Fired on a temporary contract: this you need to know

A temporary contract, also known as a fixed-term employment contract, is an agreement between you and your employer for a pre-agreed period of time. The contract ends automatically on the agreed end date, without having to be terminated.

An important difference with a permanent contract is that your employer does not always have to give a reason if the contract is not extended, but does have to comply with the obligation to give notice. This means that you have to be informed at least one month in advance about the non-renewal of your contract.

With a permanent contract, you have much more protection against dismissal: you cannot just be fired without a valid reason and prior approval from UWV or subdistrict court is required.

With a temporary contract, the employer can also terminate your contract early, but this is subject to stricter rules and requires a valid reason (e.g. serious culpability).

No, not always. If your contract expires, the employer does not have to renew it without a reason. But an early termination of a temporary contract is only allowed if it is contractually agreed (e.g. via a termination clause) and/or there is a valid reason.

If your employer does not renew your contract or terminates it early without valid grounds, you may be entitled to transitional compensation.

• You are entitled to notice at least one month before the end of the contract.
• You may be entitled to a transfer fee if your contract is not renewed, or in case of early termination.
• You can claim unemployment benefits, provided the conditions are met.
• Your employer must have a valid reason when terminating early, unless otherwise stipulated in the contract.

The transition compensation is calculated over the total duration of your employment, with successive temporary contracts within a six-month period being considered one continuous employment contract.

For each full year of service, you build up entitlement to 1/3 month's gross monthly salary. For shorter periods, this is calculated pro rata.

Example: If you worked for 3 years with a gross monthly salary of €2,500, you will receive 3 x 1/3 = 1 monthly salary as transition compensation.

There are exceptions where you are not entitled to transitional compensation, for example in the case of seriously culpable actions on your part or if you are under 18 with limited hours.

• When the temporary contract is not renewed, no dismissal procedure is usually required, except that the obligation to give notice must be followed.

• There must be a valid reason for interim termination, and this is often done through a settlement agreement or in some cases through the subdistrict court.

• In case of conflict or ambiguity about dismissal, it is wise to seek legal advice.