GCC Laws
Jordan
Contracts of Employment

Contracts of Employment

Q1: Is a written contract mandatory in Jordan?
Yes, employment contracts must be written in Arabic and in at least two copies. Even without a written contract, workers may prove employment using legal evidence. A written contract clarifies rights and obligations for both parties. It also provides legal protection in case of disputes.

Q2: What’s the difference between fixed-term and indefinite contracts?
Fixed-term contracts end upon completion of a specific task or time period. If the work continues beyond the term, the contract automatically becomes indefinite. Indefinite contracts require notice before termination. Both types are governed by Jordan’s Labour Code.

Q3: Can contracts continue after company ownership changes?
Yes, employment contracts remain valid despite a change in ownership or management. For six months, both the old and new employers are jointly responsible for worker obligations. After that, only the new employer holds responsibility. This ensures job continuity for workers.

Q4: What if I’m hired through a contractor or subcontractor?
Workers hired through subcontractors can claim unpaid wages from the main contractor or project owner. However, claims are limited to the amounts still owed to the subcontractor. This partial liability helps protect workers in complex employment chains. Legal action must be timely and substantiated.

Q5: What is the probationary period in Jordan?
Employers may place new hires on probation for a maximum of three months. During this period, either party may terminate the contract without notice or compensation. Workers on probation must still be paid at least the minimum wage. Continued employment after probation makes the contract indefinite.

Q6: What happens if I continue after probation?
If a worker continues after the probation period, the contract is considered indefinite. The probation period also counts toward the worker’s total service time. The worker then enjoys all rights provided by the Labour Law. Employers cannot extend or repeat the probation period.

Q7: Can my employer suspend my contract?
Yes, an employer may suspend an indefinite contract due to economic or technical reasons. These may include downsizing or production changes. The Ministry of Labour must be notified of such suspensions. Affected workers may resign without notice and retain their legal rights.

Q8: What are valid grounds for contract termination?
Contracts can end if both parties agree, if the term ends, or if the worker becomes medically unfit. A worker’s death or inability to continue also ends the contract. An employer’s death does not end a contract unless specifically stated. All terminations must comply with the Labour Law.

Q9: What is ordinary termination of a contract?
Ordinary termination requires a one-month written notice for indefinite contracts. If the worker resigns early, they must compensate the employer. Employers must pay wages during the notice period. This process ensures fair exit terms for both parties.

Q10: When can a contract be terminated without notice?
Employers may dismiss a worker without notice for reasons like fraud, serious misconduct, or repeated absences. The law lists specific justifications, including intoxication or physical assault. Proper procedures must be followed before termination. Workers can dispute such dismissals in court.

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