Legal Tips for Holiday Season Hirings
The holiday and year-end season is approaching, demanding that many companies and businesses hire staff to handle the increased demand on key dates. In this regard, at Acacia Legal, we always explain to our clients that hiring personnel for this period involves specific legal considerations that must be approached with caution. For this reason, today we have decided to explain some aspects that should be taken into account to ensure that these hirings are carried out in accordance with the law.
Temporary Contract: A Key Point
Let's start by saying that implementing a seasonal contract is essential when hiring employees to meet the needs of businesses during the holiday season. Whether for a specified or unspecified period, this type of contract provides a solid foundation for the employment relationship between both parties, even in situations of short-term hires. However, even for short-term hires, it is always recommended to enter into a written employment contract. This practice enhances the documentation of the employment relationship and provides clarity on the agreed-upon terms between employer and employee.
Seasonal Contract: Determined or Undetermined?
In general terms, a seasonal contract can be for a specified or unspecified period. However, due to the continuity principle that governs labor law, contracts for an unspecified period are generally preferred. A contract for a specified period is only allowed in specific cases, and it is crucial to understand when to apply this option.
Contract for a Specified Period:
Legal precedent holds that it is possible to establish a seasonal contract for a specified period, as long as a person is hired exclusively for that season, with no plans for their employment in subsequent holiday seasons. At the end of the specified period, the worker is entitled only to proportional vacation and bonuses.
Contract for an Unspecified Period:
If an employee is hired for consecutive holiday seasons, a contract for an unspecified period must be entered into. At the end of the employment relationship, the corresponding benefits, including severance pay, must be settled. This is applicable due to the continuity of the employment relationship in the case of repeated annual hires.
Precautions When Establishing Seasonal Contracts
In other words, a contract for a specified period should only be established if there is certainty that the worker will not be required in future seasons. Repeated hiring for the same season can be interpreted as a contract for an unspecified period, with additional implications for both the employer and the employee.
In summary, when hiring employees exclusively for the holiday season, the recommended employment contract is the seasonal contract. This can be for a specified or unspecified period, depending on the specific circumstances of the hiring.
Contact us if you require guidance; being aware of the legal implications and making informed decisions will ensure strong employment relationships that comply with the law during the festive season, avoiding potential inconveniences.
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