Fixed Term Employment vs Permanent Job. Pros & cons in gratuity, bonus, other statutory benefits, and other things if any.
From India, Bengaluru
From India, Bengaluru
Dear Shanti,
There is no difference between permanent employment and fixed term contract employment except in respect of the following aspects:
(1) TENURE OF EMPLOYMENT:
In permanent employment, the employee can normally remain in service till the attainment of the age of superannuation fixed in the contract of employment or
the service regulations applicable.
On the contrary, the tenure of employment is prefixed in the fixed term contract and the employee cannot remain in service beyond the term fixed unless it
happens to be extended mutually.
(2) NOTICE OF TERMINATION:
In case of termination of employment on the expiry of the tenure fixed, no notice of termination is required from either side in FTC Employment.
(3) STATUTORY GRATUITY:
In permanent employment statutory gratuity is payable only on the completion of minimum qualifying service fixed whereas, it is payable proportionately
based on the years of continuous service actually rendered under the FTC, i.e., without the minimum qualifying service.
(4) PROMOTION:
In permanent employment, promotion or hierarchical career advancement would be there whereas it is not available in FTC Employment.
From India, Salem
6018There is no difference between permanent employment and fixed term contract employment except in respect of the following aspects:
(1) TENURE OF EMPLOYMENT:
In permanent employment, the employee can normally remain in service till the attainment of the age of superannuation fixed in the contract of employment or
the service regulations applicable.
On the contrary, the tenure of employment is prefixed in the fixed term contract and the employee cannot remain in service beyond the term fixed unless it
happens to be extended mutually.
(2) NOTICE OF TERMINATION:
In case of termination of employment on the expiry of the tenure fixed, no notice of termination is required from either side in FTC Employment.
(3) STATUTORY GRATUITY:
In permanent employment statutory gratuity is payable only on the completion of minimum qualifying service fixed whereas, it is payable proportionately
based on the years of continuous service actually rendered under the FTC, i.e., without the minimum qualifying service.
(4) PROMOTION:
In permanent employment, promotion or hierarchical career advancement would be there whereas it is not available in FTC Employment.
From India, Salem
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Fixed term employment extended.jpg
Fixed term employment.pdf
Fixed Term Contract Employees to get Gratuity.docx