Fixed Term & Open-Ended Contracts Policy

Objectives

The University is committed to implementing the Regulations on Fixed-term Employees (Prevention of Less Favourable Treatment) positively when they become wholly effective on 10 July 2006. Accordingly, the University aims to:

• protect fixed term contract staff from less favourable treatment;
• limit abuse through successive use of fixed term contracts;
• reduce the existing number of fixed term contracts; and
• ensure that open-ended contracts are the contractual norm rather than fixed term contracts.

The University recognises that imaginative solutions are required to fundamentally reduce the use of fixed term contracts, particularly amongst contract research staff, to further embed its competitive position. This Policy is an opportunity to enhance the employment security enjoyed by staff whilst providing for continued use of FTCs in appropriate limited circumstances. With an increased focus on achieving sustainability, recovery of full economic costs and enhanced commitment to redeployment measures, the extension of the use of open-ended contracts becomes more attainable for cases where previously fixed term contracts usage predominated.

Our objective is to secure the right balance between flexibility and efficient working practices, whilst delivering fair employment with a heightened measure of security for all staff. Open-ended contracts (indefinite contracts with no specified contractual end date) do not mean financial commitments beyond our capacity to effect them. Where we continue to use fixed term contracts the reasons will be transparent and objectively justifiable. We need a balance between the University managing its business efficiently and staff in fixed term posts managing their careers effectively.

It is important to recognise that the same redundancy management and consultation practices are necessary whether the contract is for a fixed term or open-ended. An open-ended contract is not a permanent commitment; where the need for the role/skills ceases a dismissal may result whether the contract is fixed term or open-ended.

Policy

It is proposed that the use of fixed term contracts should diminish steadily and be discontinued completely in selected appropriate circumstances from July 2006, requiring a major cultural shift within the University to embrace open-ended contracts as the contractual norm.

This will be supported by improved application of refined processes for financial management, performance management and redundancy management.

Criteria for translation onto open-ended contracts will focus on the need for and viability of the role/skills, and thus the scope to objectively justify continued use of a fixed term contract or movement to an open-ended contract.

From July 2006 onwards, open-ended contracts will established as the norm, and the continued use of fixed term contracts will be limited and constrained through narrow use of the objective justification criteria.

Transition

The criteria and principles to be applied in this transition shall include:

• For externally funded open-ended contracts highlight that, whilst open-ended contracts are used appointments will be linked to a fixed duration and/or funding. In this way the contract will be open-ended, but the contractual expectations will be managed balanced by a commitment to actively seek to retain staff where activities and funding allow. When the need for the activities, role or skills ceases the University will actively seek to redeploy to avoid dismissal.

• The following criteria may be pertinent in reviewing the scope to translate contracts to open-ended status:
  • contribution the individual's expertise is likely to make to the School/RI/Services activities and profile;
  • income generation capability and/or potential;
  • availability of funding;
  • the future prospects for the activity/project;
  • sufficiency of fit in the context of research/operational strategy and of academic/professional excellence.

• Where fixed term contracts are used for temporary absence cover [as in (a) below], the dismissal will be treated as for "some other substantial reason" rather than as a redundancy in the first instance.

• The objective justifications for the use of fixed term contracts will solely include:
  a) To provide temporary replacement cover for situations such as secondments, study leave, long-term sickness absence, maternity leave, parental or adoptive leave; or
  b) Where the student or other business demand in the short-term (eg. normally 12 months or less) can clearly be demonstrated to be uncertain or finite (eg. one-off projects, or training positions).

• Where viable, translate all RA2/3/4s and all contract research staff with 4 or more years' continuous service onto open-ended contracts. This will attain c.50% of contract research staff employed on open-ended contracts, which attests that they are the contractual norm for such staff.

• Given over 75% of non-research staff are on open-ended contracts already, move remaining non-research staff on fixed term onto open-ended contracts, unless an objective justification pertains.

Through these measures open-ended contracts will become the contractual norm and the University will seek to further embed its competitive position.

Approved by Court: February 2005