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FAQs on Fixed Term Employment and Indian Labour Law Compliance

1. Can I renew a fixed-term contract more than once? Yes, but you must establish a genuine temporary justification (e.g., project extension, seasonal surge) for each renewal. Under Section 2(oo)(bb) of the Industrial Disputes Act, 1947, non-renewal of a fixed-term contract is not considered “retrenchment,” protecting employers from severance payouts. However, Industrial Tribunals heavily scrutinize […]

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