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Global HR Glossary

Probation

Payroll

What is probation?

Probation is a predefined trial period at the beginning of an employee’s contract during which their performance, conduct, and cultural fit are closely evaluated. It allows employers to assess new hires before confirming them as permanent employees, and gives employees time to decide if the role and company are a good fit.

Probationary periods are common in full-time employment contracts and can vary in length depending on the company and local labour laws.

How does probation work?

A probation period can last between one and six months but may be shorter or longer depending on the role and jurisdiction. During this time:

  • Employers evaluate the new hire’s skills, reliability, and compatibility with the team.

  • Employees may be subject to different terms, such as limited benefits or shorter notice periods.

  • Either party can often terminate the employment with reduced notice or fewer legal obligations.

At the end of the probation period, employers may:

  • Confirm the employee’s permanent status.

  • Extend the probation period if more time is needed.

  • Terminate the contract if expectations weren’t met.

Why do companies use probation?

Probation provides a lower-risk way to onboard new hires and helps companies:

  • Ensure employees are capable of meeting job expectations.

  • Mitigate the cost of bad hires.

  • Encourage accountability and performance early on.

  • Maintain flexibility during the initial employment phase.

Examples of probation in practice

  • A new hire starts on a three-month probation and receives performance feedback at 30, 60, and 90 days.

  • An employee’s probation is extended by one month to allow time for further evaluation.

  • A company withholds certain benefits like stock options or PTO accrual until the probation period ends.

Probation vs. training period or onboarding

While probation focuses on evaluating suitability for a role, training periods and onboarding aim to equip new employees with the tools and knowledge they need to succeed. These phases often overlap, but probation has contractual and legal implications, whereas onboarding is a more supportive, structured process.

Things to consider with probation

Before implementing or agreeing to a probationary period, consider:

  • Local labour laws governing probation terms, notice periods, and employee rights.

  • Clear documentation of goals, expectations, and timelines.

  • Regular check-ins and structured feedback during the probation period.

  • Fair and transparent decision-making at the end of the trial.

How Remote can help

Managing probation periods across multiple countries can be complex. Remote helps you create compliant employment contracts that include localised probation terms, while also supporting structured onboarding and performance management. We simplify global hiring so you can confidently grow your team, anywhere.

Discover how Remote can help simplify your global HR today. 

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