Fixed-Term Employment Contracts – Risk Of Abuse?

In two recent cases, the ECJ has ruled on the framework for renewal of fixed-term employment contracts.

According to the Act on Fixed-Term Employment and the underlying EU Directive, successive renewals of fixed-term employment contracts are, as a general rule, only lawful if such renewal is based on objective conditions.

The first case, which had been referred by an Italian court, concerned an academic researcher who was employed at a university for a three-year period. His employment contract was subsequently extended by two years, after which he was refused another renewal as Italian law does not allow for such renewal. The researcher believed it was contrary to the Directive on fixed-term employment that he, according to Italian law, was prevented from obtaining employment of indefinite duration.