Learn the differences between trial and probation periods and whether or not you need to use them
Key differences
- Unlike a trial period, you won’t have protection from a personal grievance if you dismiss during the probation period.
- Trial periods cannot exceed 90 days, a probation period can be any length of time; 6 months maximum is generally held to be fair and reasonable.
- A trial period can only be applied to new employees.
- A probation period can be used if an employee can have worked for you before and are rejoining or if an employee is changing jobs within your business. However, please be wary about the message that you are sending by including a period at the time of a promotion. We recommend that you ensure you have the right person with the correct skills and ability for the role before promoting them.
Do I need a trial period or probation period clause?
- It is not a legal requirement to have either in employment agreements. If you are confident in your employee’s ability to perform in the role and within the team you can exclude this from the employment agreement.
- If you do wish to use, only one or the other should be included.
- For either to be considered valid, a clause outlining the terms must be included in the employment agreement.
- MyHR recommend having a clause to enable you to effectively address any concerns during the first few months of your employee’s employment.
Please go to trial periods and probation periods for further information