Fixed term contract guidance

Last updated: 25 November 2024

Introduction

This document sets out guidance for both managers/headteachers and employees on the process for making fixed term contracts permanent or extending them for a specified period of time. The document also sets out the process for ending fixed term contracts.

Managers/Headteachers should be aware that Fixed-term staff have the right to no less favourable treatment than a comparable permanent employee with regard to the terms of their contract. Fixed term contracts should only be used for specific reasons, for example, as follows:

Maternity cover
Long term sickness absence cover
Sabbatical
Unqualified teacher
Completion of a specific project or task
Where funding for a post is time limited

This is a non-exhaustive list, and there may be other circumstances where a fixed term contract is appropriate. If you require further assistance please contact the HR Service desk on 01296 382233.

Fixed term contracts should not be issued without one of the reasons listed above. Where fixed term contracts are issued, a reason should always be stated in the terms and conditions of employment for that individual. Managers/headteachers are expected to diarise the expiry of any fixed-term contracts and discuss the employee’s fixed term contract status at 1:1’s to provide transparency.

The School/Governing Body may end a fixed term contract at the planned end date, or an earlier date, if there is a legitimate reason to do so (e.g. project work completed, funding comes to an end, substantive post holder returns).

Where work, undertaken for a particular project ends, the ending of a fixed term contract will be a dismissal on grounds of redundancy. In schools it is common practice that a fixed term contract may be issued for Learning Support Assistants to support a specific pupil. When the pupil leaves the school, if the LSA has been employed for more than 4 years the employee is deemed permanent. Where they have not been employed for 4 years every effort must be made to redeploy them in suitable alternative employment within the school. Where this is not possible the ending of the fixed term contract would be a dismissal on grounds of redundancy.

In most other cases the purpose of the fixed term contract is to cover events set out, above, such as maternity or illness. In these cases, the permanent employee will return to work and the work will continue, meaning there is no redundancy situation.

The termination of a fixed term contract is a dismissal, and in the example of the highlighted events such as maternity cover/illness, the reason for dismissal is some other substantial reason (SOSR) as set out within section 98 of the Employment rights Act 1996.

Buckinghamshire Council/School may delegate authority to a manager/teacher at a lower/higher level to that stated depending on factors such as availability and impartiality.

Making a fixed-term contract permanent

The manager/headteacher should arrange to meet with the employee to formally confirm that the post will become permanent. See Appendix letter 1 – invite to fixed Term Meeting. The outcome must be confirmed in writing to confirm the decision, and HR notified of the employee becoming permanent for a variation to contract letter to be sent. See Appendix letter 2 - outcome of Fixed Term Meeting.

Employees who have been continuously employed by the School/Governing Body for at least four years on a series of successive fixed-term contracts will become permanent employees unless the continued use of a fixed-term contract can be objectively justified. ‘Successive’ also includes contract extensions and employees who undertake different roles in a continuous series of FTCs. Managers/headteachers should contact HR before renewing a fixed-term contract that may expire on or after four years of successive fixed-term contracts.

Extending a fixed-term contract

Prior to extending a fixed-term contract, managers/head teachers must consider if there are objective grounds for extending the contract rather than making the fixed-term contract permanent.

There must be good business reasons why an extension is more appropriate than offering a permanent position, i.e. the extension of the contract must be to fulfill a business need that is temporary and not ongoing.

If the contract is to be extended, the manager/headteacher must meet with the employee to formally extend the fixed-term contract, explain the reasons for the extension and confirm the new end date.

The outcome must be confirmed in writing to confirm the decision, and a change form completed in SAP to notify HR of the extension to the fixed term contract for a variation to contract letter to be sent. See letter 2 in the Appendix

Ending a fixed-term contract

If a fixed term contract isn’t renewed beyond the contractual end date

Fixed term contracts will end automatically when they reach the agreed end date unless they have been extended.

Action required - Please make sure to complete an LVTC (E-form) or update SIMS to SAP to inform HR about any extension or termination of a fixed-term contract. Although the contractual agreement will end, salary payments will continue until HR receives formal instructions.

If fixed term contracts expire on their stated end dates in connection with the highlighted events set out above, there will be no need to provide written notice.

If, however it is proposed to terminate a fixed term contract with an indeterminate end date, notice must be given to teachers in accordance with the Burgundy book and to support staff notice must be given under the terms of Bucks Pay Employment Conditions.

