I have been working in a factory of an automobile manufacturer for a total of six years, having renewed my contract five times for one-year periods. However, I feel uneasy about having to renew my contract every year because I don’t know if my contract will be renewed or not. Is it possible to change my contract to non-fixed-term contract?

2022/5/17

When a worker renews a fixed-term labor contract multiple times and the term of the contract exceeds five years in total, the employer cannot refuse the worker’s request that the contract become a non-fixed term labor contract from the next contract after the current contract ends. In other words, from the day after the current fixed-term labor contract ends, the contract will become non-fixed term labor contract regardless of what the employer wants (Article 18, Labor Contract Act. Conversion to non fixed-term labor contract Rules).
However, there are employers who try to avoid the application of this rule by stopping employment before the contract exceeds five years. In such cases, the validity of the refusal of employment becomes an issue (see Q1 and Q2). Please consult with the Labour Lawyers Association of Japan (LLAJ).