Can I end a fixed-term contract early?

Not easily. The contract runs until its end date. Early termination requires cause (theft, gross misconduct) or written mutual agreement. Breaking it without cause may trigger severance claims. Consult a lawyer if you need to exit early.

Do I owe notice before the contract ends?

No. The contract terminates automatically on the date stated. However, you should confirm the end date in writing 1–2 weeks before, to avoid confusion and ensure the employee registers with the unemployment office (RAV/ORP/URC) on time.

What happens if I want to hire them permanently after the contract ends?

Offer a new permanent contract after a brief break (1–2 weeks). This signals a fresh start. If you rehire them within days under another fixed term, courts may see it as continuation of the same role, treating it as permanent from day one.

Fixed-Term Contract (Befristeter Arbeitsvertrag)

A fixed-term contract (Befristeter Arbeitsvertrag) is an employment agreement with a predetermined end date. Unlike permanent roles, it terminates automatically without notice when the date arrives. Under Swiss law, fixed-term contracts are legally valid but must be documented clearly in writing, and employers cannot repeatedly renew them indefinitely to avoid permanent employment obligations.

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Fixed-term contracts are common in Switzerland for seasonal work, project staffing, maternity cover, or trial periods. They suit employers who need temporary staffing without long-term commitment, and employees who prefer defined time limits.

The contract must specify the exact end date. If it doesn't, Swiss labour law (ArG, Article 14) treats it as permanent. Vague language like 'until the project ends' creates legal risk and disputes.

When You Use a Fixed-Term Contract

Use fixed-term contracts for temporary, specific needs: seasonal peaks, parental leave cover, defined projects, or probation periods. They are not suitable for ongoing business roles you plan to refill repeatedly.

If you need staff for recurring seasonal work (e.g., hospitality at ski resorts), use successive fixed-term contracts sparingly. Swiss cantonal courts have limits on how many times you can chain them before the role becomes permanent in law.

Seasonal or temporary workload (tourism, agriculture, retail peaks)
Covering permanent employee absences (maternity, sabbatical, sick leave)
One-off projects with clear end dates
Trial or probation arrangement before permanent hire
Consulting or event-based assignments
Business restructuring or wind-down phases

Your Obligations as Employer

Write the contract in clear Swiss-German, French, Italian, or English. Include the exact end date, job title, Pensum percentage, salary in CHF, and location. Both parties must sign.

You must still comply with all employment law: minimum wages per canton, working time limits (ArG Article 10), accident insurance (SUVA), and Quellensteuer withholding. No exceptions for fixed terms.

State the end date explicitly (e.g., 31 December 2024, not 'end of Q4')
Provide an Arbeitszeugnis (work certificate) at contract end, even if performance was poor
Pay all accrued holiday and bonus entitlements before or on the final day
Register the employee with RAV/ORP/URC (unemployment office) when contract ends
Maintain the same mandatory insurance and tax withholding as permanent staff
Do not renew the same contract more than two or three times without legal review

The Most Common Mistake

Employers chain fixed-term contracts indefinitely to avoid permanent obligations. After 2–3 successive renewals in the same role, Swiss courts often rule the position is now de facto permanent, forcing back-pay and severance.

A second error: omitting the end date from the contract. This automatically converts it to a permanent role under ArG Article 14, making termination subject to notice periods and legal grounds.

Renewing the same contract 4+ times for the same role without restructuring
Forgetting the end date entirely in the written agreement
Treating fixed-term staff as permanent without formalising the switch
Failing to issue a final Arbeitszeugnis or pay holiday on the last day
Assuming fixed terms bypass minimum wage or working-time rules
Rehiring the same person within days under a new fixed-term contract to reset tenure

Frequently asked questions

Can I end a fixed-term contract early?: Not easily. The contract runs until its end date. Early termination requires cause (theft, gross misconduct) or written mutual agreement. Breaking it without cause may trigger severance claims. Consult a lawyer if you need to exit early.
Do I owe notice before the contract ends?: No. The contract terminates automatically on the date stated. However, you should confirm the end date in writing 1–2 weeks before, to avoid confusion and ensure the employee registers with the unemployment office (RAV/ORP/URC) on time.
What happens if I want to hire them permanently after the contract ends?: Offer a new permanent contract after a brief break (1–2 weeks). This signals a fresh start. If you rehire them within days under another fixed term, courts may see it as continuation of the same role, treating it as permanent from day one.

General information for Swiss employers, not legal advice. Have a lawyer confirm anything with legal consequences.