Confused About Probation Period Changes? Need Help Understanding My MD's Instructions

Dear All,

My MD quite recently verified the appointment letter prepared by me. He further told me that the term mentioned "probation for six months" (as a probationary period) is not applicable, and further, he added that probation will only be for 1 month. Is that so? I'm totally confused.

He told me to verify the same. Please help me in this regard.

Dear June V.,

Firstly, in your post, you have not mentioned the position for which you have prepared an Appointment Letter. If it is a senior post like president or DGM, then check your company policy because in most companies, there is no probation period for senior positions. There is very little chance for any position to have only a one-month probation period. Please check policies for that as well.

Hi,

I have faced the same problem with my organization. It's a private limited firm with ISO 9000 certification. Our company policy is to keep employees on wage receipt for 3 months. After this period, we upgrade them to the muster roll, which is considered the date of joining. Following the date of joining, there is a one-year probation period. Upon completing this probation year, the employee becomes a permanent employee and is eligible for leave, bonus, and LTA facility.

Is this fair? As we are currently revising our policies, can we amend these policies with the help of current regulations?

Please help.

Sarita

Dear Friends,

"PROBATION" generally lasts for 6 months for senior management levels and 1 year for Middle Management and below. However, the duration is subject to management policy. It is essential to review the candidate's performance before the probation period ends. I have attached a format that may be useful, along with detailed notes on 'PROBATIONER'.

Regards,
PBS KUMAR

Hi,

I agree with PBS Kumar. Normally, the probation period will be for 6 months. The reason we keep the probation period is that:

1) We can measure the performance of the newly joined employee.

2) There are many things we can learn during this period, such as attitude and loyalty, which are behavioral aspects of the person.

However, it totally depends on the management policy.

Thanks,
Amit

I really thank you all for your valuable comments. As you all say, I shouldn't have mentioned the word "probation" as the designation is for a senior person (Accounts Manager). I also take this opportunity to thank Mr. PBS Kumar for updating me with the detailed note on probationers.

Hi there,

It purely depends on the company to set the probation period, and a one-month probation period is very short. Ideally, a company should have a minimum 3-month probation period. The HR policy changes once you complete the probation. Employees will receive more benefits after completing the probation period. Therefore, 3 months is the minimum period, and the maximum is 6 months. This period can be extended if the employee's performance does not meet the company's expectations.

Regards,
Nithya

Hi,

We need a behavioral trainer for our company. If anyone is interested, please send us a resume at recruitment@cengrow.com.

Job Description:
- Identification of training needs
- Developing training modules to address the above needs
- Delivering training at customer locations
- Evaluating the impact of training

Qualifications:
1. MBA in HR
2. 3 to 10 years of experience in Training and Development
3. Preferably candidates from Delhi/NCR

Thanks and regards,
Jai
Centre for Growth Alternatives
A-17/1, 1st Floor, DLF City Phase - I
Gurgaon (Haryana) - 122002
Ph: 0124 - 4051458 / 59 Ext - 110
E-mail: recruitment@cengrow.com

Dear Everybody,

Probation purely depends on company policy (3 to 6 months is the general practice). In government departments, it is generally for 2 years. The authorities then check your ACR (Annual Confidential Report) for the first 2 years, and if everything is okay, the temporary employee becomes a permanent one.

I would like to mention that the reasons for probation mentioned in the previous posts are more or less the same. However, in manufacturing plants, especially where labor laws are applicable, the probation period is longer compared to service sector employees or higher management. Additionally, the benefits and separation processes are entirely different for temporary and permanent employees in this sector.

In the service sector, I believe everyone remains in probation until permanent employment is confirmed.

Regards,
Tikam

The Probation Period Clause for 6 months is appropriate. The logic behind the probation period is to understand the knowledge, working, and other traits of an employee. One month is too short a period to assess anybody. The minimum probation period can be 3 months and not less than that.

Hi June V,

Contrary to popular belief that the higher the designation, the longer the probation period, it's actually the other way round.

The reason is that the probation period is used to assess a new joiner's skills and capabilities and to help him/her adapt to the office culture. When we onboard senior/middle-level professionals with considerable experience, they already come with a proven track record of skills and capabilities. Hence, it is assumed that they hit the ground running.

Having a lengthy probation period for senior/middle-level managers, whose skills have already been measured and accepted, is a waste of time.

Therefore, the probation period for senior/middle-level professionals is usually only 1-2 months. However, their notice period is longer (6-8 months) as they will have many tasks to complete or hand over, finding a replacement at that level would be difficult, and the impact of seniors leaving the organization is more significant compared to lower-level employees.

Also, a 1-year probation is mainly applicable to trainees where on-the-job training is necessary for them to be useful to the company. These trainees work on different areas in their field during that one year. If OJT is not required, then the standard probation period is just 3 months.

A recent survey shows that the learning curve from generation to generation is different, and Gen X & Y learn things faster. So having a long probation doesn't seem necessary if they can grasp things faster.

Hi Everyone,

I am Sudhakar, Executive HR, requesting a small clarification.

Should we calculate the bonus based on Basic+DA (i.e., Rs.10,000/-) or the Gross Salary of the Employee for the year 2008?

Please provide clarification as it will be very useful for bonus calculation.

Thank you all.

