Frequently Asked Questions About Redundancy and Ending Fixed Term and Temporary Contracts

26 Sep 2012     Last updated: 21 Nov 2014

Because of the way many projects are funded in the voluntary and community sector, a question that can arise for employers in this sector is one that relates to fixed term contracts and redundancy.

Fixed term contracts are used extensively in the voluntary and community sector due to short term funding of posts. The concern is that under the Employment Rights Order (NI) 1996 an employee with the necessary continuity of employment whose fixed term contract is ending/expires could bring a claim of unfair dismissal/selection for redundancy if there is still work available within the organisation. 

A common question for employers in the sector, then,  is whether or not statutory dismissal procedure (redundancy procedure) should be applied at the ending of a fixed term contract?

NICVA has developed a series of questions  and answers (available for download below) relating to this area and it is hoped that this will provide some general guidance to the sector. It is important, however, to remember that redundancy and dismissal are clearly fact sensitive matters and the appropriate course of action will be dependent on the unique set of circumstances in any given situation.

 An employer faced with a specific redundancy situation should always seek their own legal advice in order to ensure that their practices and actions are appropriate.

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