Preston Russell Law - Legal Services for Southern People

Probationary Periods - Template Updates for Employers

Monday, March 02, 2009 by Mary-Jane Thomas, partner category Employment Law

In many of your agreements that have been drafted by us there are probationary periods.  Many of you use our agreements as a template.  You will recall that when receiving our template we advised you that you would not be able to rely upon it indefinitely as there would be law changes........

In many of your agreements that have been drafted by us there are probationary periods.  Many of you use our agreements as a template.  You will recall that when receiving our template we advised you that you would not be able to rely upon it indefinitely as there would be law changes.

In March 2009 the law changes and allows employers (who employ fewer than 20 staff) to employ individuals on an up to 90 day trial period.  The law change allows someone to be dismissed for failure to perform without the employer having to follow any process.  The template you hold currently will have a probationary clause that follows a process. This needs to change. 

Where you employ fewer than 20 employees, any employment agreements entered into after this date (1 March 2009) should not include the current probationary term and should include an amended term.  Please contact Brian Richardson of our office who will be able to assist in amending your template.