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ARTICLE · 19 AUGUST 2024

Probation In Employment Contract

Probation in employment contracts refers to a temporary period during which an employer evaluates a newly hired employee's performance, suitability, and fit within the organization...

IndiaEmployment and HR

Probation in employment contracts refers to a temporary period during which an employer evaluates a newly hired employee's performance, suitability, and fit within the organization before confirming permanent employment. During this period, probationary employees do not receive statutory benefits typically available to regular employees, such as provident fund contributions, gratuity, insurance, etc. However, they are entitled to essential protections against discrimination and harassment. Recent case studies show that few employers tend to include unfair terms in probation clauses, potentially exploiting probationary employees who generally have less bargaining power than employers. Therefore, it is crucial to analyse this concept in India in terms of legal sanctity and enforceability, identify any gaps, and propose solutions to safeguard the rights and interests of probationary employees.

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