Notice for teachers, in accordance with the Burgundy book, are as follows:

Notice must be given by the school/Governing body no later than 31^st October in a given year to end the contract by the 31st December
Notice must be given by the school/Governing Body no later than 28^th February in any given year to end the contract by 30^th April
Notice must be given by the school/Governing Body no later than 31^st May in any given year to end contract by 31st August

For support staff employed on Buckinghamshire Council’s Pay Employment conditions please refer to the employee’s terms and conditions of employment for the notice period.

The Council/school does not legally need to issue notice, however the manager/headteacher must meet with the employee at least 5 working days prior to the contractual notice period commencing to discuss the expected end to the fixed-term contract and reasons why they are not proposing to extend the contract.

Employees have the right to be accompanied by a trade union representative, a work colleague or an official employed by a trade union at this meeting and should confirm whether they will be accompanied prior to the meeting. See letter 1 - invite to Fixed term contract meeting.

Any termination of a fixed-term contract will be confirmed by the manager/headteacher in writing but the authority to dismiss must come from the Chair of Governors prior to any dismissal. The letter should set out the reasons why the contract has not been extended. See letter 2 -outcome of fixed term meeting.

The employee may be entitled to a redundancy payment after 2 years’ service if the reason for non-renewal is redundancy.

Suitable alternative employment must be considered for the employee within the school prior to any termination of a fixed term contract and employees are also able to check the Intranet themselves for other opportunities across the Council.

Employees in maintained schools will be able to access details of all vacancies within the Council via the intranet and will be placed on the Employment Transfer Register (ETR) which will ensure they are given priority for suitable roles within the Council. To find out more and to apply for inclusion, please visit You and Work on The Source.

If the employer wants to end the fixed term contract earlier

Where managers/headteachers are considering ending a contract early for any reason, they should liaise with Buckinghamshire Council HR in the first instance.

If an employer wishes to end a fixed term contract early (e.g. if a permanent employee returns early from maternity leave or a project comes to an end earlier than expected) then they must meet with the employee to set out the reasons why, at least 5 working days prior to the contractual notice period commencing. See letter 1 - invite to Fixed term contract meeting.

Employees have the right to be accompanied by a trade union representative, a work colleague or an official employed by a trade union at the meeting and should confirm whether they will be accompanied prior to the meeting.

At the meeting, the employee must be informed of the reasons for ending the contract early, and the proposed termination date. Any termination of the contract will be confirmed by the manager in writing, setting out the reasons why the contract has been ended early, see letter 2 - outcome of Fixed Term Meeting.

Employees will usually be issued with their contractual notice prior to the confirmed termination date. Alternatively, employees can be issued with pay in lieu of notice where they are not required to work part, or all, of their notice period.

The employee may be entitled to a redundancy payment after 2 years’ service if the reason for non-renewal is redundancy.

Support for Managers, Headteachers and Employees

The school/Governing body realise that being told a fixed term contract is coming to an end may cause some upset and uncertainty. There are several places where employees can access advice and support as follows:

Employee Assistance Programme (EAP) – the EAP provide advice and support 24/7, free of charge. The EAP can also provide free counselling sessions to employees. This service is confidential.
Occupational Health – for services such as counselling. A referral will be needed, and managers/headteachers must authorise the cost of any sessions.
Internal Coaches – The Council has a pool of trained Coaches who may be able to coach and support employees in specific areas.
Mediators – The Council have several trained mediators who may be able to assist in resolving concerns informally. Managers/headteachers must authorise the cost of any sessions.

The Buckinghamshire Council’s HR Service Desk can provide contact information for the above organisations/areas and can be reached on 01296 382233.

Managers/headteachers should ensure that they are familiar with the process. Managers/headteachers can seek further advice and guidance from the HR Service Desk initially if they have any questions regarding the formal process and can also obtain advice and support from the organisations listed above.

Appeals Procedure

Employees have the right to appeal against the ending of the fixed term contract.

Appeals should be submitted to the employee’s line manager/headteacher within 5 working days of receipt of the termination letter. Managers/Headteachers should acknowledge receipt of any appeal using letter 3- acknowledge appeal.

The employee will be provided with at least 5 working days’ notice of the appeal hearing and will be given the right to be accompanied by a trade union representative or a work colleague.

The appeal hearing will usually be chaired by either the headteacher, if not previously involved, or the Chair of Governors. A representative from HR will also be present, along with a note taker as required.

The manager will usually confirm the outcome in writing within 5 working days of the appeal hearing using letter 4 – Appeal Outcome.

The appeal decision is final and the employee has no further right of appeal.