SUDHAKAR.V
Executive - HR

Hi June V,

Most companies offer a probation period of 6 months for all positions.

Regards,

The probation period depends on company policy. In our company, we hire employees on a three-month probation period. The employee is considered as such from the very first day of joining, with a clause mentioned in the appointment letter stating, "You are (employee) on probation period for the first three months." In that case, the company can terminate his services without any notice during the probation period.

If the company has a certified standing order, the probation period will be as per that certified standing order. In the absence of a certified standing order, the Model Standing Orders as per the Industrial Employment Standing Orders Act will be applicable to any industrial establishment. According to the model standing orders provided, probation will be for a period of 3 months from the date of appointment.

Even if the appointment letter states the probation period to be 1 month, 6 months, one year, or even more, in the absence of a certified standing order, the probation period will be 3 months, since the law stands above all contracts.

Hi,

If more than 50 employees are employed in an industry in Maharashtra, then in the case of workers, the period of probation has to be 3 months. It cannot be less or more than 3 months (Model Standing Orders 2(b) and 4-A, IESO Act, 1946).

Email: sameerparanjapeadv@yahoo.co.in
Phone: 9850083760

Hi June V.,

First, I have to clarify what probation is - probation means testing the capacity of a new employee and giving them some time to understand the cultural atmosphere of the current organization, to know their boss and colleagues. The probation period is totally dependent on company policies. Even if you keep a person for six months on a probation period and you think they are performing well, their probation period can be reduced. I have also seen that the retention of employees probation periods are reduced.

Thanks,
Pramod

Hi,

In normal circumstances, the probationary period will be for six months. It will be decided on the basis of Company Policy, which will vary from Organization to Organization.

I have observed in a few organizations that when an employee is promoted to the next level, he has been put on probation for a period of 3 months to observe his suitability for the elevated post. The definition of probation can be taken from Standing Orders/Employment Rules as applicable.

Divaspati Bhat

Kumar,

Does this apply to every country? In Kenya, the probation period is normally three months, irrespective of the position held, and if extended, it may be up to six months.

Regards,
Cathy

Dear All,

The probation clause is standard in any appointment letter and generally lasts for a period of 6 months, although this duration can vary depending on the position. Typically, the probation clause does not apply to senior cadres such as GMs. However, for other positions, it is a standard requirement to be included with a specified period that may differ for freshers and experienced personnel. Freshers usually have a probation period of one year, while experienced individuals have a probation period of 6 months.

Some organizations use this clause contextually for specific purposes for their employees.

Best wishes,
Sagala Amarnath

Hi everyone,

I am a student doing an MBA. Can anyone tell me the list of companies that participate in campus recruitment, along with the contact person? It would be greatly appreciated if anyone could help me out.

In reply to the probation topic, one member, namely Vishari, said that in her ISO company, they keep employees on wage for three months and then take them on the muster roll, which becomes the official date of joining for the employee.

I would like to draw her attention in case she is responsible for compliance under the PF/ESI and other related laws. Please check whether the statutory deductions are made from the day the employees enter the organization or from the day they are taken on the muster roll. This is crucial because if there is any flaw in compliance due to ignorance, the employer may invite trouble.

It depends on the cadre; the probation period may range from 1 year to 6 months, with no probation for higher levels.

Dear HR Officer,

You have not mentioned the post of the appointee. If the category is of a manager, the period of probation would be a matter of the company's policy. In the case of a workman under the I.D. Act 1947 and Industrial Employment (Standing Orders) Act 1946 being applicable, the probation period should not exceed six months.

Dear H.R. Officer,

There is a typing error in my reply. The probation period for those governed by the Industrial Employment (Standing Orders) Act 1946 should not exceed three months (in Maharashtra). For others, it is a matter of the policy of the establishment.

June,

The probation period for all posts/designations is as per your company policy. I advise you to first understand the company policy so that all documents prepared by you henceforth will be correct.

Thank you.

In general, the probationary period may vary and depend on the post. Every employer has their own approved standing order (as model standing order), where categories are already defined and probationary periods, leave, bonuses, and all rules and regulations are mentioned. Therefore, it is important to read our standing orders and decide accordingly. The purpose of probation is to evaluate the employee's performance and confirm their appointment to the post.

My friend,

Understanding the matter has been assessed. First, it depends on the company. About your resume, it depends, but as of now, you can explain the proper role according to the resume you have submitted. First, understand the reason why he has reviewed your resume again. Think logically and try to explain openly. In order to secure the job or if you are confident of getting another job, just leave it and don't pressure yourself. If you are pressurizing yourself, then you cannot handle the situation. This is my sincere advice.

Hi Sarita,

I actually have a query regarding that. They assume the date of joining when they confirm them after 3 months. After 3 months, PF/ESIC compliance becomes applicable to them until they are considered as temporary employees on wage receipts, which are not visible in the wage or salary register. This rule is followed by all employers, including workers and staff.

Please advise on how the HR department should avoid potential problems arising in my company/firm.

Thank you.

Dear Mr. Cathym,

'NO' This only applies to the citizen employees of Indian Industries.

Regards,
PBS KUMAR

It's purely dependent upon the company policy. Normally, this is for a 6-month period to evaluate the candidate. The probation period doesn't matter for most senior positions in a good organization.

Regards,
Arun