Probationary periods are often valuable for employers who would like to review the suitability of an employee in the early stages of their employment. However, there are certain misconceptions about probationary periods that employers should understand. For example, employers should not assume that a probationary period is an implied term in all employment contracts.
Recently, courts have been reluctant to deem probationary periods as implied and often require that the probationary periods are clearly explained to the employee prior to the commencement of their employment. Therefore, it is prudent for an employer to understand the implications of a probationary period, and how to legally include one in an employment contract.
Take away:
- Ensure that you have explained the implications of a probationary period to any employee before they sign their employment agreement.