This type of employment arrangement specifies a defined period for the working relationship between an employer and employee. This period can range from a few weeks to several years, depending on the nature of the work, project requirements, or other specific needs. For example, a researcher might be hired for the duration of a grant-funded project, or a retail worker might be employed for a fixed period to cover seasonal demand.
Such arrangements offer several advantages. Businesses can scale their workforce strategically, aligning personnel costs with project timelines or fluctuating workloads. These contracts also offer opportunities for individuals seeking specific experience or a flexible work schedule. Historically, these arrangements have played a significant role in various sectors, providing a framework for temporary staffing, project-based work, and specialized skill acquisition.