Corporate trends / Performance record
Unfair Dismissal Decision on “Termination upon Expiry of Fixed Term (LIFE Project Endowment Assistant Professor)” (Unfair Dismissal 559)
- Date2026/07/21 04:09
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[Case Information]
This case is a decision in which the employer ultimately prevailed (application dismissed) on the issue of “termination upon expiry of fixed term (LIFE Project Endowment Assistant Professor).”
Adjudicating body: Jeju Regional Labor Relations Commission 2026Buhae65 ○ ○ ○ Unfair Dismissal Relief Application
2026-05-27 · Case result: Dismissed
Summary of key issues: The employees were hired as endowment assistant professors upon the establishment of the Future Convergence College under the LIFE Project. It was stipulated that endowment assistant professors would be dismissed if the project that served as the funding source for their labor costs was terminated, suspended, or reduced, and the appointment contracts contained provisions to the same effect.
1. Legal Implications
Ⅰ. Case Overview
In this case, a university established the Future Convergence College as part of the national policy “LIFE Project” and appointed endowment assistant professors on a fixed-term basis, paying their labor costs from the project budget. When the university terminated the appointment contracts on the ground that the project had ended, the employees filed for relief from unfair dismissal.
The Jeju Regional Labor Relations Commission dismissed the employees’ applications, resulting in a win for the employer. The core issues in dispute were whether unfair dismissal was established and whether there remained any remedial interest for the employees to continue the proceedings before the Labor Relations Commission.
Ⅱ. Summary of Issues
The issue in this case is whether, where (i) the fact that the funding source for labor costs would disappear upon termination of the LIFE Project was expressly stipulated in the employment and appointment contracts as a ground for dismissal/termination, and (ii) the employees were aware of this, the employer’s notice of expiry/termination of the appointment contracts due to the end of the project constitutes unfair dismissal, and whether there exists any remedial interest to continue the dispute before the Labor Relations Commission.
Ⅲ. Summary of the Labor Relations Commission’s Reasoning
The adjudicating panel in this case found that the employer established the Future Convergence College using the LIFE Project budget and hired endowment assistant professors; that the relevant rules and the appointment contracts expressly stipulated that endowment assistant professors would be dismissed if the project serving as the funding source for their labor costs was terminated, suspended, or reduced; that the employees were aware that their appointment contracts could be terminated upon the termination, suspension, or reduction of the LIFE Project; and that the LIFE Project in fact ended as of 31 May 2025, thereby giving rise to a ground for termination of the appointment contracts, which accordingly ended as of 28 February 2026.
In light of the above, the Commission held that the dismissal in this case was not a disciplinary dismissal or redundancy dismissal unilaterally imposed at the employer’s discretion, but merely the materialization of “termination upon expiry/dismissal due to project termination” as stipulated in the contracts and rules. It further found that, once the employment relationship had ended due to expiry of the appointment period, there was no basis to recognize any separate obligation to reappoint or any legitimate expectation of renewal. Accordingly, it was difficult to acknowledge any remedial interest in maintaining the unfair dismissal relief procedure, and the employees’ applications for relief from unfair dismissal were dismissed.
Ⅳ. Practical Points (From the Employee’s Perspective)
Employees should, when entering into fixed-term or project-based employment, carefully check whether the appointment contract and related rules contain a clause on “dismissal upon project termination/reduction,” and how the contract term and grounds for termination are specified. As the Supreme Court has held, only where there are circumstances such as repeated contract renewals, an established practice of reappointment, or rules on reappointment procedures and requirements, can an employee argue for a legitimate expectation of renewal or protection akin to that afforded to employment contracts with no fixed term in substance. In the absence of such circumstances, in a simple “termination upon expiry” type contract, it is important to bear in mind that it is difficult to secure remedial interest solely through an application for relief from unfair dismissal.
Ⅴ. Practical Points (From the Employer’s/Company’s Perspective)
From the employer’s standpoint, in cases of hiring based on national policy projects such as the LIFE Project or other time-limited funding, it is important to clearly stipulate in the employment contracts, work rules, and internal regulations that the contract will automatically terminate or that dismissal will occur upon termination or reduction of the funding project. Employers should also provide sufficient written and oral explanations regarding the contract term, funding structure, and renewal status so that employees fully understand them, and should maintain consistent HR practices to avoid unnecessary repeated renewals or reappointment practices that could give rise to a legitimate expectation of renewal.
Decisions such as this one clearly illustrate the legal nature of “fixed-term/project-linked contracts” and the criteria for determining remedial interest in unfair dismissal/redundancy disputes before the Labor Relations Commission. Accordingly, those who use similar contract structures, or work under them, should review their contract structures and risks in advance with experts such as Labor Law Firm Law&.
