Fixed term contracts are a common type of employment contract in New Zealand. These contracts have a specific start and end date, which means that they expire automatically once the end date is reached. However, there are instances where the contract may need to be extended beyond the original end date. In this article, we will explore how many times a fixed-term contract can be extended in New Zealand.

The law in New Zealand states that fixed-term contracts can only be extended if there is a genuine reason to do so. The Employment Relations Act 2000 sets out the rules for extending fixed-term contracts. According to the law, a fixed-term contract can be extended in the following circumstances:

1. Genuine Reason: The employer must have a genuine reason for extending the contract. This means that the employer must show that there is a legitimate business reason for extending the contract. The reason should be related to the work that the employee is doing.

2. Written Agreement: The extension must be agreed upon in writing by both the employer and the employee. The agreement should state the new end date, and any other terms and conditions that may be relevant.

3. Limitations: Fixed-term contracts can only be extended for a maximum of three years. This means that if the original contract was for one year, it can be extended twice, for a total of three years. If the original contract was for two years, it can only be extended once, for a total of three years.

4. No automatic rollover: Fixed-term contracts cannot be automatically rolled over. This means that the employer must enter into a new agreement with the employee if they wish to extend the contract beyond the original end date.

In conclusion, employers in New Zealand can extend fixed-term contracts if there is a genuine reason to do so. The extension must be agreed upon in writing, and the contract can only be extended for a maximum of three years. It is important for employers to be aware of these rules to ensure that they are complying with the law.