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Fixed-Term Employment Contract. Everything You Need to Know as an Employer

contract de munca perioada determinata

Do you need employees for a limited period — for a project, to cover a peak in activity, or to temporarily replace colleagues who are on medical leave? In these situations, a fixed-term employment contract is a legal and flexible solution that can align with your business plans. In astfel de situatii, un contract de munca perioada determinata este solutia legala si flexibila care poate corespunde planurilor tale in business.

To use it correctly, it's important to understand: 

  • The advantages of a fixed-term employment contract
  • The legal provisions — when you are allowed to sign a fixed-term employment contract
  • The duration of a fixed-term employment contract
  • How many fixed-term contracts are allowed between the same parties
  • The probationary period for temporary employees
  • When a fixed-term employment contract ends
  • The rights of employees hired under a fixed-term employment contract
  • Why it may be worth working with a staffing agency and what advantages it offers 

 

The advantages of a fixed-term employment contract for employers

A fixed-term employment contract provides several benefits when you need to manage your company’s workforce more flexibly. When used correctly, this type of contract can help you respond more easily to temporary staffing needs and plan operations more efficiently.

The main advantages for you, as an employer, include:

  • Flexibility in organizing your team, especially during periods of temporary business growth or when running limited-duration projects
  • The ability to quickly cover temporary staffing needs, for example for seasonal work or to replace an employee whose contract is suspended
  • Predictability regarding the duration of the collaboration, since the contract term is established from the beginning
  • The employment relationship ends automatically when the contract term expires, in accordance with Article 56 paragraph (1) letter i) of the Labour Code, without the need to follow a dismissal procedure
  • The opportunity to assess collaboration with an employee within a project or temporary activity before deciding whether to continue the employment relationship on an indefinite basis
  • Clearer workforce cost planning, particularly for time-limited activities or projects

Therefore, a fixed-term employment contract can become a useful tool when you want to adapt your team structure to the actual needs of your company.

 

Legal Framework for Fixed-Term Employment Contracts

The fixed-term individual employment contract is regulated under Articles 82–87 of the Labour Code.

According to Article 82 paragraph (1) of the Labour Code, the individual employment contract is generally concluded for an indefinite period.

Under Article 82 paragraph (2), as an exception, you may also conclude a fixed-term individual employment contract in the situations expressly provided by law.

The situations in which you may conclude this type of contract are set out in Article 83 of the Labour Code:

  • Replacing an employee whose contract is suspended, except where that employee is participating in a strike
  • Temporary growth in the employer’s activity
  • Carrying out seasonal activities
  • Hiring a person who, within 5 years from the hiring date, meets the conditions for retirement based on age limit
  • Filling an elected position within trade unions, employers’ associations, or non-governmental organizations
  • Hiring pensioners who are allowed to combine pension income with salary income
  • Other cases provided by special legislation or for carrying out specific works, projects, or programs

Therefore, a fixed-term employment contract must be justified by one of the situations expressly provided by law.


Minimum and Maximum Duration of a Fixed-Term Employment Contract

The Labour Code doesn't establish a minimum duration for a fixed-term employment contract. This means that you may conclude such a contract for the period you need: a few days, several months, or longer.

However, the law does establish a maximum duration. According to Article 84 paragraph (1) of the Labour Code, a fixed-term individual employment contract cannot be concluded for a period longer than 36 months.

If the activity for which you hired the employee continues beyond this period, you should consider the possibility of concluding an indefinite-term employment contract.

 

How many fixed-term contracts are allowed between the same parties

The law allows several fixed-term contracts to be concluded between the same parties, but it also establishes a limit

According to Article 82 paragraph (6), contracts are considered successive when they are concluded within 3 months from the termination of the previous contract.

Under Article 82 paragraph (5) of the Labour Code, no more than 3 successive fixed-term individual employment contracts may be concluded between the same parties.

In addition, Article 82 paragraph (7) states that the duration of each successive contract cannot exceed 12 months.

These limits are important when planning successive temporary collaborations with the same employee.

 

The probationary period for temporary employees

A probation period may also be established for fixed-term employment contracts.

The maximum duration is set out in Article 85 of the Labour Code and depends on the contract duration:

  • 5 working days for contracts shorter than 3 months
  • 15 working days for contracts between 3 and 6 months
  • 30 working days for contracts longer than 6 months
  • 45 working days for employees hired in management positions, if the contract duration exceeds 6 months

The probation period allows you to verify whether the hired person meets the requirements of the position and integrates into the team.

