Probation Clause in UK Contracts: What It Means & Example Wording

When to Include a Probation Clause

• In every employment contract for new hires to allow a structured assessment period before the employee gains full contractual benefits
• When hiring for roles where suitability is difficult to assess at interview and a period of on-the-job evaluation is needed
• When offering enhanced contractual benefits (such as longer notice periods, enhanced sick pay, or bonus eligibility) that the employer only wants to apply after the employee has been confirmed in post

Example Wording

This example wording is illustrative only. Customise it to your specific circumstances and consider seeking legal advice.

Is a Probation Clause Enforceable in the UK?

Probation clauses are enforceable in the UK as contractual terms. However, it is important to understand that probation does not remove an employee's statutory rights. An employee's right not to be unfairly dismissed generally requires two years' continuous service (under section 108 of the Employment Rights Act 1996), so a probationary employee dismissed within that period typically cannot bring an unfair dismissal claim. However, they can still bring claims for automatically unfair dismissal (e.g., whistleblowing, pregnancy), wrongful dismissal, and discrimination from day one.

Common Mistakes

• Assuming that dismissing a probationary employee carries no legal risk — while unfair dismissal requires two years' service, discrimination and automatically unfair dismissal claims have no qualifying period
• Failing to conduct and document proper reviews during probation — without evidence of performance issues, a dismissal may be harder to defend
• Not specifying what happens at the end of probation — the contract should state whether employment continues automatically or requires formal confirmation