The probation period is an essential stage of the employment relationship as it enables both the employer and the employee to assess whether the working arrangement is suitable. The Labour Law sets a number of detailed rules governing the duration of the probation period, the rights of employees during this stage, and the obligations employers must observe.
This blog post will highlight the key provisions relating to probation periods under the Labour Law.
Probation is defined under article 1(21) of the Labour Law as the initial phase of the employment contract during which the employee’s suitability for the job is assessed. The Labour Law sets out the maximum duration of this period: up to three months for workers paid on a monthly basis and up to two months for workers paid by any other method.
The law also makes it clear that a worker may only be placed on probation once with the same employer. Not only does this mean that employers cannot impose a new probation period upon contract renewal or when an employee is promoted internally, but an employee who quits working for an employer after completing their probation period, moves to another employer, and then returns to a new job for the first-mentioned employer does not have a probation period.
The law also provides that the employer may terminate the employment contract during the probation period if the employee is deemed unsuitable to continue without the need to provide any justification, by giving a seven-day written notice. In Supreme Court Contestation 802/2020, the Supreme Court ordered an employer to compensate an employee for terminating his employment during the probation period without giving the seven-day notice. However, the compensation was limited to the equivalent of seven days pay.
We highly recommend that both employers and employees make themselves familiar with the legal provisions relating to probation periods by reading the full text of the Labour Law on the link below:
