What Are the Legal Rules and Pay for Hiring Employees on a Trial Basis?

Hi All, I want to know what the legal rules are to appoint an employee on a trial basis. What will be their salary, wages, and all labor law rules?

Relevant Labor Laws for Trial Basis Employment

The following labor laws are applicable if you employ someone on a trial basis:

- Apprentices Act 1961
- Minimum Wages Act 1948
- Payment of Bonus Act 1965
- ESIC Act 1948
- Factory Act 1948
- EPF Act 1952
- Payment of Wages Act 1936

All labor laws will apply if you keep employees on a trial basis.

Regards,
Sirhari

Adding to what Srihari mentioned, please note that there is nothing called "Trial Basis Job" in the world. I suggest you rather have a probation period for any employee whom you want to hire to give both the employee and the employer a chance to evaluate one another.

I am so irritated by employers who use the term "trial basis" in recruitment/HR, as if human beings are pieces of cloth/material to be checked and discarded when not fit.

Regards,
Ukmitra

Dear Sushil, the whole objective of the probationary period is to evaluate a new employee objectively, clearly set targets, and provide confirmation on the due date post-appraisal. Alternatively, extend the probation if needed, or terminate the contract if this trial does not yield desirable results. However, fair practice is essential, and this should not be used as a device for hire, use, and fire.

As highlighted by other experts, the Apprenticeship Act also provides for the continuous deployment of apprentices for mutual benefit. Another legal option is to engage persons through fixed-term assignments (where the project is time-bound/experimental). Institutions also provide interns for the mutual benefit of practical learning/induction of professional students and the industry on a stipend basis.

Regards,
Vasudevan

As per Srihari, no job exists with the name "trial basis job" in the world. However, we can consider absorbing individuals under a Fixed Term Contract (FTC) or under the Apprenticeship Act of 1961 for a specific time period and trade.

Regards,
Ravindra Kumar Gupta
Asst. Manager - HR
[Phone Number Removed For Privacy Reasons]

You can appoint an employee as "Trainee / Apprentice / Probationer / Temporary" for a certain period. Upon completion of this period, you can continue their employment either by absorbing them into the permanent cadre, extending their probation period, or terminating them. All these options should be suitably mentioned in their appointment letter. Additionally, you must follow all applicable laws and rules regarding salaries, leaves, etc.

Also, as stated by Mr. Mitra, "trial basis" does not sound good.

No, if an employee is not competent, then it is worth the employer checking him/her on a trial basis only. However, if the job is long-lasting and the employer uses the term "trial basis," then it is the employer's fault. So kindly do not irritate all employers for no reason.