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ARTICLE · 01 OCTOBER 2013

Objective Grounds Justifying Renewal Of Fixed Term Contract

Stephen O'Sullivan, Barrister
Explore more from Stephen O'Sullivan, Barrister

Section 9 of the Protection of Employees 2003 provides inter alia that an employer cannot have two or more fixed term contracts where the aggregate duration is greater than four years unless there are objective grounds for the renewal.

IrelandEmployment and HR
Stephen O’Sullivan
Stephen O’Sullivan

Section 9 of the Protection of Employees (Fixed Term Workers Act) 2003 (hereinafter FTWA) provides inter alia that an employer cannot have two or more fixed term contracts where the aggregate duration is greater than four years unless there are objective grounds for the renewal. Otherwise it will be read as a contract of indefinite duration (CID). In order to constitute objective grounds it must be "based on considerations other than the status of the employee concerned as a fixed-term employee and the less favourable treatment... is for the purpose of achieving a legitimate objective of the employer and such treatment is appropriate and necessary for that purpose".

It has been accepted that financial cost does not amount to objective grounds CUS v. Dooley (Unreported High Court 20/7/10). Also the objective grounds relied upon at hearing must be the operative grounds relied on at renewal and ideally should be notified to the claimant on renewal to ensure compliance

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