Starting a new job is much like beginning a trial partnership. Both parties—employer and employee—need time to see whether the match works in practice, not just on a résumé or in an interview room. In Australia, that evaluation window is commonly called a probationary period. Although the phrase appears informally in job ads and contracts, it is underpinned by several legal rules and best-practice recommendations. Getting probation wrong can cost a business valuable talent or expose it to unfair-dismissal claims. For workers, misunderstanding their rights can create anxiety and missed opportunities for feedback.
This guide explains how probation operates under Australian law, what should be included in a fair probation framework and how companies can document each step—including performance reviews and incident reporting—so decisions remain transparent and defensible.
1. What is a probationary period?
A probationary period is a short, defined span at the start of employment—often three or six months—when the employer assesses the employee’s suitability for the role. During this time, the employee also gauges whether the role, team and workplace culture match their expectations. If either party concludes the fit is wrong, the employment can be terminated with shorter notice and, in some situations, fewer legal consequences than after the probation ends.
While “probation” itself is not directly defined in the Fair Work Act 2009, the concept links to two key legal thresholds:
Minimum employment period – This is six months for businesses with 15 or more employees, and 12 months for those with fewer than 15 staff. An employee cannot lodge an unfair-dismissal claim under the Fair Work Act until they have served this minimum period. Many employers set probation lengths to align with or fall within these limits—commonly three or six months—so they can end employment if performance is unsatisfactory without facing an unfair-dismissal application.
Notice of termination – The National Employment Standards (NES) specify minimum notice periods based on an employee’s length of continuous service. Because probation typically ends before the 12-month mark, notice requirements are shorter (for example, one week if service is under one year), making separation administratively simpler.
2. Setting the length
Employers may choose any probation length up to—but not beyond—the relevant minimum employment period (six or 12 months). Factors influencing the chosen length include:
Complexity of duties – A senior engineer may need six months to demonstrate full capability; a call-centre role might be assessed sufficiently in three.
Training cycle – If the role requires formal certificates or induction milestones, probation should cover the time needed to complete and apply them.
Project timelines – Finishing a key project phase can provide clear evidence of an employee’s contribution, so probation may align with that date.
Whatever length is selected, it must be written into the employment contract and explained clearly during onboarding.
3. Onboarding during probation
Induction does not stop once the first-day paperwork is signed. A structured onboarding plan sets the groundwork for a fair evaluation and helps the employee succeed. Key components include:
Role clarity – Provide a position description listing major duties, KPIs and expected behaviours.
Training and resources – Give access to systems, mentors and learning modules (for instance, via an online platform such as Induct For Work) so the employee can meet expectations.
Performance review schedule – Outline when feedback sessions will occur—often at weeks two, six and ten for a 12-week probation.
Policy awareness – Ensure the employee signs off on safety, conduct and privacy policies; store acknowledgements digitally for easy retrieval.
Support channels – Nominate a buddy or supervisor whom the new hire can approach with questions.
When onboarding is consistent and well-documented, employers can show they offered reasonable support—critical if termination is later challenged.
4. Managing performance and conduct
Probation is only fair if performance standards are measurable and feedback is timely. Best practice involves:
Regular check-ins – Short weekly or fortnightly catch-ups are better than waiting until the final week. Discussions should cover achievements, challenges and any training gaps.
SMART goals – Set tasks that are Specific, Measurable, Achievable, Relevant and Time-bound. For example, “Process 20 customer invoices per day with less than 2% error rate by week eight.”
Document everything – Notes of meetings, improvement plans and coaching sessions create an audit trail. Digital HR platforms or the notes function inside Induct For Work can centralise these records.
Address issues promptly – If conduct breaches occur, follow the same disciplinary policy used for permanent staff: investigate, give the employee a chance to respond, and design an improvement plan where practical.
Remember that general protections (such as freedom from discrimination) apply from day one, so terminations must never relate to protected attributes like age, gender or union activity.
5. Safety and probation
New staff are statistically more likely to suffer workplace injuries. They may be unfamiliar with hazards or reluctant to speak up. During probation, employers must:
Deliver comprehensive safety inductions with role-specific modules.
Ensure personal protective equipment (PPE) is fitted and used correctly.
Supervise higher-risk tasks until competency is proven.
Encourage incident reporting without blame so hazards are fixed quickly.
Failure to maintain safe systems can leave employers exposed to workers-compensation claims regardless of probation status.
6. Extending probation
Sometimes an employee shows promise but hasn’t yet met all targets—for example, they started mid-project, or unexpected leave reduced training time. The employer may extend probation, provided:
The employment contract or an award clause allows extension.
The employee is notified in writing before the original end date.
The total length does not exceed the minimum employment period threshold (six or 12 months).
Clear goals and support plans accompany the extension notice.
7. Ending employment during probation
If performance or conduct remains unsatisfactory, an employer can terminate employment provided they:
Give the minimum notice (usually one week for service under a year) or pay in lieu.
Pay any accrued entitlements (wages, unused annual leave, agreed allowances).
Provide a separation certificate where required for Services Australia claims.
Record the decision, reasons and any prior performance discussions to evidence fairness.
Even though unfair-dismissal laws may not apply, employees can bring other actions such as general-protections claims, so objective documentation is vital.
8. Confirming employment after probation
When probation is successfully completed, a confirmation letter should:
Congratulate the employee and outline any ongoing KPIs.
Note updated notice periods now that employment continues past the initial term.
Reconfirm entitlements like leave accrual and superannuation payments.
Encourage continuous professional development.
This simple step reinforces engagement and clarifies next steps in the employee’s journey.
9. Common mistakes to avoid
“Set and forget” probations – Failing to review progress until the last day leaves little time to correct issues or deliver fair notice.
Unclear targets – Vague expectations such as “fit in with the team” are hard to measure.
No training – Expecting full productivity without adequate support undermines fairness.
Missing contract clauses – Not specifying probation length or the right to extend can create legal grey areas.
Ignoring safety reporting – Overlooking near misses or minor injuries can escalate to serious incidents and liabilities.
10. Using Induct For Work to streamline probation
Induct For Work combines online induction, policy sign-off, training modules and licence tracking in one cloud portal. For businesses that lack full-time HR staff, this tool offers:
Template probation checklists – Upload role profiles and review schedules.
Automated reminders – Email supervisors when mid-probation reviews are due.
Performance record storage – Keep meeting notes and signed improvement plans.
Training analytics – Track course completion and quiz scores as evidence of competence.
Safety integration – Embed incident-reporting forms so any probation-period accidents are logged with training records.
Because documents and logs sit in one dashboard, decisions to confirm or terminate employment are backed by time-stamped evidence, reducing legal risk.
Probationary periods give Australian employers and employees a structured way to test fit and performance before committing fully. While the law offers some flexibility—particularly around unfair-dismissal thresholds—best outcomes arise when expectations are transparent, support is genuine and documentation is meticulous. A sound probation framework should include clear goals, ongoing feedback, safety inductions, and avenues for early performance correction.
Digital tools like Induct For Work make these steps easier by centralising policies, training, performance notes and incident reporting. With the administrative burden lightened, managers can focus on coaching new hires to succeed—turning the probation checkpoint into a launchpad for long-term productivity and engagement.
Do you have any questions or great tips to share?
Induct for Work – the only online induction system you would need to run online inductions.
