Fixed-term contracts: maximum duration and renewal in Luxembourg
Fixed-term contracts (CDD) are strictly governed in Luxembourg: the law sets a maximum total duration, limits the number of renewals, and provides for exceptions depending on the nature of the contract. Failure to comply with these rules automatically leads to reclassification as a permanent contract (CDI).
Maximum duration — general rule
The total duration of a fixed-term contract, including renewals, may not exceed 24 months for the same employee (Art. L. 122-4, §1).
Exceptions to the 24-month rule
The law provides three situations in which the general rule may be departed from:
Seasonal contracts — 10 months maximum
Seasonal contracts may not be concluded for a total duration exceeding 10 months within any given period of twelve consecutive months, including renewals (Art. L. 122-4, §2).
Specific cases — 60 months maximum
Certain contracts falling under Art. L. 122-1, §3 points 1, 3 and 4 may reach a total maximum duration of 60 months, including renewals (Art. L. 122-4, §4). These include contracts concluded under specific employment measures.
Ministerial authorisation
The Minister of Labour may exceptionally authorise the extension of the 24-month ceiling for employees performing activities requiring highly specialised knowledge and proven experience (Art. L. 122-4, §3). This derogation remains exceptional and is subject to prior ministerial approval.
Renewal rules
A fixed-term contract may be renewed at most twice for a definite term (Art. L. 122-5, §1).
For a renewal to be valid, it must comply with a strict formal requirement: the principle or conditions of renewal must be set out in a clause of the original contract or in an amendment concluded before the expiry of the term (Art. L. 122-5, §1).
Exceptions to the two-renewal limit
Certain categories of employees may benefit from more than two renewals without reclassification as a permanent contract, even if the total duration exceeds 24 months:
- intermittent workers in the performing arts (Art. L. 122-5, §4);
- certain staff in education, municipal services, sports federations or religious education instructors (Art. L. 122-5, §3);
- contracts concluded under Art. L. 122-1, §3 point 5, within a limit of 5 years (Art. L. 122-5, §3).
Special case: seasonal contracts and the roll-over clause
A seasonal contract may include a roll-over clause for the following season (Art. L. 122-5, §2).
However, if such a clause exists and the contractual relationship is repeated for more than two seasons between the same employer and the same employee, the entire employment relationship is transformed into a contract of overall indefinite duration (Art. L. 122-5, §2).
Summary of maximum durations
| Type of CDD | Maximum total duration | Legal basis |
|---|---|---|
| General rule | 24 months (including renewals) | Art. L. 122-4, §1 |
| Seasonal contract | 10 months per 12 consecutive months | Art. L. 122-4, §2 |
| Specific cases (L. 122-1 §3 points 1, 3, 4) | 60 months | Art. L. 122-4, §4 |
| Ministerial derogation (highly specialised skills) | Beyond 24 months subject to authorisation | Art. L. 122-4, §3 |
| Student / performing arts / education CDDs | Up to 60 months | Art. L. 122-5, §3 and §4 |
A question about your fixed-term contract duration, a renewal to manage, or a reclassification risk in Luxembourg?
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