2. Matters Adjudicated
a. Case Overview and Procedural History
The employees were hired as endowment assistant professors upon the establishment of the Future Convergence College under the LIFE Project. It was stipulated that endowment assistant professors would be dismissed if the project that served as the funding source for their labor costs was terminated, suspended, or reduced, and the appointment contracts contained provisions to the same effect. It appears that the employees were aware that the endowment assistant professor appointment contracts would be terminated upon the termination, suspension, or reduction of the LIFE Project. The LIFE Project ended as of 31 May 2025, thereby giving rise to a ground for termination of the appointment contracts, and, following the employer’s notice of termination, the endowment assistant professor appointment contracts ended on 28 February 2026. On March ○, 2026, the employees filed with our Commission…
3. Summary of the Decision
a. Summary of the Labor Relations Commission’s Reasoning
The employees were hired as endowment assistant professors upon the establishment of the Future Convergence College under the LIFE Project. It was stipulated that endowment assistant professors would be dismissed if the project that served as the funding source for their labor costs was terminated, suspended, or reduced, and the appointment contracts contained provisions to the same effect. It appears that the employees were aware that the endowment assistant professor appointment contracts would be terminated upon the termination, suspension, or reduction of the LIFE Project. The LIFE Project ended as of 31 May 2025, thereby giving rise to a ground for termination of the appointment contracts, and, following the employer’s notice of termination, the endowment assistant professor appointment contracts ended on 28 February 2026. On March ○, 2026, the employees filed with our Commission… /
[See More Related Decisions]
- “Unfair Dismissal Decision on ‘Expression of Intention to Resign (Resignation Remark in Telephone Call)’”
- “Unfair Dismissal Decision on ‘Dismissal (Non-Appearance at Hearing)’” – Decision date: – Case number: Dismissed
- “Unfair Dismissal Decision on ‘Non-Formation of Hiring Commitment (Absence of Offer Letter)’” – Decision date: – Case number: Initial Decision Upheld
[Tags]
Unfair dismissal, termination upon expiry of fixed term (LIFE Project endowment assistant professor), refusal to renew fixed-term contract, restructuring, 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, “Unfair Dismissal Decision on ‘Defects in Disciplinary Procedures (Incident Involving Tenant’s Death)’,” in a new window.
※ The list of decisions related to termination upon expiry of fixed term (LIFE Project endowment assistant professor) can be viewed together in the “List of Decisions Related to Termination upon Expiry of Fixed Term (LIFE Project Endowment Assistant Professor).”
※ Korean version of this case: Korean article
This case is a decision in which the employer ultimately prevailed (application dismissed) on the issue of “termination upon expiry of fixed term (LIFE Project Endowment Assistant Professor).”
Adjudicating body: Jeju Regional Labor Relations Commission 2026Buhae65 ○ ○ ○ Unfair Dismissal Relief Application
2026-05-27 · Case result: Dismissed
Summary of key issues: The employees were hired as endowment assistant professors upon the establishment of the Future Convergence College under the LIFE Project. It was stipulated that endowment assistant professors would be dismissed if the project that served as the funding source for their labor costs was terminated, suspended, or reduced, and the appointment contracts contained provisions to the same effect.
1. Legal Implications
Ⅰ. Case Overview
In this case, a university established the Future Convergence College as part of the national policy “LIFE Project” and appointed endowment assistant professors on a fixed-term basis, paying their labor costs from the project budget. When the university terminated the appointment contracts on the ground that the project had ended, the employees filed for relief from unfair dismissal.
The Jeju Regional Labor Relations Commission dismissed the employees’ applications, resulting in a win for the employer. The core issues in dispute were whether unfair dismissal was established and whether there remained any remedial interest for the employees to continue the proceedings before the Labor Relations Commission.
Ⅱ. Summary of Issues
The issue in this case is whether, where (i) the fact that the funding source for labor costs would disappear upon termination of the LIFE Project was expressly stipulated in the employment and appointment contracts as a ground for dismissal/termination, and (ii) the employees were aware of this, the employer’s notice of expiry/termination of the appointment contracts due to the end of the project constitutes unfair dismissal, and whether there exists any remedial interest to continue the dispute before the Labor Relations Commission.
Ⅲ. Summary of the Labor Relations Commission’s Reasoning
The adjudicating panel in this case found that the employer established the Future Convergence College using the LIFE Project budget and hired endowment assistant professors; that the relevant rules and the appointment contracts expressly stipulated that endowment assistant professors would be dismissed if the project serving as the funding source for their labor costs was terminated, suspended, or reduced; that the employees were aware that their appointment contracts could be terminated upon the termination, suspension, or reduction of the LIFE Project; and that the LIFE Project in fact ended as of 31 May 2025, thereby giving rise to a ground for termination of the appointment contracts, which accordingly ended as of 28 February 2026.