 

When a fixed-term employment contract ends

A fixed-term individual employment contract generally ends in the following situations:

  1. La expirarea termenului stabilit
    • Conform art. 56 alin. (1) lit. i) din Codul Muncii, contractul inceteaza automat la data prevazuta, fara procedura de concediere.
  2. Prin acordul partilor
    • Contractul poate fi incheiat mai devreme daca tu si salariatul conveniti impreuna incetarea colaborarii, conform art. 55 Codul Muncii.
  3. Din initiativa angajatului (demisie)
    • Chiar daca este un contract temporar, salariatul are dreptul sa isi dea demisia, respectand termenul de preaviz stabilit de lege sau contract.
  4. Din initiativa angajatorului (concediere)
    • Angajatorul poate inceta contractul inainte de termen doar in conditiile legale prevazute pentru concediere (ex. motive disciplinare, reorganizare), respectand procedurile din Codul Muncii.

Important: If the employee continues working after the contract term expires without concluding a new contract, the employment relationship may be considered indefinite, which can create legal risks.

 

Leave Entitlements Under a Fixed-Term Employment Contract

Even though the employment relationship is limited in time, an employee hired under a fixed-term employment contract benefits from the same rights as any other employee. The type of contract does not restrict access to leave or to other rights provided by labour legislation.

According to Article 145 paragraph (1) of the Labour Code, the right to paid annual leave is guaranteed to all employees. This right also applies to employees working under fixed-term contracts.

In these cases, annual leave is granted proportionally to the period worked. For example, if a contract is concluded for 6 months, the employee will be entitled to a proportional part of the annual leave days established in the individual employment contract or applicable collective agreement.

In addition to annual leave, employees hired on a fixed-term basis are also entitled to other types of leave provided by law.

Medical leave for common illness (temporary incapacity for work)

The employee is entitled to medical leave in the case of temporary incapacity for work caused by illness or accident, in accordance with Government Emergency Ordinance No. 158/2005 regarding social health insurance leave and benefits.

Medical leave is granted based on a medical certificate, and the related allowance is covered, depending on the situation, by the employer and the social health insurance budget. A fixed-term employment contract does not limit access to this right.

Maternity Leave

Employees hired under a fixed-term contract are entitled to maternity leave, which includes prenatal and postnatal leave and has a total duration of 126 calendar days, in accordance with Government Emergency Ordinance No. 158/2005.

During maternity leave, the individual employment contract is suspended by law, according to Article 50 letter a) of the Labour Code.

If the fixed-term employment contract expires during maternity leave, the contract ends on the initially agreed date, in accordance with Article 56 paragraph (1) letter i) of the Labour Code. In other words, maternity leave doesn't automatically extend the duration of a fixed-term contract.

Childcare Leave

After the birth of a child, one of the parents may request childcare leave, regulated by Government Emergency Ordinance No. 111/2010, until the child reaches the age of 2 years (or 3 years in the case of a child with disabilities).

During this leave period, the individual employment contract is suspended, according to Article 51 paragraph (1) letter a) of the Labour Code.

If the fixed-term employment contract expires during maternity leave, the contract ends on the initially agreed date, in accordance with Article 56 paragraph (1) letter i) of the Labour Code. In other words, maternity leave doesn't automatically extend the duration of a fixed-term contract.

For you, as an employer, it's important to manage these situations correctly: the suspension of the contract must be registered and reported in REGES Online and the contract must end on the agreed expiry date, even if the employee is on leave.

 

Personnel Leasing – The Legal Framework for Temporary Employment Contracts

When you need staff for a limited period, you have two main options. In your role as an employer, you can either conclude fixed-term employment contracts directly with the employees you need or work with a staffing agency that provides employees for a temporary assignment.

Personnel leasing is regulated by the Labour Code, Articles 88–102, under the concept of temporary agency work. In this system, the employee is not employed by your company, but by the temporary work agency. The agency concludes the individual employment contract with the employee and assigns them to your company for a fixed period established through a placement agreement.

The staffing agency handles the conclusion of individual employment contracts with employees, the preparation of the necessary supplementary documents, and compliance with legal employment requirements.

