Maximum Term Employment Agreement

This Maximum Term Employment Agreement, structured as an offer letter, establishes an employment relationship that will last, at a maximum, for a specific period or until a specific date.

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Last updated February 25, 2025

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Suitable for Australia

Maximum Term Employment Agreement

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What is a maximum term employment agreement?

A maximum term employment agreement is a contract where employment lasts up to a specific date or event, but may end earlier under certain conditions. It differs from a fixed term agreement by allowing early termination and including a probation period.
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When should you use a maximum term employment agreement?

Use a maximum term employment agreement when hiring someone for a defined period or to cover a specific role, such as maternity leave or a project, where flexibility for early termination may be required.
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What should be in a maximum term employment agreement?

A maximum term employment agreement should include start and end dates, probation period, duties, remuneration, leave entitlements, confidentiality, termination clauses, and any conditions for early termination.
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Frequently asked questions

How is this agreement different from a fixed term or casual contract?

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What protections does this agreement provide for employees?

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What are the main risks for employers using this agreement?

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Can the employer change my role or duties under this agreement?

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What happens if employment ends before the maximum term?

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Does this agreement cover confidentiality and intellectual property?

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What should I do after receiving the agreement?

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View Sample Maximum Term Employment Agreement

Maximum Term Employment Agreement
risk level indicator at Medium level

The Legal Risk Score of a Maximum Term Employment Agreement Template is Medium

Our legal team have marked this document as medium risk considering:

  • The document allows the employer to unilaterally change the nature of the employee's role, duties, and reporting lines, which could lead to unexpected job responsibilities or a shift in career trajectory.
  • The document specifies that the employer's policies are binding but clarifies that these policies do not form part of the employment contract, which might lead to confusion or misunderstandings about the enforceability of such policies.
  • This role must be carefully managed so that the role ends on the set date, otherwise it could create further obligations or liabilities upon the employer.


Meet Our Users

Articles about Maximum Term Employment Agreement

Upcoming Changes to Fixed Term Employment Contracts
By Edwin Montoya Zorrilla|May 15, 2025

Upcoming Changes to Fixed Term Employment Contracts

The government has introduced changes that reduce the scope of maximum term and fixed term employment contracts and offer additional protections to workers on these contracts. These changes passed on 6 December 2022, and are coming into force on 6 December 2023.

Fixed Term Contract Termination: Legal Or Not?
By Ilyas Omari|May 20, 2025

Fixed Term Contract Termination: Legal Or Not?

Have you ever wondered whether the termination of fixed term contracts is legal? Read this article to find out.

Fixed Term Contracts: An Explainer
By Lachlan Ward|Mar 7, 2019

Fixed Term Contracts: An Explainer

Considering hiring a fixed term employee? Or not sure whether they should be a permanent employee? Find all about fixed term contracts here.

4 Things to Know Before Preparing an Employment Agreement
By Charlie Chan|Nov 26, 2025

4 Things to Know Before Preparing an Employment Agreement

An Employment Agreement sets out the terms and conditions of employment. Here's 4 important things to know about using them.

How to Extend Your Employees’ Fixed Term Contract
By Jenelle Miranda|May 28, 2024

How to Extend Your Employees’ Fixed Term Contract

Looking to employ a fixed term employee or renew their old contract? Find out here what fixed term contracts contain, and how to extend one.

An Ultimate Guide to Enterprise Agreements in Australia
By Ilyas Omari|May 3, 2023

An Ultimate Guide to Enterprise Agreements in Australia

Read this guide to learn about how enterprise agreements work and how they can benefit both your business and your employees.

What Legal Services do I need to Hire an Employee?
By Zachary Swan|Aug 30, 2016

What Legal Services do I need to Hire an Employee?

Need to hire an employee? Learn about the legal documents and services you will need in place to safeguard your business and employees.

The Employment Agreement: 5 Things To Always Include
By Michael Hoyle|May 24, 2024

The Employment Agreement: 5 Things To Always Include

An employment agreement is important in setting out rights and responsibilities of employers and employees. Here are 5 things that should be included.

What’s an Employment Agreement?
By Dominic Woolrych|Jun 25, 2015

What’s an Employment Agreement?

Understand why you need to document everything! Especially when it comes to employment. A written employment agreement is vital when employing new employees.

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