There are two types of employment contracts which are dependent on the terms and conditions of employment. The two types of employment contracts include fixed term contracts and contracts for an unspecified period. The one factor that is taken into consideration when identifying which type of employment contract is applicable would be whether the employee is employed permanently, temporarily, casually for a specified job or as a freelancer. A fixed-term employment contract is an agreement in which a company hires an employee for a specific period of time. It is usually given out for jobs which are temporary but like any other contract, fixed-term employment contracts have a provision in which the employers can terminate the contract on certain grounds before its expiry or by either party by giving each other notice of termination as specified by the contract. However, despite the time limitation, the contract can be renewed on agreement by both parties.