Contract Transition FAQ | Sourceworx
People & Culture
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Contract Transition 2026

Your Questions, Answered

We know that change can feel uncertain, and it is completely natural to have questions. This page is here to walk you through the most common concerns about moving from fixed-term to permanent employment.

Before you read on...

This transition is a positive step forward for Sourceworx and for you. Our goal is to strengthen workforce stability, support long-term growth and make sure every team member feels informed and valued throughout the process. If you cannot find the answer you are looking for here, please do not hesitate to reach out to the HR team directly. We are always happy to talk things through.

The Basics

Why is Sourceworx moving from fixed-term to permanent contracts?

This decision is part of a broader business strategy focused on long-term workforce stability and retention. Permanent contracts give you more security, and they give the company a stronger foundation for growth. It is a commitment from Sourceworx to invest in its people for the long run.

Does this apply to everyone currently on a fixed-term contract?

The intention is to transition the majority of staff into permanent roles. However, a small number of employees may not be eligible for conversion due to legislative restrictions. If this applies to you, the HR team will engage with you directly and confidentially to provide clarity and discuss next steps. Please do not worry ahead of your session; the team will walk you through your individual circumstances.

When will this transition take effect?

The HR department will schedule one-on-one meetings with every staff member to go through the details, timelines and next steps. You will receive a specific date relevant to your role during your consultation. Nothing will change without you being fully informed first.

Will I need to sign a new contract?

Yes. Transitioning to permanent employment means a new contract of employment will be issued. The HR team will take you through the contract clause by clause during your session, so you will have every opportunity to ask questions and understand the terms before signing.

Your Terms and Conditions

Will my salary or benefits change as a result of this transition?

The aim is to ensure that this transition is fair and that no employee is left worse off. Your remuneration will be discussed during your one-on-one session. It is important to note that under the permanent contract, salary increases remain discretionary and are based on your individual performance as well as the company's overall financial position. The HR team will talk you through exactly what to expect.

What happens to my annual leave entitlement?

Under the permanent contract, you are entitled to 21 consecutive days of annual leave per cycle. A few things to be aware of:

  • Leave must be taken within six months of the end of the cycle in which it accumulates, or it will be forfeited.
  • You may be required to take leave during the company's annual shutdown period.
  • All leave requests must be submitted through Payspace and are subject to manager approval.

If you have any accrued leave under your current contract, HR will clarify how this is carried over during your session.

How does sick leave work under the new contract?

You will be entitled to paid sick leave equal to the number of days you would normally work in a six-week period, over each 36-month cycle. During your first six months, the entitlement is one day for every 26 days worked. A medical certificate is required for absences longer than two days, or if you are absent more than twice in an eight-week period.

What are the notice periods under the permanent contract?

Notice periods are structured based on your length of service:

  • Six months or less: one week's notice
  • More than six months but less than one year: two weeks' notice
  • More than 12 months: four weeks' notice

This applies both ways, so you and the company are both held to the same terms.

Are annual bonuses guaranteed under the permanent contract?

Annual bonuses are discretionary and not guaranteed. The company considers both your individual performance and the financial position of the business when deciding on bonuses. Importantly, you must be employed by Sourceworx at the time bonuses are paid to be eligible. This is not a change from current practice; we simply want to make sure it is clearly understood.

Probation and Job Security

Will I need to go through a probation period again?

The new permanent contract includes a standard three-month probationary period. We understand this may feel concerning, especially if you have already been with the company for some time. The purpose of probation is to support a smooth transition and to make sure both you and the company are set up for success. During this period, the company is committed to providing evaluation, guidance and support.

Your HR consultant will discuss how this applies to your specific situation, particularly if you have a long-standing service history with Sourceworx.

Does this mean my job is at risk?

Not at all. The move to permanent contracts is about giving you more security, not less. A permanent contract means there is no expiry date on your employment. This transition is a positive step forward for the business and its people. If you have concerns about your individual circumstances, please raise them during your consultation session.

What is the retirement age under the new contract?

The retirement age is 65. Your contract will automatically come to an end at the close of the month in which you turn 65.

Restraint of Trade and Confidentiality

Does the permanent contract include a restraint of trade?

Yes. The permanent contract includes a one-month restraint of trade clause that applies after your employment ends. In simple terms, this means that for one month after leaving Sourceworx, you may not work for a direct competitor in the defined territory, solicit the company's clients or recruit fellow Sourceworx employees.

We understand that restraint clauses can feel daunting. The purpose is to protect business interests and client relationships. If you have questions about how this might affect you, please bring them up during your session.

What are my confidentiality obligations?

As a permanent employee, you are expected to keep all company trade secrets, technical data, client lists, financial information and business methods confidential. This obligation applies during your employment and after it ends, regardless of the reason for termination. This is standard practice across most organisations and is there to protect both the company and the clients we serve.

Will the company monitor my communications?

The contract includes a clause that allows Sourceworx to intercept or monitor communications that take place on company premises, using company equipment or relating to company business. This may include emails, internet usage, telephone calls and messaging. This is a standard business practice intended to ensure the proper and efficient conduct of company operations, and it is fully in line with South African legislation. By signing the new contract, you give your consent to this monitoring.

Workplace Policies and Your Rights

Can I be transferred to a different department or role?

Yes, the contract allows the company to transfer employees between departments or branches, or to assign duties other than those originally hired for. This is standard for permanent employment contracts and reflects the operational needs of the business. Any such changes would be made in a reasonable manner and within a similar scope of work.

What about outside employment?

Under the permanent contract, you may not take on additional employment (directly or indirectly) without the prior written consent of the company. If you currently hold a secondary role or freelance arrangement, it is important to raise this during your consultation so that HR can advise on next steps.

What are my rights under POPIA (Protection of Personal Information)?

Your personal information will be collected, processed and stored in line with the Protection of Personal Information Act (POPIA). By signing the contract, you authorise the HR department to use your personal information for employment-related purposes and to share it with third-party providers (such as fund administrators and insurers) strictly for administration purposes. You retain the right to have your information processed lawfully and in accordance with the Act.

What are the working hours?

Standard working hours are 08:00 to 17:00, Monday to Friday. The contract requires you to work overtime when requested, and remuneration for overtime will be in line with applicable labour legislation. Management may also grant time off in lieu of overtime payment, which will be agreed with your manager.

The Process

What happens in the one-on-one consultation?

Your consultation is a personalised session with the HR team. During this meeting, you will receive a detailed explanation of the new permanent contract, have the opportunity to ask questions and get clarity on how the change affects your specific situation. It is a safe, confidential space and we encourage you to come prepared with any questions or concerns you may have.

Do I have to accept the permanent contract?

The purpose of the consultation process is to make sure you fully understand the new contract before making a decision. We want this to be a collaborative and transparent process. If you have reservations or concerns, HR will work with you to address them. The goal is a smooth and positive transition for everyone involved.

Who can I speak to if I still have questions after my session?

The HR team is available to support you at any point. Whether you have follow-up questions, need something explained again or just want to talk things through, please reach out. We would rather you ask twice than feel unsure. Your comfort and understanding are our priority.

You are also welcome to submit feedback through the Contract Transition Consultation Feedback form, which is available after your session.

Still have questions?

We are here for you. Reach out to the HR team at any time and we will be happy to help.

Contact the HR Team Complete the Feedback Form