The employment agreement for a definite period of time

September 8, 2020

According to Article 7a:1613x paragraph 2 of the Civil Code of Aruba (BWA), an employment contract for a specified period of time can be concluded only under the following circumstances:

(i) during “high season” or

(ii) to replace someone who is temporarily absent (e.g. on sick leave) or

(iii) in the implementation of a new project, or

(iv) if it relates to the performance of accidental, irregular work.

In addition, paragraph 6 of the same article makes entering into an employment agreement for a definite period of time with an employee who has reached retirement age possible.

It is important to mention that all employment agreement for a definite period of time must be concluded in writing and under one of the circumstances mentioned above, described as detailed as possible. If this is not the case, the provisions on the termination of an employment agreement for an indefinite period of time will apply.

Pursuant to Article 7a:1615f BWA, in certain cases where employment agreements for a definite period of time follow each other, the employment agreement for a definite period of time is considered to have been entered into indefinitely. In this case too, the provisions on the termination of an employment agreement for an indefinite period of time will apply.

Caution is certainly required when entering into (successive) employment agreements for a definite period of time! A lawyer can help you to manage your situation (beforehand) and/or in drawing up the employment contract itself.

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