The abuse of fixed term contracts in the Public Sector

There seems to be a lot of following in relation to the ongoing debate in Malta vis-a-vis the public sector contracts of definite duration, some of which have been annually renewed for over 20 years. Unfortunately, in Malta the Government saw it fit to control the abuse of successive fixed term contracts in the private sector by means of the 2002 regulations (that determine that unless an employer has objective reasons for doing so, that employer cannot give successive fixed term contracts for more than 4 years at a stretch) but no legislation has been promulgated to curb the abuse in relation to those employees who are employed by none other than the Government itself.

Following the extensive debate in the local media regarding the application of the Directive regulating fixed term contracts to public sector or civil service employees, on the 7th of September 2006, the European Court of Justice (ECJ) gave a definite reply to the question which is on every public sector employee?s mind, i.e.?do the provisions of the Directive on fixed term work apply to the public sector? 

The case arose from a preliminary reference of the Court in Genova to the ECJ, following the Dismissal of Mr Andrea Vassallo from the public hospital of St Martin, because his fixed term contract had expired. Mr Vassallo claimed that the Italian Government failed to provide an adequate system to control abuse in relation to the continuous renewal of fixed term contracts, as it should have done in the light of the provisions of the Directive regulating fixed term contracts. In fact, Mr Vassallo?s contract had not been renewed for the second time after he was initially employed from July 2001 till January 2002 and then from January till July 2002.

The ECJ confirmed that if a country which is a member of the EU, fails to include in all sectors (including the public sector) an effective measure to protect and, where relevant, punish the misuse of successive fixed-term contracts, such a lack of implementation is incompatible with the Directive and could give rise to compensation for the affected employee.

Need we say more??