It is common for contracts of employment for new employees to include provision for a probationary period. During this period, the employee’s performance and suitability for the job in question should be assessed. The employee will often not qualify for certain benefits during the probationary period. They will also usually be subject to a shorter period of notice than would otherwise apply under the contract if the decision were made to terminate their employment during the probationary period.
Probationary periods should only be used for new employees. For internal promotions or individuals changing roles within the organisation, it might be appropriate in some circumstances to allow for a trial period. This should be clearly set out in writing to the employee and would usually depend on the old job being available should the trial prove unsuccessful. In contrast with a probationary period for new employees, the employee’s entitlements to contractual benefits and notice would be unaffected during a trial period.
This white paper looks at the many considerations surrounding probationary periods.
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