An employee on probation is not found to be satisfactory - Termination / More time / Lower designation? - CiteHR
Labour Law & Hr Consultant
Nagarkar Vinayak L
Human Resources

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Hi All, An employee on probation is not found to be satisfactory in terms of performance.
Pls help us as to which is the best option going ahead:
1. Not confirming him
2. Giving him 3 months more to improve his performance and then deciding
3. Demoting him to a lower designation and salary
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Dear friend,
Had you given the exact terms of probation as mentioned in the appointment orders, it would have been more convenient to answer.
The act of just not confirming an employee and continuing him as probationer indefinitely may lead to what is called unfair labor practice at a later date.
Demoting him to a lower post with less salary would be construed as breach of contract.
Therefore, you can extend his probation by another three months with a stipulation to improve his performance and in case of no improvement thereafter you can terminate his services. It is important that it should be well documented.
Probation period is of 9 months, he has completed 6 months with us.
I have just joined this company.Actually this was a hiring mistake.
Company wanted to hire an executive level candidate for lower degree and complexity of work, but since this executive designation was not introduced at that time, they hired him at an associate level with higher salary.
Now after completing six months, employee is not performing satisfactorily even for the role of an executive but earning as much as an associate.
So, what can be done to rectfiy this hiring mistake ?
Dear Colleague,
At this stage of his completing six months out of nine months' probation period , you point out to him in a meeting in the presence of his departmental head, his lacking in specific areas of performance as expected of him.
Convey to him in no uncertain terms that if he fails to show desired improvement in his performance in remaining three month's of probation, he may have to quit or his services will be brought to an end.
Vinayak Nagarkar
HR- Consultant
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