Employer ordered to pay over $40,000 to employees that had worked less than two weeks …

Two employees that were dismissed after their employer relied on an ineffective 90-day trial period have been awarded over $20,000 each.

The employees began work with the employer, however, they did not sign their employment agreements until several days after they had begun work. In addition, one of the employees had previously worked for the employer a number of years earlier.

A trial period, which can be for a period of no longer than 90-days, can only be used for new employees. An employee is not new if they have previously worked for the employer and this includes if the employee has started work without having signed an employment agreement before starting.

The employees were awarded approximately $10,500 each for lost wages, $12,000 and $8,000 respectively for compensation, as well as the possibility of claiming costs.

It is important for employers to ensure that new employees sign an employment agreement (containing an effective trial period) prior to undertaking or performing any work for the employer. Otherwise there is the risk that the employee can raise a personal grievance if the employer then relies on an ineffective trial period.

If an employee is not a new, the employer may still include a probationary period in the employment agreement. However, it is important to note that there are differences between a trial period and probationary period.