Employment Contracts

Probation Period Clauses: What's Legal in 2025?

Probation periods help you assess new hires, but they must be handled correctly. Here is what UK law says and what is changing in 2025.

Last updated: February 2025

How Probation Periods Work in UK Law

Probation periods are not specifically defined in UK employment legislation — they are a contractual arrangement. However, they interact with statutory rights including unfair dismissal, notice periods, and the new day-one rights proposed in the Employment Rights Bill.

  • Probation periods are contractual, not statutory — the law does not mandate or limit them
  • Typical probation periods range from 3 to 6 months for most roles
  • During probation, employees still have day-one rights including protection from discrimination
  • The Employment Rights Bill 2024 proposes a statutory probation period of up to 9 months with a lighter dismissal process

Drafting Effective Probation Clauses

Your probation clause should set clear expectations about the review process, performance standards, and what happens at the end of the period. Vague clauses create uncertainty and can lead to disputes if you need to dismiss during probation.

  • State the duration of probation and whether it can be extended, including the maximum extension period
  • Define shorter notice periods during probation — one week is common, versus the contractual notice after passing
  • Specify that certain benefits such as enhanced sick pay or private healthcare begin after successful completion
  • Include a formal review process with clear criteria for passing or failing probation

Managing Probation and Dismissal

Dismissing someone during probation is generally lower risk than after they have accrued two years' service, but it is not without legal exposure. Discrimination claims have no qualifying period, and the Employment Rights Bill may introduce day-one unfair dismissal protection.

  • Document performance concerns throughout the probation period, not just at the end
  • Hold regular check-ins — monthly at minimum — and keep written records
  • If dismissing during probation, follow a fair process even though a full disciplinary hearing is not legally required
  • Always provide the contractual notice period, even during probation

Key Takeaways

  • Probation periods are contractual, not statutory — but they interact with statutory employment rights from day one.
  • The Employment Rights Bill 2024 may introduce a statutory probation period with a lighter-touch dismissal process.
  • Always document performance issues during probation and follow a fair process when dismissing.

Frequently Asked Questions

Can I dismiss someone during their probation period without reason?

Currently, employees need two years' service to claim ordinary unfair dismissal, so you have more flexibility during a typical 3-6 month probation. However, you cannot dismiss for a discriminatory reason at any point — discrimination claims have no qualifying period. Always document a fair, non-discriminatory reason.

What is a reasonable probation period length?

Three to six months is standard for most UK roles. Senior or complex positions sometimes warrant six months. The Employment Rights Bill 2024 proposes a statutory maximum of nine months. Excessively long probation periods can damage trust and may be challenged as unreasonable.

Can I extend a probation period?

Yes, provided the contract allows for it and you have a legitimate reason such as long-term sickness absence during probation or needing more time to assess performance. Communicate the extension in writing, explain the reasons, and set a clear end date.

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This is guidance for UK businesses, not legal advice. For complex legal matters, consult a qualified solicitor.

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