What is a 90 Day Trial Period and how does it work?

From 1 April 2011 all employers were be able to employ new employees on a trial period of up to 90 calendar days. 


As part of an employment agreement, an employer and employee can enter into a written agreement that, for the specified and agreed number of days but no more than 90 calendar days, the employer can dismiss the employee without the employee being able to take a personal grievance for reasons of unjustified dismissal.


The key part here is that the agreement should be signed prior to the employee starting work for the employer.


As an employee, a new employer can provide you with an offer of employment which includes a trial period. A trial period is voluntary, and must be agreed to by the employer and employee in writing in good faith as part of an employment agreement.  If you have previously been an employee with this employer then you will not be considered to be a new employee and a trial period cannot be entered into.


As an employer, you will be able to offer trial periods to new employees. Any trial period that you agree to with a new employee must be agreed to in good faith as part of their written employment agreement.


Written employment agreement should be signed by both you and your employee at the beginning of your employment relationship. A signed employment agreement may reduce the risks of legal challenge.


You and the employee must both bargain in a fair way.


Notice must be given within the trial period, even if the actual dismissal doesn't become effective until after the trial period ends.


The 90 Day Trial period and a Probationary period are not be confused with each other as they are two separate areas that will need to be negotiated with the new employee in an employment agreement.


Key points to remember are:
- The employee must be a new employee and not previously worked for the employer
- A written agreement should be signed prior to the employee starting work with the employer
- Notice must be given to the employee within the 90 Day Trial period.

By Aaron Brown - HR Manager Cross Group Services Ltd