The agency is also responsible for updating contracts and personnel documentation so that they stay compliant with legislative changes or developments in the employment relationship.

Another major advantage relates to reducing administrative tasks. Managing hiring documentation, contract records, contractual amendments and reporting in REGES Online is carried out by the agency, allowing you to focus more on your company’s operational activity.

If, for economic reasons, you can no longer continue collaboration with temporary employees, you have the assurance that the staffing agency will help find new job opportunities for them and your employer brand will not be affected.

 

How to Manage Fixed-Term Employment Contracts Through Smartemp

Managing fixed-term employment contracts involves more than simply signing documents. You must monitor contract duration, legal limits regarding successive contracts, probation periods, salary rights and reporting in REGES Online, as required by legislation. This reporting is mandatory for all individual employment contracts, including fixed-term contracts, and must be completed on time to avoid legal penalties.

Smartemp has 14 years of experience in personnel leasing and over 11 years of collaboration with multinational companies, which means we know exactly how to manage contracts efficiently, including accurate reporting in REGES Online, without errors or delays. We administer employment contracts with durations ranging from 3 months to 1 year, and some of them are extended by an additional 3 months, depending on the project and budget.

There are also employers who choose to convert fixed-term employment contracts into indefinite-term contracts, and we provide full administrative support throughout this process.

Companies work with Smartemp when they:

  • Operate seasonally—in HoReCa, tourism, agriculture, holiday retail, or event management
  • Have fixed-term projects—in logistics, production, promotional campaigns, or inventory management
  • Want to avoid permanent hiring costs—without affecting internal organizational structure
  • Need immediately available personnel—for peak periods or urgent replacements
  • Value legal security and compliance—Smartemp is an authorized temporary employment agency
  • Prefer a “try & hire” approach—testing temporary employees before potential permanent hiring

The Smartemp team handles everything related to recruitment, contracts, onboarding temporary employees, and reporting in REGES Online:

  • Fast Recruitment and Selection: publishing and promoting job advertisements, screening applications, organizing interviews within a maximum of 5 days, and presenting the most suitable candidates.
  • Contract Drafting and Personalized Legal Support. Preparing contracts and addenda, providing consultancy regarding the legal duration of assignments, and assistance for contract extensions or direct hiring.
  • Contract Reporting in REGES Online. Accurate data entry, updating information throughout the collaboration and preventing errors or delays that may result in penalties.
  • Employee Integration and Monitoring Support. Informing employees about internal regulations, providing a permanent HR contact line, and monitoring employee adaptation throughout the collaboration.
  • Additional Benefits for Employers. A free digital guide, “How to Legally Manage Temporary Work,” discounts for long-term contracts, and the Try & Hire option for converting temporary collaboration into permanent employment.

With extensive experience and a personalized approach, we provide security and full support in managing fixed-term employment contracts, including their correct reporting in REGES Online, allowing you to focus on business growth.

Write to us for a personalized personnel leasing offer at office@smartemp.ro. office@smartemp.ro

 

Legislative Sources 

  • Labour Code
    • art. 82–87 – contractul de munca pe perioada determinata
    • art. 55–56 – modalitatile de incetare a contractului individual de munca
    • art. 50 si art. 51 – suspendarea contractului individual de munca
    • art. 145 – dreptul la concediu de odihna anual
  • OUG nr. 158/2005 privind concediile si indemnizatiile de asigurari sociale de sanatate
    • concediul medical pentru incapacitate temporara de munca
    • concediul de maternitate (prenatal si postnatal)
  • OUG nr. 111/2010 privind concediul si indemnizatia pentru cresterea copilului
  • HG nr. 905/2017 privind registrul general de evidenta a salariatilor, precum si reglementarile actuale privind raportarea contractelor de munca in REGES Online.

Read also: 

Medical Leave. How It Is Paid in 2026. Find Out Your Rights According to Legal Provisions!

Childcare Allowance in 2026: Everything You Need to Know About Your Rights

 

 

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Summary
Fixed-Term Employment Contract. Everything You Need to Know as an Employer
Article Name
Fixed-Term Employment Contract. Everything You Need to Know as an Employer
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Iata avantajele unui contract de munca perioada determinata, care sunt prevederile legale si de ce sa apelezi la o agentie leasing personal.
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Smartemp
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