Fixed-Term Employment Contract in Uzbekistan: When It Is Allowed and How It Ends
Grounds under Articles 112 and 113 of the Labor Code, maximum terms, extensions, termination and the risk of conversion into an indefinite contract
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An employment contract is made either for an indefinite period or for a fixed term of no more than three years — the latter is a fixed-term employment contract (Article 110 of the Labor Code). If the contract does not state a term, it is deemed indefinite.
Fixed-term contracts are convenient for employers, but the Code ties them strictly to specific grounds. A contract made for a fixed term without sufficient grounds is deemed indefinite, and in a dispute the employer bears the burden of proving the grounds (Article 111). General rules on form and registration are covered in our article on employment contracts; this page deals only with fixed-term specifics.
When a fixed-term contract is required (Article 112)
Article 112 covers situations where the relationship cannot be indefinite because of the nature of the work or how it is performed. A fixed-term contract is made, in particular:
- to cover an absent employee whose job is kept for them;
- for temporary work (up to two months);
- for seasonal work that, because of natural conditions, can only be done during a certain season;
- for work outside the employer's normal activity (reconstruction, installation, commissioning) and for a known temporary (up to one year) expansion of production or workload;
- with staff of organisations set up for a known period under their founding documents;
- for a known fixed-term job whose completion cannot be tied to a specific date;
- under an apprenticeship, paid internship or traineeship agreement;
- with foreign citizens and stateless persons who lawfully entered Uzbekistan to work.
When it is allowed by agreement (Article 113)
Under Article 113 a fixed-term contract may be agreed regardless of the nature of the work, including:
- with employees of micro-firms and individual entrepreneurs (IE);
- with domestic workers employed by individuals;
- with heads of organisations, their deputies, chief accountants and heads of separate divisions, unless the law provides otherwise;
- with full-time students;
- with part-time (secondary job) employees;
- for urgent work to prevent or deal with the consequences of accidents, disasters and epidemics;
- with creative workers and professional athletes — under lists approved by the Cabinet of Ministers.
How to set the term and how long it can be extended
The term is set in one of three ways (Article 114): a total duration in days, months or years; calendar start and end dates; or an event on which the contract expires — for example, commissioning of a facility or the return of an absent employee.
The initial term is capped at three years (Article 110). If the grounds under Article 112 or 113 still exist, the parties may extend the contract, but the total term may not exceed five years unless the law provides otherwise; beyond that, the contract is treated as indefinite (Article 111).
If an event-based term runs longer than three years, or the circumstances that justified the fixed term cease to exist, the contract is deemed extended for an indefinite period (Article 111).
Prohibitions and conversion risks
- a fixed-term contract without grounds under Article 112 or 113 is deemed indefinite;
- an indefinite contract cannot be re-signed as a fixed-term one without the employee's consent;
- using fixed-term contracts to avoid the rights and guarantees of employees on indefinite contracts is prohibited;
- in an individual labor dispute, the employer must prove that the fixed term was justified;
- if the employee keeps working after the term ends and neither party demands termination within a week, the contract becomes indefinite (Article 158).
Ending the contract on expiry
A fixed-term contract ends when its term expires. The party deciding to end the relationship on this ground must give the other written notice at least three calendar days before termination (Article 158). The exception is a contract covering an absent employee: it ends on the day that employee returns, without notice.
Pregnancy is a special case. If the term expires during pregnancy, the employer must, upon the woman's written request and a medical certificate, extend the contract until the end of the pregnancy, or until the end of maternity leave if it is granted (Article 408).
Practical tip: keep a register of fixed-term contracts with their end dates. A missed notice and continued work for more than a week are the most common reasons a fixed-term employee becomes permanent.
Penalty for early termination
A fixed-term contract may include a mutual obligation to pay a penalty on early termination (Article 159): the employer pays if it terminates on its own initiative without fault on the employee's part; the employee pays if they leave on their own initiative or are dismissed for fault.
If the contract does not specify the amount, neither party has to pay. The employee's penalty may not exceed the employer's; the amount can vary with the employer's expenses on the employee and the period worked. If a party refuses to pay, the penalty is recovered through the courts.
Checklist before signing a fixed-term contract
- state the specific ground under Article 112 or 113 — it is a mandatory term of the contract (Article 104);
- choose how the term is set — duration, dates or an event — and check that it does not exceed three years;
- when extending, count the total term including previous periods — no more than five years;
- decide whether you need a mutual penalty and state its amount, otherwise it cannot be recovered;
- diarise the written notice date — at least three calendar days before the term ends;
- register the signing, extension and termination in the Unified National Labor System, as for any employment contract.
We will review your fixed-term contracts
We check the grounds, extensions and notice dates of fixed-term contracts so they do not turn into indefinite ones.
Go to the Accounting Services pageFrequently asked questions
What is the maximum term of a fixed-term employment contract?
No more than three years (Article 110). With extensions the total term is capped at five years unless the law provides otherwise; beyond that, the contract becomes indefinite (Article 111).
Can a chief accountant be hired on a fixed-term contract?
Yes, by agreement: Article 113 allows fixed-term contracts with heads of organisations, their deputies, chief accountants and heads of separate divisions unless the law provides otherwise.
Must the employee be notified that the term is ending?
Yes, in writing at least three calendar days in advance (Article 158). The exception is a contract covering an absent employee: it ends on the day that employee returns.
What if the employee keeps working after the term ends?
If neither party demands termination within a week, the contract is deemed concluded for an indefinite period (Article 158).
Can a permanent employee be moved to a fixed-term contract?
Only with the employee's consent (Article 111). Even with consent, a ground under Article 112 or 113 is required — otherwise the contract is treated as indefinite.
See also
- Waybills and Fuel Write-off in Uzbekistan: Consumption Norms and Documents
- Financial and Tax Reporting: What Is the Difference
- Hotel Accounting in Uzbekistan: Revenue, Tourist Fee and Taxes
- Financial Statement Analysis: Reading the Statements Together
- Water Use Tax in Uzbekistan: Payers, Base and Rates
- VAT Refund on an Apartment Purchase: What Is Possible and What Is a Myth
Sources
- Labor Code of the Republic of Uzbekistan — Articles 104, 109–114, 158, 159, 408
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