What is a fixed-term employment contract?

A fixed-term employment contract is a contractual agreement between an employer and an employee in which the duration of the employment is determined in advance. This type of contract has an end date that is explicitly stated in the contract. It may cover a specific period, such as six months or a year, or be tied to a specific event, such as the completion of a project or the replacement of an employee on sick leave. Upon the expiration of the agreed-upon period, the employment contract terminates by operation of law, unless otherwise agreed upon or extended.