Corporate trends / Performance record
‘Expectation of Renewal (Dispatch → Fixed-Term Conversion)’ Unfair Dismissal Decision (Unfair Dismissal 817)
- Date2026/10/21 00:00
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[Case Information]
This case is a decision in which the employee prevailed in full on the issue of “expectation of renewal (dispatch → conversion to fixed-term).”
Decision Committee: Jeonbuk Regional Labor Relations Commission 2026Buhae298 ○ ○ ○ Application for Remedy for Unfair Dismissal
2026-09-07 · Result: Employee’s claim fully upheld
Summary of key issues:
A. Whether the employee was converted to an employee with an indefinite-term employment contract
Based solely on the submitted materials and statements, it is difficult to ascertain the factual circumstances regarding the alleged illegal dispatch, and even if illegal dispatch were to be recognized, it cannot be concluded that an employment contract with no fixed term was immediately formed between the parties.
1. Legal Implications
The key issue in this case is how the Labor Relations Commission will view the employee’s expectation of renewal of a fixed-term employment contract and the possibility of conversion to an indefinite-term contract after a dispatched worker assigned to ordinary and continuous work is converted to a fixed-term employee.
This article focuses on Jeonbuk Regional Labor Relations Commission Case No. 2026Buhae298 and, from the practical perspective of Labor Law Firm Law&, organizes how the Commission determines the existence of an expectation of renewal and conversion to an employee with no fixed term in unfair dismissal disputes.
Ⅰ. Case Overview
The employer appears to have directly hired dispatched workers who had been performing ordinary and continuous duties, employing them as fixed-term workers and then conducting periodic evaluations, renewing their contracts or converting them to regular (indefinite-term) positions.
Relying on this practice and the nature of his own work, the employee argued that he had already been converted to an employee with no fixed term or, at the very least, that he had an expectation of renewal of his employment contract. He therefore claimed that the employer’s termination of his contract on the ground of contract expiration constituted an unfair dismissal and filed an application for remedy with the Labor Relations Commission.
Ⅱ. Issues
The first issue in this case is whether the fact that the employee had previously worked in a dispatched status can, by itself, lead directly to the conclusion that he was converted to an employee with no fixed term.
The second issue is whether, in circumstances where there has been a conversion from dispatch to fixed-term employment, repeated contract renewals, and a practice of converting employees to regular positions, the employee has an expectation of renewal of the employment contract (and further, an expectation of conversion to an indefinite-term contract), and, if so, whether the employer’s refusal to renew the contract constitutes an unfair dismissal.
Ⅲ. Summary of the Labor Relations Commission’s Findings
The panel in this case found that, based on the submitted materials and statements alone, it was difficult to determine whether there had been illegal dispatch from the dispatch stage, and whether, as a result, an employment contract with no fixed term had been formed immediately. It therefore held that the claim that the employee had been an indefinite-term employee “from the outset” could not be accepted.
However, the panel also found that there was a substantial practice whereby the employer hired dispatched workers engaged in ordinary and continuous work as fixed-term employees, conducted regular evaluations, repeatedly renewed their contracts, and converted them to regular positions upon satisfaction of certain conditions. It further found that the employment relationship had been formed and maintained on the premise of this practice. Taking these factors together, the panel concluded that the employee had an “expectation of renewal,” namely, an expectation that his contract would be renewed if certain conditions were met.
Accordingly, the decision can be understood as reaffirming the case law on fixed-term employment and expectation of renewal: where an employee has an expectation of renewal, the employer must present objective and reasonable grounds to refuse renewal solely on the basis of contract expiration, and absent proof of such grounds and proper procedures, refusal to renew is ineffective, just like an unfair dismissal without just cause under the Labor Standards Act.
Ⅳ. Practical Points (From the Employee’s Perspective)
Employees in similar situations should first bear in mind that the mere fact of having worked for a long period as a dispatched worker does not, by itself, lead directly to recognition as an indefinite-term employee.
However, if, after conversion from dispatch to fixed-term status, the employee continued to be assigned to ordinary and continuous work, and the company has a practice of conducting regular evaluations and repeatedly renewing contracts or converting employees to regular positions, there is a strong possibility that an expectation of renewal will be recognized even in the absence of an explicit provision in the employment contract. It is therefore important to collect and submit to the Labor Relations Commission concrete materials such as evaluation criteria, renewal practices, and personnel records.
Ⅴ. Practical Points (From the Employer’s Perspective)
From the employer’s perspective, when directly hiring dispatched workers and converting them to fixed-term employees, it is advisable to clearly set out the standards and procedures for evaluation, renewal, and conversion to regular positions in the rules of employment, internal regulations, and employment contracts, and to operate them consistently in practice, in order to reduce disputes related to expectations of renewal.
In particular, if there has been a practice of regularly renewing contracts and converting fixed-term employees assigned to ordinary and continuous work to regular positions, the employer should, when intending to refuse renewal at the time of contract expiration, prepare in advance sufficient evaluation materials and records capable of proving the objectivity, reasonableness, and fairness of the grounds for refusal.
In this type of case, both employees and employers should be practically mindful that the Labor Relations Commission and the courts focus not merely on the literal wording of whether a term is specified in the contract, but on factors such as the ordinary and continuous nature of the actual work, past practices of renewal and conversion to regular positions, and the existence and operation of evaluation systems.
2. Matters Decided
A. Case Overview and Procedural History
A. Whether the employee was converted to an employee with no fixed term
Based solely on the submitted materials and statements, it is difficult to ascertain the factual circumstances regarding the alleged illegal dispatch, and even if illegal dispatch were to be recognized, it cannot be concluded that an employment contract with no fixed term was immediately formed between the parties.
B. Whether an expectation of renewal of the employment contract exists
Since there was a substantial practice whereby the employer hired dispatched workers engaged in ordinary and continuous work as fixed-term employees and then conducted regular evaluations to renew their contract terms (convert them to regular positions), it can be viewed that a trust was formed that the employment contract could be renewed if certain conditions were met...
3. Summary of the Decision
A. Summary of the Labor Relations Commission’s Findings
A. Whether the employee was converted to an employee with no fixed term
Based solely on the submitted materials and statements, it is difficult to ascertain the factual circumstances regarding the alleged illegal dispatch, and even if illegal dispatch were to be recognized, it cannot be concluded that an employment contract with no fixed term was immediately formed between the parties.
B. Whether an expectation of renewal of the employment contract exists
Since there was a substantial practice whereby the employer hired dispatched workers engaged in ordinary and continuous work as fixed-term employees and then conducted regular evaluations to renew their contract terms (convert them to regular positions), it can be viewed that a trust was formed that the employment contract could be renewed if certain conditions were met... /
[More Related Decisions]
- ‘Non-Formation of Hiring Decision (Absence of Offer Letter)’ Unfair Dismissal Decision – Date of Decision: – Case Result: Initial decision upheld
- ‘Failure to Meet Requirements for Redundancy Dismissal (Workout Company)’ Unfair Dismissal Decision
- ‘Expression of Intent to Resign (Resignation Remarks in Telephone Call)’ Unfair Dismissal Decision
[Tags]
Unfair dismissal, expectation of renewal (dispatch → fixed-term conversion), 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&.
※ The previous article, “‘Extinction of Interest in Remedy (Three-Month Probationary Facility Manager)’ Unfair Dismissal Decision,” can be viewed in a new window.
※ The list of decisions related to expectation of renewal (dispatch → fixed-term conversion) can be viewed together in the “Expectation of Renewal (Dispatch → Fixed-Term Conversion) Related Decisions” list.
※ Korean version of this case: Korean article
