follow regulations for employee rights. While temporary workers offer quick solutions, fixed-term contracts provide security.
How to Write
The following information needs to be included in a temporary employment contract.
1. Names of the Employer and Employee
This ensures it’s clear who the contract is between.
2. Job Title and Description
This contract section is designed to set out the employee has responsibilities during their employment period. The exact level of detail will depend on the nature of the post and the level of seniority – more senior roles tend to focus more on outcomes rather than be process-driven.
When writing a job description for a temporary employee, it’s essential to consider their probable employment duration. Some outcomes may not be appropriate, as they are long-term goals.
Descriptors should be explicit and, ideally, measurable. Measurable descriptors make it easier to provide transparent performance assessments further down the line.
3. Financial Compensation
This may be a salary, a daily rate, or, in some cases, a set amount that covers a pre-agreed number of hours.
4. Work Pattern
You may wish to include the number of hours to be worked if applicable – some temporary workers may only be required “as and when,” whereas others will be needed for a set number of hours each week.
If applicable, include expectations around the times of the hours to be worked (9-5, for example), as well as expectations around weekend working, shift working, or working during the holidays, if applicable.
5. Start Date
The date on which employment with your organization commences.
6. The Term of Employment
Legally, there is no definition of a temporary contract; the conventional best practice is that a temporary contract lasts no longer than a year.
It’s also considered best practice that if the worker is still required after completing their 12-month contract, the position is converted into a permanent position, and a fresh contract is drawn up and signed on that basis.
It is essential to stipulate how long the contract lasts – there needs to be a precise end date, after which the contract is no longer valid.
7. Temporary Employment Contract Notice Period
Stipulate how much notice your temporary employee needs to give before leaving your service. Typically, notice periods for temporary employees tend to be less than those required for permanent employees.
8. Benefits
This covers any non-financial perks or benefits that the temporary employee will enjoy. Typical examples include assistance with childcare, a subsidized canteen, paid vacation entitlement, and health insurance.
9. Confidentiality, Non-solicitation, and Non-complete Clauses
These clauses protect the employer by stipulating that the employee must not disclose confidential information about the organization to a third party, must not encourage other workers to leave with them if they leave the organization, and prohibits a temporary employee from getting a job with a competitor.
10. Work for Hire Clause
This clause is intended to prevent an employee from taking products or information from the company to be used elsewhere.
11. Agency Provision
The employee signs to say they can’t enter into a written agreement on behalf of the organization unless they have obtained written consent.
12. Causes for Termination of Employment
This section sets out expectations around conduct in the workplace
Sample
This temporary employment contract sample provides a comprehensive temporary employment contract template pdf that can be customized to meet your organization’s specific needs.
Use this temporary employment contract sample as a base on which to build a temporary employment contract that provides the legally binding document that your organization needs:
