In certain businesses, probationary periods are used frequently as a trial to determine whether a new employee is going to be a good cultural fit for the organization. Managers sometimes view these periods as an easy way to observe the employee's behaviour and an even easier way to terminate them if they have doubts. But assuming that they don't have to worry about termination pay or progressive discipline during these periods is a popular misconception. The following points should be considered before entering into a probationary period with a new employee.
Probationary Periods Must Be Written into the Employment Contract
A probationary period is not considered a "given" under common law in Ontario so even though most companies utilize a 3- to 6-month trial, it is not an implied term in the courts. If you wish to include a probationary period with your employees, make sure that it is mentioned - by name - in the job offer letter. Even stating something such as a "trial period will take place" or a "review of your performance will occur in ninety days" is not considered by the courts to be clear enough to the employee. Make sure you mention a probationary period and the duration of time specifically.
