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Probationary Periods

A probationary period does not remove an employee's ordinary dismissal rights. The employer should assess suitability fairly, identify performance concerns, provide a genuine opportunity to improve and follow a fair process before dismissal.


Probationary periods in New Zealand

A probationary period is not the same thing as a 90-day trial period. Probation can be used to assess whether an employee is suitable for a role, but it does not remove the employee's ordinary right to challenge an unjustified dismissal.

Probation versus a 90-day trial

Probationary period: can be for a reasonable agreed period and should be recorded in the employment agreement. If the employer dismisses during or at the end of probation, the ordinary justification and fair-process requirements still apply.

90-day trial: is a separate statutory regime. Where a valid trial applies, it can restrict the employee's ability to challenge the dismissal and dismissal-related disadvantage. See the 90-day trial guide.

What should happen during probation?

The employee should know what standard is expected and receive meaningful feedback if the employer says they are not meeting it. Where improvement is reasonably possible, the employer should identify the concern, provide appropriate guidance or training, and give the employee a genuine opportunity to demonstrate suitability before deciding to dismiss.

  • Check the probation clause and its duration.
  • Check any promised review meetings, training or support.
  • Ask for specific examples where performance is said to be inadequate.
  • Keep evidence of feedback and improvement.
  • Clarify whether dismissal is genuinely being considered.

Dismissal during or at the end of probation

The word "probation" is not a shortcut around fair dismissal. The employer should fairly assess the employee, explain why performance or suitability is considered inadequate, warn that employment may end, allow a response and a genuine opportunity to improve where appropriate, and follow any process promised in the employment agreement or policies.

If dismissal follows, the contractual notice requirement ordinarily still applies. The employee may be able to raise a Personal Grievance if the reason or process was unjustified.

Common probation problems

  • The employer calls the clause a "trial" but the agreement actually provides only probation.
  • No clear performance concerns were raised until the dismissal meeting.
  • The employee was given no meaningful training or opportunity to improve.
  • The employer relies on standards that were never communicated.
  • Probation is treated as allowing termination at will.
  • The employment agreement contains conflicting probation and trial wording.

Dismissed on probation?

  • Read the exact probation/trial clause.
  • Check when the agreement was signed and employment started.
  • Save performance reviews, training records and warnings.
  • Keep the dismissal letter and reasons.
  • Check notice and final pay.
  • Check the 90-day PG deadline.
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Showing 1-6 of 6 articles in Probationary Periods
Sirikanya Pankhum v Super Vape Store Limited [2026] NZERA 149 - WhatsApp dismissal during probation, no process; $12,500 compensation, $7,873.92 lost wages, $311.28 holiday pay

Sirikanya Pankhum was working under a six-month probation clause when Super Vape Store ended her employment by WhatsApp. A probationary arrangement did not remove the requirement for the employer to identify concerns, hear her response and use a fair dismissal process.

Gemma Pedersen v Super Vape Store Limited [2026] NZERA 108 - dismissed by WhatsApp on KPI probation grounds without proper training; unjustified disadvantage and dismissal upheld; $15,917.48 ordered

Retail assistant Gemma Pedersen was dismissed by WhatsApp/email during a six-month probation period for allegedly missing sales KPIs. She said she had not received the promised practical training and had never been put through a genuine performance process before termination.

Noel Jr Camacho v North Beach Limited [2025] NZERA 824 - 90-day trial clause held ineffective because probation and trial terms conflicted; employee may bring PG

North Beach relied on a 90-day trial clause to argue Noel Camacho could not bring an unjustified-dismissal grievance, but the same employment agreement also contained a probation clause that conflicted with the trial wording.

Lekeisha Ramsay v National Storage Ltd [2025] NZERA 269 - Probationary period dismissal held unjustified; $9,000 compensation + $14,040.40 lost wages; penalties dismissed

Lekeisha Ramsay was dismissed by National Storage just over three months into employment under a probationary arrangement. The ERA examined attendance and performance concerns, the adequacy of warnings and whether the employer had given her a fair opportunity to improve and respond before termination.

Mere Broughton v The Whanau Ora Community Clinic Ltd [2023] NZERA 52 - Unjustified dismissal, probation clause misused

Mere Broughton was dismissed after 106 days at The Whanau Ora Community Clinic. Her agreement contained a probation clause, and the dispute centred on the employer's attempt to use that clause as a shortcut to termination rather than carrying out a substantively justified and fair process.

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