In light of the above, the Commission held that the dismissal in this case was not a disciplinary dismissal or redundancy dismissal unilaterally imposed at the employer’s discretion, but merely the materialization of “termination upon expiry/dismissal due to project termination” as stipulated in the contracts and rules. It further found that, once the employment relationship had ended due to expiry of the appointment period, there was no basis to recognize any separate obligation to reappoint or any legitimate expectation of renewal. Accordingly, it was difficult to acknowledge any remedial interest in maintaining the unfair dismissal relief procedure, and the employees’ applications for relief from unfair dismissal were dismissed.
Ⅳ. Practical Points (From the Employee’s Perspective)
Employees should, when entering into fixed-term or project-based employment, carefully check whether the appointment contract and related rules contain a clause on “dismissal upon project termination/reduction,” and how the contract term and grounds for termination are specified. As the Supreme Court has held, only where there are circumstances such as repeated contract renewals, an established practice of reappointment, or rules on reappointment procedures and requirements, can an employee argue for a legitimate expectation of renewal or protection akin to that afforded to employment contracts with no fixed term in substance. In the absence of such circumstances, in a simple “termination upon expiry” type contract, it is important to bear in mind that it is difficult to secure remedial interest solely through an application for relief from unfair dismissal.
Ⅴ. Practical Points (From the Employer’s/Company’s Perspective)
From the employer’s standpoint, in cases of hiring based on national policy projects such as the LIFE Project or other time-limited funding, it is important to clearly stipulate in the employment contracts, work rules, and internal regulations that the contract will automatically terminate or that dismissal will occur upon termination or reduction of the funding project. Employers should also provide sufficient written and oral explanations regarding the contract term, funding structure, and renewal status so that employees fully understand them, and should maintain consistent HR practices to avoid unnecessary repeated renewals or reappointment practices that could give rise to a legitimate expectation of renewal.
Decisions such as this one clearly illustrate the legal nature of “fixed-term/project-linked contracts” and the criteria for determining remedial interest in unfair dismissal/redundancy disputes before the Labor Relations Commission. Accordingly, those who use similar contract structures, or work under them, should review their contract structures and risks in advance with experts such as Labor Law Firm Law&.
2. Matters Adjudicated
a. Case Overview and Procedural History
The employees were hired as endowment assistant professors upon the establishment of the Future Convergence College under the LIFE Project. It was stipulated that endowment assistant professors would be dismissed if the project that served as the funding source for their labor costs was terminated, suspended, or reduced, and the appointment contracts contained provisions to the same effect. It appears that the employees were aware that the endowment assistant professor appointment contracts would be terminated upon the termination, suspension, or reduction of the LIFE Project. The LIFE Project ended as of 31 May 2025, thereby giving rise to a ground for termination of the appointment contracts, and, following the employer’s notice of termination, the endowment assistant professor appointment contracts ended on 28 February 2026. On March ○, 2026, the employees filed with our Commission…
3. Summary of the Decision
a. Summary of the Labor Relations Commission’s Reasoning
The employees were hired as endowment assistant professors upon the establishment of the Future Convergence College under the LIFE Project. It was stipulated that endowment assistant professors would be dismissed if the project that served as the funding source for their labor costs was terminated, suspended, or reduced, and the appointment contracts contained provisions to the same effect. It appears that the employees were aware that the endowment assistant professor appointment contracts would be terminated upon the termination, suspension, or reduction of the LIFE Project. The LIFE Project ended as of 31 May 2025, thereby giving rise to a ground for termination of the appointment contracts, and, following the employer’s notice of termination, the endowment assistant professor appointment contracts ended on 28 February 2026. On March ○, 2026, the employees filed with our Commission… /
[See More Related Decisions]
- “Unfair Dismissal Decision on ‘Expression of Intention to Resign (Resignation Remark in Telephone Call)’”
- “Unfair Dismissal Decision on ‘Dismissal (Non-Appearance at Hearing)’” – Decision date: – Case number: Dismissed
- “Unfair Dismissal Decision on ‘Non-Formation of Hiring Commitment (Absence of Offer Letter)’” – Decision date: – Case number: Initial Decision Upheld
[Tags]
Unfair dismissal, termination upon expiry of fixed term (LIFE Project endowment assistant professor), refusal to renew fixed-term contract, restructuring, 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, “Unfair Dismissal Decision on ‘Defects in Disciplinary Procedures (Incident Involving Tenant’s Death)’,” in a new window.
※ The list of decisions related to termination upon expiry of fixed term (LIFE Project endowment assistant professor) can be viewed together in the “List of Decisions Related to Termination upon Expiry of Fixed Term (LIFE Project Endowment Assistant Professor).”
※ Korean version of this case: Korean article
