90 Day Trial Period for Employees
What is RSS?
Feb 2011From 1 April 2011 all employers will be able to use the 90 day trial period for new employees, but there are important limits which employers need to be aware of:
- The 90 day trial period must be in a written employment agreement.
- It cannot be used for an employee who has worked for the employer previously.
- The employment agreement must be signed before the employee starts work.
- Employers still have to ensure their actions before dismissal are what a fair and reasonable employer would do. For example set reasonable expectations, give appropriate training, allow a reasonable time for an employee to learn, and tell an employee in what respects they are not meeting expectations.
- Employers still have to comply with their own contractual obligations and policies e.g. to have regular appraisal meetings.
- Employers still have to give notice of dismissal as required by the employment agreement, even if the notice period ends after the 90 days are up.
- Employers still have to act in good faith, which includes giving reasons to the employee for the dismissal and carrying out the dismissal in private.
- Employers are protected only from dismissal personal grievances, not from other kinds of personal grievance, for example discrimination or disadvantage to the employee.
The 90 day trial period is still useful to employers in the event of dismissal but great care is needed to ensure that the employer is able to rely upon it and is not exposed to other kinds of claims.
The above has been reproduced on the fact sheet attached below.
Prepared by Lesley Brook
