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Fixed-Term Employment Contracts in Tunisia: Legal Framework and Specificities

LABOR LAW

10/4/20232 min read

work freestanding letters
work freestanding letters

Fixed-Term Employment Contracts in Tunisia: Legal Framework and Specificities

Like many countries, Tunisia has structured its labor market around various types of contracts to meet the diverse needs of employers and employees. One common form is the fixed-term contract (In french Contrat à durée déterminée - CDD). This article explores the legal framework and main characteristics of CDDs in Tunisia.

  1. Definition of an FTC: A CDD is a work contract between an employer and an employee for a specified period. It has a defined start and end date. Unlike an open-ended contract (CDI), it is not intended to be permanent.

  2. Cases for Using a CDD: Tunisian legislation strictly regulates the situations in which a CDD can be used. It is generally intended for temporary needs of the company, such as:

    • Replacing an absent employee,

    • Temporary increase in the company’s activity,

    • Seasonal jobs,

    • Execution of a specific, non-durable task.

  3. Duration of a CDD: The duration of a CDD in Tunisia is generally defined based on the task to be performed or the replacement of an employee. However, it must comply with legal limits to avoid automatic conversion into a CDI.

  4. Renewal and Termination: A CDD can be renewed, but under certain conditions and within the limits set by law. Regarding termination, unless otherwise stipulated in the contract, the end of a CDD generally does not result in severance pay. However, early termination initiated by the employer without legitimate cause may lead to compensation for the employee.

  5. Rights of CDD Employees: CDD employees have the same rights as those on CDIs, including salary, leave, and working conditions. They are entitled to social protection and are covered in case of work-related accidents.

  6. Limitations and Precautions: Employers must be cautious when drafting a CDD to avoid its reclassification as a CDI, which could lead to financial consequences. The absence of a valid reason or exceeding the maximum legal duration are among the common reasons for reclassification.

Conclusion: The fixed-term contract in Tunisia is a flexible tool for companies, allowing them to meet specific and temporary needs. However, its use is strictly regulated by law to ensure employee rights and prevent abuse. Employers must therefore ensure that they fully comply with legal provisions when using this type of contract.