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What is a Probation Period?

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Summary: The probation period varies from three to six months, depending on the company.

A probation period, also called a probationary period, is a period at the start of an employment period where the employer ascertains whether the newly hired employee meets the standards to continue in the job.

This period puts the new employee ‘on probation’ to ensure that he or she is able to deliver what the job demands.

Why do Employers use Probationary Periods?

  • To assess competence: A probation period ensures that the new employee is able to carry out the job tasks competently with the skills and abilities they claimed during the hiring process.
  • To evaluate fit: The period allows for monitoring the new recruit to see whether they can fit into the organization’s culture, values, and team dynamics.
  • To mitigate risk: A probation period provides a structured time frame for evaluating an employee without making long-term commitments. This way, the employer can easily terminate the employment in case of unsatisfactory fit or performance.

How Long Does a Probation Period Typically Last?

The period varies from three to six months, depending on the country, applicable labor laws, and the preferences of the hiring company. For example, in India, the length of any applicable probation period is purely for the determination of the employer and employee. In Germany, there is a maximum probation period of 6 months. 

What Is Best Practice for Managing Employees on their Probation Period?

  • Clear objectives: Set clear, measurable goals and job performance standards.
  • Regular feedback: Provide regular feedback through one-on-one meetings, allowing the employee to understand their progress and areas for improvement.
  • Support and resources: Ensure employees can access the necessary tools, resources, and training to perform their jobs effectively.
  • Open communication: Encourage open lines of communication, allowing the employee to ask questions and express concerns.

How can Employers Effectively Assess an Employee's Performance During the Probation Period?

  • Performance reviews: Conduct formal reviews at regular intervals during the probation period to discuss performance, challenges, and expectations.
  • Documentation: Keep detailed records of both achievements and areas for improvement, which can help in making the final decision.
  • Multi-source feedback: Obtain feedback from various sources, including supervisors, colleagues, and other relevant stakeholders, to gain a comprehensive view of the employee’s performance.

Comply with Probation Period Requirements Internationally

It is crucial that companies looking to hire internationally, comply with any statutory requirements for probation periods as well as industry norms in that country. To check what the requirements are in your chosen country of expansion, get in touch with our global hiring experts. 

Drew Donnelly
Drew Donnelly

Director, Regulatory Affairs

Andrew (Drew) joined the Remote People team in 2020 and is currently Director, Regulatory Affairs. For the past 13 years, he has been a trusted advisor to C-Suite executives and government ministers on international compliance and regulatory issues. Drew holds a law degree from the University of Otago, a PhD from the University of Sydney, and is an enrolled Barrister and Solicitor of the High Court of New Zealand.