Labour Relations Act, 1995 (Act No. 66 of 1995)NoticesBargaining Council for the Civil Engineering IndustryBCCEI : Renewal of Period of Operation of the Conditions of Employment Collective AgreementChapter 4 : Regulations for Contract of Employment4.7. Temporary employment, limited duration contract of employment ("LDC") and part-time employment4.7B Fixed-term contracts with employees earning below earnings threshold |
| 4.7.1(B) | For the purpose of this section, a "fixed-term contract" means a contract of employment that terminates on— |
| (a) | the occurrence of a specified event; |
| (b) | the completion of a specified task or project; or |
| (c) | a fixed date, other than an employee's normal or agreed retirement age, subject to sub-clause 4.7.3(B). |
| 4.7.2(B) | This section does not apply to— |
| (a) | employees earning in excess of the threshold prescribed by the Minister in terms of section 6(3) of the Basic Conditions of Employment Act; |
| (b) | an employer that employs less than 10 employees, or that employs less than 50 employees and whose business has been in operation for less than two years, unless— |
| (i) | the employer conducts more than one business;or |
| (ii) | the business was formed by the division or dissolution for any reason of an existing business;and |
| (c) | an employee employed in terms of a fixed term contract which is permitted by any statute, sectoral determination or collective agreement. |
| 4.7.3(B) | An employer may employ an employee on a fixed-term contract or successive fixed-term contracts for longer than three months of employment only if— |
| (a) | the nature of the work for which the employee is employed is of a limited or definite duration; or |
| (b) | the employer can demonstrate any other justifiable reason for fixing the term of the contract. |
| 4.7.4(B) | Without limiting the generality of sub-clause 4.7.3(B), the conclusion of a fixed-term contract will be justified if the employee— |
| (a) | is replacing another employee who is temporarily absent from work; |
| (b) | is employed on account of a temporary increase in the volume of work which is not expected to endure beyond 12 months; |
| (c) | is a student or recent graduate who is employed for the purpose of being trained or gaining work experience in order to enter a job or profession; |
| (d) | is employed to work exclusively on a specific project that has a limited or defined duration; |
| (e) | is a non-citizen who has been granted a work permit for a defined period; |
| (f) | is employed to perform seasonal work; |
| (g) | is employed for the purpose of an official public works scheme or similar public job creation scheme; |
| (h) | is employed in a position which is funded by an external source for a limited period;or |
| (i) | has reached the normal or agreed retirement age applicable in the employer's business. |
| 4.7.5(B) | Employment in terms of a fixed-term contract concluded or renewed in contravention of sub-clause 4.7.3(B) is deemed to be of indefinite duration. |
| 4.7.6(B) | An offer to employ an employee on a fixed-term contract or to renew or extend a fixed-term contract, must— |
| (a) | be in writing; and |
| (b) | state the reasons contemplated in sub-clause 4.7.3(B)(a) or (b). |
| 4.7.7(B) | If it is relevant in any proceedings, an employer must prove that there was a justifiable reason for fixing the term of the contract as contemplated in sub-clause 4.7.3(B) and that the term was agreed. |
4.7.8(B)
| (a) | An employee employed in terms of a fixed-term contract for longer than three months must not be treated less favourably than an employee employed on a permanent basis performing the same or similar work, unless there is a justifiable reason for different treatment. |
| (b) | Paragraph (a) applies, three months after the commencement of the Labour Relations Amendment Act, 2014, to fixed-term contracts of employment entered into before the commencement of the Labour Relations Amendment Act, 2014. |
| 4.7.9(B) | As from the commencement of the Labour Relations Amendment Act, 2014, an employer must provide an employee employed in terms of a fixed-term contract and an employee employed on a permanent basis with equal access to opportunities to apply for vacancies. |
| 4.7.10(B) | An employer who employs an employee in terms of a fixed-term contract for a reason contemplated in sub-clause 4.7.4(B)(d) would be required to pay the employee on expiry of the contract a completion gratuity of one week's basic wages per completed year of service as referred to in clause 4.5.6. |
| 4.7.11(B) | An employee is not entitled to payment in terms of sub-clause 4.7.10(B) if, prior to the expiry of the fixed-term contract, the employer offers the employee employment or procures employment for the employee with a different employer, which commences at the expiry of the contract and on the same or similar terms. |