Hello and welcome to Episode 274 of the People Powered Business Podcast!
Today we are talking about probationary periods. What they are, why so many businesses get it so wrong in using them effectively and how to leverage them better.
Legally, the concept of probation isn’t defined in the Fair Work Act. What matters instead is the “minimum employment period”, which is 12 months for businesses with fewer than 15 employees or 6 months for businesses with 15 or more employees.
During this period, employees can’t make an unfair dismissal claim — which is why it’s often confused with “probation.”
BUT — if you don’t manage this properly — you can still face general protections claims, adverse action issues, and more. The employment contract wording is critical to protect you here.
An Invitation
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