Corporate trends / Performance record
Unfair Dismissal Case on “Expectation of Renewal (Extension of Childcare Leave)” (Unfair Dismissal 679)
- Date2026/09/02 00:00
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[Case Information]
This case is a decision in which the employer prevailed (application dismissed) on the issue of “expectation of renewal (extension of childcare leave).”
Decision body: Gyeonggi Regional Labor Relations Commission 2026Buhae1603 ○ ○ ○ Application for Remedy for Unfair Dismissal
2026-06-29 · Case result: Dismissed
Summary of key issue: The employee argued that, because the employer approved childcare leave extending beyond the term of the fixed-term employment contract, the employer thereby consented to an extension of the employment contract and an expectation of renewal should be recognized. However, (i) the employment contract had the box checked for “fixed term” in the section on contract period, and it expressly stated that the contract would expire absent mutual consent to extend; (ii) the employer’s specifying and confirming only the period of childcare leave appears to distinguish approval of childcare leave from expiration of the employment contract, rather than to treat it as a comprehensive approval of an extension of the employment contract itself; …
1. Legal Implications
Ⅰ. Case Overview
This case concerns a fixed-term employee who was on childcare leave when the employer approved a period of childcare leave that extended beyond the contract expiration date, and thereafter terminated the employment relationship on the ground of contract expiration. The issue before the Labor Relations Commission was whether this constituted unfair dismissal. The employee filed an application for remedy for unfair dismissal with the Labor Relations Commission, and the Gyeonggi Regional Labor Relations Commission ruled in favor of the employer and dismissed the application. In doing so, the Commission closely examined the legal doctrine of “expectation of renewal,” making this a case of significant practical relevance for the work of Labor Law Firm Law&.
Ⅱ. Summary of Issues
The issue in this case is:
“In a situation where a fixed-term employee’s childcare leave is approved so that the leave period extends beyond the contract expiration date, does that approval alone constitute consent to renew the employment contract or give rise to an expectation of renewal?”
Ⅲ. Summary of the Labor Relations Commission’s Reasoning
The decision panel in this case noted that the employment contract had the box checked for “fixed term” in the section on contract period, and that it clearly stated the contract would expire absent separate mutual consent to extend it; that the employer’s approval specifying only the period of childcare leave appears to treat approval of childcare leave and expiration of the employment contract as separate matters, and thus cannot readily be regarded as a comprehensive approval of an extension of the employment contract itself; and that, under existing case law and legal principles, an expectation of renewal for fixed-term employment contracts is recognized only exceptionally, based on a comprehensive assessment of various circumstances such as repeated renewals of the contract, criteria and practices for renewal, and continuity of the business, and that in this case such special circumstances had not been sufficiently substantiated.
Accordingly, the Commission held that it was difficult to view the approval of the extended childcare leave as giving rise to renewal of the employment contract or an expectation of renewal, and that the notice of termination upon expiration of the contract period did not constitute unfair dismissal.
Ⅳ. Practical Points (From the Employee’s Perspective)
From the employee’s perspective, it is important to clearly understand that approval of childcare leave or an extension of that leave period does not in itself mean renewal of a fixed-term employment contract or conversion to regular (indefinite-term) status. For a fixed-term employee to assert an expectation of renewal, there must be an objective accumulation of specific circumstances such as repeated renewals of the contract, the employer’s established practices or criteria for renewal, and guidance or promises premised on continued employment. In anticipation of potential future disputes, employees should, as far as possible, retain evidence in the form of written documents or emails regarding guidance on renewal, statements by HR personnel, and relevant practices.
Ⅴ. Practical Points (From the Employer/Company Perspective)
From the employer’s perspective, it is advisable to clearly set out in fixed-term employment contracts the contract period, whether renewal is possible, and the procedures for renewal, and to expressly state in documents approving various types of leave such as childcare leave or sick leave that “leave is approved separately from the employment contract period.” In addition, where, in actual personnel management, contracts are repeatedly renewed or employees are in practice assigned to permanent and continuous duties, employers should, together with experts such as Labor Law Firm Law&, re-examine the structure to assess whether there is a risk that an expectation of renewal or de facto conversion to an indefinite-term contract may be found.
2. Matters Determined
A. Case Overview and Procedural History
The employee argued that, because the employer approved childcare leave extending beyond the term of the employment contract, the employer thereby consented to an extension of the employment contract and an expectation of renewal should be recognized. However, (i) in the employment contract, the box for “fixed term” was checked in the section on contract period, and it was expressly stated that the contract would expire absent mutual consent to extend it; (ii) the fact that the employer specified and confirmed only the period of childcare leave appears to distinguish approval of childcare leave from expiration of the employment contract, and it is difficult to regard this as a comprehensive approval of an extension of the employment contract; (iii) when the employer notified the employee of the termination of the employment contract upon expiration of the contract period, the employee…
3. Summary of the Decision
A. Summary of the Labor Relations Commission’s Reasoning
The employee argued that, because the employer approved childcare leave extending beyond the term of the employment contract, the employer thereby consented to an extension of the employment contract and an expectation of renewal should be recognized. However, (i) in the employment contract, the box for “fixed term” was checked in the section on contract period, and it was expressly stated that the contract would expire absent mutual consent to extend it; (ii) the fact that the employer specified and confirmed only the period of childcare leave appears to distinguish approval of childcare leave from expiration of the employment contract, and it is difficult to regard this as a comprehensive approval of an extension of the employment contract; (iii) when the employer notified the employee of the termination of the employment contract upon expiration of the contract period, the employee… /
[See More Related Decisions]
- “‘Dismissal of Application (Non-Appearance at Hearing)’ Unfair Dismissal Decision” – Decision date: - Case result: Dismissal of application
- “‘No Formation of Hiring Commitment (Absence of Offer Letter)’ Unfair Dismissal Decision” – Decision date: - Case result: First-instance decision upheld
- “‘Failure to Meet Requirements for Redundancy Dismissal (Workout Company)’ Unfair Dismissal Decision”
[Tags]
Unfair dismissal, expectation of renewal (extension of childcare leave), refusal to renew fixed-term contract, Labor Law Firm Law&, large labor law firm, Samseong-dong labor law firm, Samseong Station labor law firm, Gangnam labor law firm
※ This article is part of the “Unfair Dismissal Decisions” series by Labor Law Firm Law&.
※ You can view the previous article, “‘Limitation on Application of the Law (Fewer Than Five Regular Employees)’ Unfair Dismissal Decision,” in a new window.
※ A list of decisions related to expectation of renewal (extension of childcare leave) can be found under “List of Decisions on Expectation of Renewal (Extension of Childcare Leave).”
※ Korean version of this case: Korean article
