French employment law treats the open-ended contract, the contrat à durée indéterminée or CDI, as the normal form of employment. The fixed-term contract, the contrat à durée déterminée or CDD, is the exception and is available only where the law allows it.
A CDD needs a permitted reason
An employer cannot simply choose a fixed term because it is convenient. The contract must state a valid ground, such as replacing an absent employee, a genuine temporary increase in activity, or seasonal work. It is subject to maximum durations and limits on renewal, and it cannot be used to fill a role that corresponds to ordinary, permanent activity of the business.
What happens if the reason does not hold
A CDD used without a valid ground, or continued past its permitted limits, can be reclassified by a court as a CDI from the beginning. That converts a contract the employer believed would simply expire into an open-ended one that can only be ended through a formal dismissal procedure, usually with compensation.
- CDD employees generally receive an end-of-contract premium on expiry, unless the contract converts to a CDI
- Both types carry a probationary period, with maximum lengths set by law and by collective agreement
- Ending a CDI requires a defined procedure and real justification; expiry of a CDD does not
Why it matters when hiring internationally
Companies used to at-will employment or to freely available fixed terms often assume a CDD is the low-commitment way to start. In France it is the more legally constrained option, and the reclassification risk sits with the employer. For an ordinary permanent role, the CDI is both the default and usually the safer choice.