I was on a one-year fixed-term contract with a company in Malta, and when it reached its natural end date, my employer simply chose not to renew it. I wasn’t given any reason. Am I entitled to any kind of payout or compensation, similar to redundancy, or does a fixed-term contract just end with nothing owed?
When a fixed-term contract simply reaches its agreed end date and is not renewed, this is generally treated differently from a dismissal under the Employment and Industrial Relations Act, Chapter 452 of the Laws of Malta, and in most cases does not automatically trigger notice pay or redundancy-style compensation in the way an early termination of an indefinite contract would, since the contract was always understood by both parties to end on that date. However, there are important exceptions worth checking: if you have been employed on a series of consecutive fixed-term contracts with the same employer beyond certain thresholds, Maltese law includes provisions intended to prevent the misuse of successive fixed-term contracts, which in some circumstances can result in the relationship being treated as indefinite, changing your rights significantly. Review how many fixed-term contracts you have had with this employer and over what total period, since repeated renewals close together can affect your legal position. If you believe the pattern of your contracts may qualify for reclassification, or if you were led to reasonably expect renewal, it is worth seeking advice from the Department of Industrial and Employment Relations.
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