The standard type of employment contract drafted in India is an Open-ended contract which can otherwise be referred to as a “unlimited” or “permanent” contract. This contract will remain ongoing until an active termination or resignation is facilitated by an employer or employee.
An alternative employment contract type is a Temporary Contract, otherwise referred to as a “limited” or “definite” contract. These contracts aren’t very common in India and only issued in circumstances where an employee will be working on a specific project or as a contract worker. Contract workers are subject to different taxes, will not be issued employment taxation certificates, no social security contributions and have different renumeration calculations. The period of the contract must be specified, and the amount of time has no minimum or maximum caps but must be considered as reasonable for the
There is a third type of employment contract in India known as a Casual Employment Contract. These contracts are drafted when an employer does not have a guaranteed set of hours for the employee to work and hours can fluctuate.