The Central Government on 8th of January 2018 had passed a Draft Rule allowing employment under Fixed Term Contract scheme in every sector. Before the Fixed Term Contract was only applicable to the Apparel sectors, but as a result of this Notification, now employers can even recruit employees under the Fixed Term Contract at every sector.
The features of this Fixed Term Contract Notification are: -
1. It will ease the business of the Employers.
2. There will be lesser amount of obligation against the contract employees in compare to the permanent employees.
3. The employers may engage employees under Fixed Term Contract for their core business too.
4. Gratuity may not to be paid to the contract employees; as very rarely a Fixed Term Contract will be further extended to apply the Gratuity scheme!
5. There will be less negotiation or bargaining between the employer and the Trade Unions with respect to job security.
6. The Employers are free not to engage the same employee again.
And whereas the today in the Economic Times it has been aired that may the Government review the very Drafted Rules.
Any updates or further posts on the same will be highly appreciable, Please.
Attaching the Fixed Term Contract Draft Rules Notification for your reference, Please.