Know All About Engaging Fixed-Term Employee

The engagement of employees on a Fixed-Term basis is not a new phenomenon and has continued since time immemorial. What remained static was the employers’ perception of how persons employed on a fixed-term basis were to be treated. It was a common practice in the industry to offer differential and mostly prejudicial service conditions to Fixed-Term Employees (“FTEs” hereinafter) in comparison to their permanent counterparts. Under the old law, for manufacturing establishments which were covered under the ambit of the Industrial Employment (Standing Orders) Act, 1946 and had the Central Government as their appropriate Government, the Model Standing Orders prescribed that the hours, wages, allowances and other benefits of a fixed-term workman shall not be less than those of a Permanent workman. He would also be eligible for all statutory benefits available to a Permanent workman proportionately according to the period of service rendered by him even though the period of his employment does not extend to the qualifying period of employment required in the statute. Similar...