What is the duration of an employment contract?

It is the company's responsibility to draft the employment contract and set its duration before offering it for signature to the employee. While a permanent contract (CDI) is considered to have no end date, a fixed-term contract (CDD) must clearly state its termination date. In cases where employees work 100% remotely, a distance contract is often used. To save time, companies may opt for software that enables electronic signatures for contracts—whether for full-time, part-time, permanent, or fixed-term employees.

Why mention the contract duration?

Fixed-term and temporary contracts must explicitly state an end date within the employment agreement. Clearly specifying the duration serves several purposes:

Benefits of specifying duration

• It establishes the exact period of employment.
• It enables the employee to access unemployment benefits or professional training.
• It helps in planning for the end of the fixed-term contract, whether to seek new employment or to convert/renew it into a permanent contract.

What is the maximum duration of a fixed-term contract?

The duration of a fixed-term contract is strictly limited by law. Key points include:

Standard limitations

• A fixed-term contract cannot exceed 18 months in total, including any renewals.
• If the company is awaiting the recruitment of a new permanent employee, the duration is reduced to 9 months.

Possible extensions

• The contract may be extended up to 24 months if the assignment is performed abroad or if it is used to replace an employee who is permanently departing before their position is eliminated.
• A significant increase in export orders requiring temporary human resource boosts can also justify a 24-month fixed-term contract.
• In the context of an apprenticeship training cycle, the fixed-term contract may be extended to 36 months.

Meeting the four validity conditions for a fixed-term contract

Before signing—whether for a permanent or fixed-term contract—both parties must mutually accept its terms. No term can be unilaterally modified. If both parties agree to change a term, an amendment must be signed. The law specifies that failure to meet any one of the following four validity conditions can render the contract null:

The four conditions

• Freedom: Each party must be free to sign the contract without any external pressure.
• Capacity: Both must have the legal capacity to contract.
• Lawfulness: The contract’s content must be lawful and not contravene public order or good morals.
• Clarity: Both parties must be fully informed of the obligations regarding the tasks to be performed and the salary to be paid.

This framework allows a company to sign a fixed-term contract ranging from a few days to several months for situations like replacing an absent employee or fulfilling an urgent, exceptional need. It is important to note that a service or freelance contract is not considered a fixed-term employment contract. However, it may be reclassified as an employment contract by URSSAF if the contractor has a single client or if the client assumes managerial control over the contractor.

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