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ARTICLE · 27 APRIL 2021

Changes To The Employment Act 2000 – Part 5

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This is the fifth and final part of our series of articles on the amendments to the Employment Act 2000 ("Act") that are due to come into force on 1 June 2021

BermudaEmployment and HR
Bradley Houlston
Bradley Houlston
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This is the fifth and final part of our series of articles on the amendments to the Employment Act 2000 ("Act") that are due to come into force on 1 June 2021. In this part we look in detail at the new legal regime relating to the use of probation periods for new recruits and newly-promoted employees.

PROBATION PERIODS - THE CURRENT LAW

Currently, section 19 of the Act provides simply that:

"(1)    A new employee may be required to serve a probationary period.

 (2)     During the probationary period, the employer or employee may terminate the contract of employment for any reason and without notice."

This provides an employer with a great deal of flexibility; it can require a new employee to serve a probation period of an indeterminate length (albeit a court or tribunal may be willing to imply a contractual term that the period of probation shall be no longer than is reasonable), during which time it can terminate the employment with immediate effect,

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