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Employer guide

Probation periods in Australia: rules for employers

A probation period lets an employer and employee check that the job is a good fit. Its length is usually decided by the employer and often runs 3 to 6 months. Employees on probation keep their National Employment Standards entitlements, including paid leave and notice when employment ends.

By CrossNation Editorial Team. Sources checked 6 October 2026.

Official data

Key facts from official sources

Length of probation

An employer usually decides the length of the probation period, and it often ranges from 3 to 6 months from when the employee starts employment.

Source: Fair Work Ombudsman: Probation (retrieved 6 October 2026)

Entitlements during probation

Employees on probation receive the same entitlements as someone who isn't on probation, including the National Employment Standards, and can accrue and access paid leave.

Source: Fair Work Ombudsman: Probation (retrieved 6 October 2026)

If probation is not passed

The employee is still entitled to receive notice when employment ends and to have unused accumulated annual leave hours paid out.

Source: Fair Work Ombudsman: Probation (retrieved 6 October 2026)

Eligibility to apply for unfair dismissal

An employee must have worked for the employer for at least 6 months, or 12 months if they worked for a small business, which is an employer with fewer than 15 employees at a particular time.

Source: Fair Work Ombudsman: Unfair dismissal (retrieved 6 October 2026)

What you need to know

What is a probation period?

Probation periods are often set at the start of the employment relationship. They give an employer and an employee a chance to check that the employee is suitable for the role. The Fair Work Ombudsman says the employer usually decides the length, which often ranges from 3 to 6 months from the day the employee starts. Probation is a workplace arrangement, not a separate type of employment, and it does not reduce legal entitlements.

What do employees keep during probation?

Employees on probation continue to receive the same entitlements as other employees, including the entitlements in the National Employment Standards. Full-time and part-time employees on probation accrue and can access paid leave such as annual leave and sick leave. They must be paid at least the correct minimum wage under the award or agreement. Treat probation as a structured review, not a reason to lower conditions.

What if the employee does not pass probation?

An employee who does not pass probation is still entitled to receive notice when employment ends and to have unused accumulated annual leave paid out. Check the notice required by the NES, the award and the contract, and apply the longest. Give the outcome in writing and explain the reason. Fair Work has unsuccessful probation letter and performance improvement plan templates you can use.

How is probation different from the unfair dismissal period?

They are separate ideas. To apply for unfair dismissal an employee must have worked for the employer for at least 6 months, or 12 months if they worked for a small business, which the Fair Work Ombudsman defines as an employer with fewer than 15 employees at the relevant time. The probation length is agreed between the parties and can be shorter or longer. Do not assume that the end of probation and the end of the minimum employment period end together.

How should you run a probation well?

Set clear expectations in the position description and contract, book review meetings at fixed points such as the end of the first month and the midpoint, and write down feedback. If performance is a concern, raise it early and give the person a real chance to improve. A documented, fair process protects both sides and makes a good decision easier whichever way it goes.

Probation checklist

Checklist

  • State the length and review dates in the contract
  • Say that NES entitlements continue during probation
  • Hold a review meeting at the midpoint and at the end
  • Record feedback in writing and give it to the employee
  • Raise concerns early and give a fair chance to improve
  • If probation is not passed, give the notice the law, award and contract require
  • Pay out unused accumulated annual leave on termination

Tell us the role, location and start date

The fee is 12% of the candidate's annual salary, charged only when a placement succeeds.

FAQ

Frequently asked questions

How long can a probation period be?

The employer usually decides. The Fair Work Ombudsman says probation often ranges from 3 to 6 months. Check your award or agreement, which may set rules for probation or trial periods.

Can I dismiss someone during probation without notice?

Generally not. An employee who does not pass probation is still entitled to notice, apart from cases such as serious misconduct. See the notice and termination guide.

Does an employee on probation get annual leave?

Yes. Full-time and part-time employees on probation accrue and can access paid leave such as annual leave and sick leave.

Is probation the same as the minimum employment period?

No. The minimum employment period for an unfair dismissal application is 6 months, or 12 months for a small business. Probation is agreed between the parties.

Can a casual employee be on probation?

Employers can agree review periods with casual staff, but casual employment has its own rules, including the pathway to a permanent role. Check the Fair Work page on casual employees.

Where are the templates?

The Fair Work Ombudsman provides a successful probation letter, an unsuccessful probation letter, a performance improvement plan and related checklists.