Directive on Term Employment

This directive provides direction to heads of human resources and managers to ensure the consistent and fair administration of term employment in the core public administration.
Date modified: 2020-04-01

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1. Effective date

  • 1.1This directive takes effect on April 1 2020.
  • 1.2This directive replaces the Treasury Board’s Term Employment Policy dated November 15, 2011.

2. Authorities

  • 2.1This directive is issued pursuant to the same authorities indicated in section 2 of the Policy on People Management

3. Objectives and expected results

  • 3.1The objectives indicated in section 3 of the Policy on People Management apply to this directive.
  • 3.2In addition to the expected results indicated in section 3 of the Policy on People Management, the expected results of this directive are to ensure that term employment is used to fill only temporary requirements.

4. Requirements

  • 4.1The head of human resources is responsible for the following:
    • 4.1.1Ensuring that term employment is used in compliance with organizational human resources and business plans to support the achievement of business objectives;
    • 4.1.2Informing the appropriate bargaining agent(s) and the Office of the Chief Human Resources Officer in writing of all programs, projects or activities that receive sunset funding for which term employees have been hired; and
    • 4.1.3Informing the appropriate bargaining agent(s) and the Office of the Chief Human Resources Officer in writing of the deputy head’s decision about whether to exclude periods of specified term employment from the calculation of the cumulative working period for the purpose of converting an employee to indeterminate status.
  • 4.2Delegated managers are responsible for the following:
    • 4.2.1Converting term employees to indeterminate status after a cumulative working period of three years in the same organization without a break in service longer than 60 consecutive calendar days, in accordance with the appendix of this directive;
    • 4.2.2When applicable, informing individuals in the letter of offer that a period of term employment in a program that receives sunset funding will not count in the calculation of the cumulative working period of three years;
    • 4.2.3When applicable, informing term employees in writing that, after reviewing the department’s financial situation over the two‑ to three‑year planning horizon, the deputy head has determined that including further cumulative work periods towards the conversion of term employees to indeterminate status would result in workforce adjustment;
    • 4.2.4Informing term employees in writing at least annually whether the conditions described in subsections 4.2.2 or 4.2.3 continue to apply and further cumulative work periods will not count towards the conversion from term to indeterminate status;
    • 4.2.5Approving in writing an employee’s written request not to convert their tenure from term to indeterminate status when the employee has met the requirements of subsection 4.2.1;
    • 4.2.6Providing term employees with one month’s written notice of the renewal or non‑renewal of their term employment unless an exception has been approved in accordance with section C1.6 of the Policy on People Management;
    • 4.2.7Providing term employees with one month’s written notice if the period of employment will end before the originally specified end‑date;
    • 4.2.8Ensuring that the employee and the appropriate bargaining agent(s) are informed in writing when a term employee is assigned, seconded, deployed or appointed to a position in the organization that is outside a program that receives sunset funding; and
    • 4.2.9Ensuring that the period(s) of employment outside a program that receives sunset funding will be included in the calculation of the cumulative working period of three years.

5. Roles of other government organizations

  • 5.1Not applicable.

6. Application

  • 6.1This directive applies to the organizations listed in section 6 of the Policy on People Management.

7. References

8. Enquiries


Appendix: Standard on Term Employment

A.1 Effective date

  • A.1.1This standard takes effect on April 1, 2020.
  • A.1.2This standard replaces the Treasury Board Term Employment Policy (2003, modified on November 15, 2011).

A.2 Standards

  • A.2.1This standard provides details on the requirements set out in subsections 4.1 and 4.2 of the Directive on Term Employment.
  • A.2.2For the purposes of complying with subsection 4.2.1 of the Directive on Term Employment, the criteria and exceptions to be applied when converting an employee’s status from term to indeterminate are as follows:

    Department or agency

    • A.2.2.1The cumulative working period must be in the same organization.
    • A.2.2.2An employee is considered to be working in the same organization in situations where powers, duties or functions were transferred between organizations in the core public administration by an act of Parliament or an order‑in‑council.
    • A.2.2.3A period worked by the employee in a host organization while on secondment counts toward employment with the employee’s home organization.
    • A.2.2.4A period of term employment that occurs immediately before or immediately after a period of term employment in a program that receives sunset funding counts in the calculation of the cumulative working period, as long as there is no break in service longer than 60 consecutive calendar days.

    Leave without pay

    • A.2.2.5A period of leave without pay that is longer than 60 consecutive calendar days does not constitute a break in service, and does not count in the calculation of the cumulative working period for conversion from term to indeterminate status, unless:
      • A.2.2.5.1The employee was on such leave on or after June 20, 2008; and
      • A.2.2.5.2Not including the period of leave without pay would result in discrimination on a prohibited ground described in the Canadian Human Rights Act.

    Part‑time employment

    • A.2.2.6A period of part‑time employment for term employees hired under the Public Service Employment Act corresponds to an equivalent period of full‑time employment and is not pro‑rated.
    • A.2.2.7If a part‑time term employee’s status is converted to indeterminate status, it is converted to part‑time indeterminate status.

    Periods of employment excluded from calculation of the cumulative working period of three years

    • A.2.2.8The following periods of employment do not count in the calculation of the cumulative working period of three years:
      • A.2.2.8.1Periods of employment as a part‑time worker who works less than one third of the normal workweek;
      • A.2.2.8.2Periods of casual employment as defined in the Public Service Employment Act;
      • A.2.2.8.3Periods of employment under one of the student employment programs established by the Treasury Board;
      • A.2.2.8.4Periods of term employment in a program that receives sunset funding, although these periods do not constitute a break in service; and
      • A.2.2.8.5Periods of term employment after which the department has notified employees in writing that conversion from term status to indeterminate status would result in a workforce adjustment situation.

© His Majesty the King in Right of Canada, represented by the President of the Treasury Board, 2020,
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