Employment contracts: streamline your HR management for greater efficiency!

Discover the main types of employment contracts, the employer's legal obligations regarding drafting, and learn how a digital tool can streamline the employment relationship and facilitate the automation of formalities. You will also find advice on drafting a contract that complies with every clause required by the labor code.

What are the different types of employment contracts?

An employment contract defines the working relationship between an employer and an individual performing a task in exchange for remuneration. According to the labor code, there are several categories, concluded for a fixed or indefinite term. The provision of an employee to a client company is also possible through a temporary employment contract. Each type is subject to specific rules: written form, mandatory clauses, contract duration, probationary period, etc.

The open-ended employment contract (CDI)

The permanent employment contract (CDI) is the most common and protective form of employment in the private sector. It binds both the employer and the employee without a fixed end date, thus guaranteeing a certain degree of stability. A permanent employment contract can be full-time or part-time.

Any change to the workplace or remuneration must comply with certain clauses and any applicable collective agreement. The applicable collective agreement may stipulate a trial period of varying length, renewable according to the agreed terms.

In principle, open-ended employment contracts are terminated by resignation, dismissal (for economic or personal reasons), or a mutually agreed termination, subject to compliance with the notice period. In certain cases of collective dismissal, the procedure involves the administrative authority and the works council (CSE).

Fixed-term contract (CDD)

A fixed-term contract (CDD) is a type of contract concluded for a maximum duration, in order to meet a temporary need. It can be signed to replace an employee on leave (illness, maternity leave, parental leave) or to cope with a temporary increase in activity.

The employment relationship thus established is limited in time and must be formalized by a written contract specifying the end date. This does not apply if the contract is for a minimum duration with an uncertain end date (e.g., replacement of an absent employee or seasonal contract).

A fixed-term contract can only be renewed up to the maximum duration stipulated by law or collective agreement. Early termination of the contract is only possible in specific cases (mutual agreement, serious misconduct, etc.). At the end of the fixed-term contract, if the employer does not offer a new contract, the employee receives an end-of-assignment bonus, except in cases provided for by the labor code.

Specific contracts

Some employment contracts have different characteristics:

• Professionalization or apprenticeship contract : concluded to promote the qualification of a young person or an adult, with training and activity alternating.
• Temporary work allows for the filling of a short-term assignment through a temporary employment agency.
• A temporary employment contract meets a specific need or replaces an absent employee.
• Umbrella companies offer the social protection of an employee to a self-employed person (umbrella employee) who retains their autonomy.
• The associative employment voucher simplifies hiring and salary payments in the non-profit sector.
• The fixed-term contract for specific use covers seasonal or cyclical activity in certain recognized sectors.
• The fixed-term contract for a specific purpose : to recruit an engineer or manager. It lasts a maximum of 18 to 36 months, and the contract ends when the mission for which it was concluded is completed.
• The single integration contract supports the employment of people facing difficulties in professional integration.

What are the best tools for managing employment contracts?

To streamline HR management, reduce wasted time, and efficiently digitize employment contracts, numerous software solutions have emerged. These solutions automate drafting, signing, and archiving, all while ensuring compliance with labor laws. These tools help you better meet legal requirements and simplify administrative procedures.

ATS and HRIS, digital management solutions

An Applicant Tracking System (ATS) or Human Resources Information System (HRIS) centralizes your contract-related data and procedures. For example, digitizing your HR processes with an advanced platform significantly improves document updates and team coordination. This allows you to generate pre-filled contracts, manage the approval workflow, and ensure centralized tracking.

Thanks to the integration of an e-signature module, employees can sign their contracts without any paper exchange. Simultaneously, managers approve each clause online. The HR department thus reduces the risk of errors and omissions, while ensuring complete traceability. This is crucial for complying with regulations regarding working hours, notice periods, and mandatory information.

Features to look for in contract management software

To improve efficiency, certain features are essential:

• Automatic contract generation : Create an employment contract (fixed-term, permanent, etc.) via customizable templates.
• Validation workflow : Organize the provision of documents for each party (employer, employee) and follow the steps.
• Electronic signature : Get a contract signed in a few clicks, without paper format, and save time.
• Secure archiving : Keep each contract while respecting social protection and confidentiality.
• Notifications and reminders : Avoid missed deadlines for the trial period, contract termination, etc.

Some solutions can even be combined with an HR reporting module to analyze your recruitment processes and the evolution of your employment contracts.

How to write an employment contract?

Drafting an employment contract is governed by strict rules. Every employment relationship must be formalized by a written document, specifying in particular:

• The identity of the parties (employer, employee) and the date of hiring.
• The form of the contract: fixed-term contract, permanent contract, or other type of contract.
• The duration (if it is concluded for a fixed term) or full-time / part-time.
• The assigned tasks and the employee's qualifications.
• Specific clauses: probationary period, place of work, remuneration and benefits.

In addition to these points, any collective agreements or the applicable collective agreement may require additional mandatory information, such as the weekly working hours, the suspension of the contract in the event of special leave (e.g., parental leave), or the procedure for dismissal for economic reasons if the situation arises.

Drafting a comprehensive and compliant contract ensures the protection of both parties: the employee knows their rights and obligations, while the employer can enforce the signed clauses should a dispute arise. To simplify this task, customizable templates and a creation workflow integrated into your HRIS prove highly effective.

What are the employer's obligations regarding employment contracts?

The employer is required to provide the employee with a written employment contract when required by law or collective agreement.

The employer's obligations include:

• Inform the employee of the key clauses (location, remuneration, duration, hours).
• Respect the notice period in case of dismissal, except for serious misconduct or end of a fixed-term contract.
• To guarantee social protection in accordance with the social security code (health insurance, retirement, etc.).
• Do not unilaterally modify the contract if this implies a disruption of the nature of the employment relationship (unjustified reduction in remuneration, radical change of workplace, etc.).

In the event of non-compliance, the employee may contest the validity of certain provisions, claim damages, or request the reclassification of the contract. It is therefore essential to ensure that HR templates and practices are regularly updated, for example, through dedicated HR reporting.

FAQ - Frequently Asked Questions

Can an employment contract be concluded orally?

In theory, an employment contract can be formed orally if the employee and employer agree on the position and salary. However, this is very risky, as no written record protects the parties in the event of a dispute. It is therefore strongly recommended to formalize the contract in writing, especially for a fixed-term or fixed-term contract.

Can a fixed-term contract automatically become a permanent contract?

Yes, if a fixed-term contract (CDD) continues beyond the maximum legal duration, or if the employer fails to draw up an addendum validating the extension, labor law provides for its reclassification as a permanent contract (CDI). Therefore, the formal requirements and the fixed term for this type of fixed-term contract must be respected.

Does teleworking require an amendment to the contract?

Teleworking changes working conditions (location, hours, etc.). An addendum to the employment contract is often recommended to avoid any future disputes, unless a collective agreement authorizes this practice without specific formalities. The teleworking clause specifies, in particular, the reimbursement of expenses and the implementation procedures.

Can a fixed-term contract be terminated before the scheduled date?

Early termination of a fixed-term contract is strictly regulated: mutual agreement between the parties, serious misconduct, force majeure, or hiring on a permanent contract. Any other reason may lead to legal action and the payment of compensation to the injured party.