Employee Probationary Policy

Employee Probationary Period Policy

Employee Probationary Period Policy

This customizable Employee Probationary Period Policy- template is ready to be adapted to your company’s specific needs and can serve as an initial point for establishing your policies. Here is the overview of the Employee Probationary Period Policy.

The probationary period policy outlines the timeframe during which new and current employees are assessed to gauge their compatibility with the organization. This initial phase is crucial in evaluating the employee’s performance and determining their alignment with the company’s goals and values.

The probationary period policy includes:

  • Establish transparent standards for assessing an employee’s performance, conduct, and teamwork during probation.
  • Identify situations where a current employee may enter probation, such as following a promotion or disciplinary issues.
  • Provide instructions on the possible results after the probationary phase, which could involve continued employment, a change in position, or termination.

[Organization Name] Employee Probationary Period Policy


This policy applies to all potential and current employees at our company.

Policy Overview & Objective

Those who can be placed in an employee probationary period include the following:

Employees eligible for a probationary period include new hires for permanent positions, employees receiving promotions, and employees facing disciplinary action. The length of the probationary period may vary depending on the employee’s position level but will not exceed legal limits. Specific details will be outlined in the

employment contract and employee handbook. Extensions to the probationary period may be granted with formal written notification and clearly defined objectives.

  1. Recent hires who have successfully completed the hiring process for a full-time position.
  2. Existing employees who are promoted to a higher position of authority.
  3. Existing employees require disciplinary action for multiple reasons.

New employees

The company will strive to hire the best candidates for each position, although we recognize that hiring procedures may not always accurately predict performance or cultural fit. The probation period allows both the employee and employer to determine if the employment relationship will be mutually beneficial in the long run.

What is the purpose of a probationary period?

A probationary period is a trial period for new employees between signing an employment contract and being granted permanent employment status. During this time, the employee is evaluated to determine if they are a good fit for the position and the company. Feedback and coaching are provided to help the employee learn and improve. At the end of the probation period, the supervisor will decide whether or not to retain the employee based on various criteria.

  • The employee’s job-related skills, competencies, and knowledge.
  • The employee’s performance and progress on assigned tasks.
  • The employee’s reliability, trustworthiness, and other relevant personality traits.
  • The employee’s relationships and teamwork with subordinates, supervisors, and colleagues.

The aforementioned criteria will be evaluated using quantitative measures when appropriate. Progress will be recorded whenever feasible, and the supervisor can decide whether to retain them.

Regular – Permanent Employees

Once an employee completes their probationary period, they are considered permanent staff. However, they may still be placed on probation as part of a disciplinary process, depending on the reason for the disciplinary action, such as poor performance or policy violations.

The nature of the offence will determine the duration of the probationary period. During this time, employees must adjust their behaviour or face more severe consequences, including potential termination. The company will provide support through guidance, feedback, and training and expects full cooperation from the employee.

If an employee is promoted or transferred to a new position, they may be placed on probation to assess their ability to fulfill their new responsibilities. If the employee is found unfit for the position, they may be demoted or return to their previous role, or other alternatives may be explored. Ultimately, the decision lies with the supervisor and employment is not guaranteed.


Dismissal during the probationary period

During the probationary period, an employee may be dismissed without the minimum prior notice required by law if found unsuitable. The termination can be for cause or without cause, depending on the circumstances and the employee’s evaluation.

Termination may happen before the completion of the probationary period if the employee’s tactical evaluations are extremely unsatisfactory or if their behaviour warrants a for-cause dismissal. The employee will receive written notification of the termination decision, which will clearly outline the reasons for their termination and the expected effective date.

After the probationary period ends, employees may still face dismissal for various reasons. In these instances, the company will adhere to probation period employment laws, legal regulations, and policies regarding employment separation.


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Additional Information

Definition: A policy is a deliberate system of guidelines that guides decisions and achieves rational outcomes that affect an entity’s organization and operations. It is a statement of intent implemented as a procedure or protocol. Various entities, including a governance body, generally adopt policies.

Policies can assist in both subjective and objective decision-making. Policies used in subjective decision-making generally support senior management with decisions that must be based on the relative merits of several factors and, as a result, are often difficult to test objectively, e.g. discrimination policy.

Generally, governments and other institutions have policies in the form of laws, regulations, procedures, administrative actions, incentives and voluntary practices. Similarly, private entities deploy policies for internal and external protocol procedures to be followed. Frequently, resource allocations mirror policy decisions.

Refer to the relevant resources and documents to learn about policies and procedures.

Disclaimer: This policy template serves as a general guideline and should be used for the convenience of reference. It may not encompass all relevant local, provincial, or federal laws and does not constitute a legal document. Neither the author nor assumes any legal liability for using this policy.

Source: Canada Small Business

May 16, 2024