Making an employment contract

When a new employee starts working, prepare and sign an employment contract before the first workday. An oral employment contract is valid, but it is recommended to draw up the employment contract in writing. It is easier for both you and your employee to check the agreed tasks, pay, and other terms in a written agreement. 

If you want to make a fixed-term employment contract, as a rule you must have a justified reason.  The most common reasons are substitute work, seasonal work, and project-based work.

You may enter into a fixed-term employment contract without a justified reason if it is the first employment relationship between you and the employee, or if at least five years have passed since the employee’s previous employment relationship ended at the time the contract is made. A fixed-term employment contract without a justified reason may last for a maximum of one year and can be made only once. If you make more than one such contract, the employment is considered be permanent.

A fixed-term employment contract must not be made or left unmade on discriminatory grounds, such as pregnancy, childbirth, or family leave.

You must also consider the minimum provisions of any collective agreement. Familiarise yourself with the collective agreement of your field, if applicable.

If you would like to read more about the topic, visit the Occupational Safety and Health Administration's website, which contains comprehensive information on employment contracts and the related legislation.