Does my contract job have to be re-advertised?

I presume from your message that the two funding streams are for the same work and overlap in terms of their start and end dates.

Your employer is not legally obliged to advertise the role and go through the recruitment process. They can simply agree to extend your current contract and this should be done in writing.

However, the charity may decide to advertise the role in order to avoid any potential argument that the process has not been transparent, fair and is potentially discriminatory because it prevents others from applying for the role which may disproportionately affect a particular group of individuals, such as men. Advertising the role might also be a requirement of the funding provider, or of their own internal processes. Furthermore, they might decide to run a recruitment process if the role going forward is different to your existing one and/or they bring your employment to an end for a legitimate reason (such as conduct or ability to do the job).

If your employer does advertise the role, they should inform you of the vacancy and give you the chance to apply for it, although they do not have to give you the job simply because you are currently doing it.

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