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PHONE OR TEXT: +1 (587) 438-2051 | info@libra-law.ca

Probation Periods Alberta Employer Mistakes

Probation periods are common in Alberta workplaces.

Many employers use the first few months of employment to decide whether a new hire is the right fit for the role, team, and business. A probation period can be useful, but it is also easy to misunderstand.

Some employers assume probation means they can terminate an employee for any reason, without risk, as long as the employee has been employed for less than 90 days. Others assume a probation clause is automatic, even if it was never properly written into the employment agreement.

Those assumptions can create problems.

Probation does not remove every legal obligation. Employers still need to consider employment standards, human rights, contract wording, workplace policies, documentation, and fairness in the decision-making process.

Libra Law helps Alberta employers review employment contracts, termination practices, workplace policies, and employment law risks before small problems become costly disputes.

What Is a Probation Period?

A probation period is a trial period at the beginning of employment.

It gives the employer time to assess whether the employee is suitable for the role. It also gives the employee time to decide whether the job, workplace, and expectations are a good fit.

During probation, the employer may review things such as:

  • Job performance
  • Attendance
  • Reliability
  • Communication
  • Technical skills
  • Team fit
  • Ability to follow policies
  • Adaptability
  • Professional conduct
  • Training progress
  • Overall suitability for the position

Probation periods are usually addressed in an employment agreement, offer letter, or workplace policy.

The key point is that probation should not be treated casually. If an employer wants to rely on a probation period, the terms should be clear from the start.

Why Probation Periods Cause Confusion in Alberta

Probation periods cause confusion because employers often mix together three different ideas:

  • The employer’s internal probation period
  • Alberta’s employment standards rules for termination notice
  • The employee’s possible common law rights

These are related, but they are not always the same.

An employer may use a three-month probation period in its contract or policies. Alberta employment standards may have separate rules about minimum termination notice. Common law may also matter depending on the contract, the employee’s circumstances, and how the termination was handled.

This is why employers should not rely on informal assumptions.

A properly drafted employment agreement and a consistent process can reduce risk.

For more general guidance, read Libra Law’s article on Top Employment Law Mistakes Alberta Employers Make.

Mistake 1: Assuming Probation Is Automatic

One common mistake is assuming every new employee is automatically on probation.

If the employment agreement does not clearly include a probation period, the employer may have difficulty relying on one later.

A probation term should be communicated before or at the time the employee accepts the job. It should be clear, written, and included in the offer letter, employment agreement, or another enforceable employment document.

Employers should avoid relying only on verbal comments such as:

  • “Everyone starts on probation.”
  • “We usually do three months.”
  • “The first 90 days are a trial period.”
  • “We can decide later if it works out.”

Verbal expectations can lead to disputes. Written terms are much safer.

How to Avoid This Mistake

Employers should include a clear probation clause in the employment agreement before employment begins.

The clause should explain:

  • Whether there is a probation period
  • How long it lasts
  • What the employer will assess
  • Whether the period can be extended
  • What happens if employment ends during probation
  • How the clause interacts with employment standards requirements
  • Whether the employee must meet certain expectations to continue employment

The clause should be reviewed by a lawyer to make sure it works with the rest of the agreement.

Mistake 2: Using a Vague Probation Clause

A probation clause that simply says “three-month probation applies” may not be enough.

Employers should be specific. A vague clause may create uncertainty about what the employee agreed to and what rights apply during probation.

A better clause should be clear about the purpose of probation and the employer’s expectations.

For example, employers may want the agreement to explain that continued employment depends on the employee demonstrating suitability for the position.

The wording should also be consistent with the termination clause, workplace policies, and employment standards obligations.

If the probation clause conflicts with another part of the agreement, the employer may create unnecessary risk.

How to Avoid This Mistake

Employers should review probation clauses together with the entire employment agreement.

The probation clause should not be copied from an old template without review. Employment law changes, workplace needs change, and old clauses may not reflect current legal standards.

A lawyer can help employers create probation language that is clear, practical, and aligned with the rest of the contract.

Mistake 3: Thinking 90 Days Means No Rules Apply

Many employers believe the first 90 days of employment are a risk-free period.

That is not true.

Even during early employment, employers must still comply with legal obligations. Employees must be paid properly. Workplace safety rules still apply. Human rights protections still apply. Employment contracts still matter.

A probationary employee is still an employee.

This means employers should not terminate someone for reasons connected to a protected ground, such as disability, pregnancy, family status, race, religion, gender, age, or other protected characteristics.

A short period of employment does not give an employer permission to discriminate or retaliate.

How to Avoid This Mistake

Before ending employment during probation, employers should ask:

  • What is the real reason for termination?
  • Is there any human rights concern?
  • Has the employee requested accommodation?
  • Has the employee taken medical leave or asked for support?
  • Has the employee raised a workplace complaint?
  • Is the decision supported by performance or suitability concerns?
  • Is the employment agreement clear?
  • Are all wages and amounts owing ready to be paid?

If there is any concern about medical issues, disability, accommodation, pregnancy, family status, or workplace complaints, employers should get legal advice before terminating.

Mistake 4: Not Properly Assessing the Employee

Probation is meant to be an assessment period.

If an employer terminates a probationary employee without any real assessment, the employer may have a harder time showing the decision was fair and connected to suitability.

An employer does not need to create a lengthy performance management process for every probationary employee. But the employer should be able to explain why the employee was not suitable for the position.

This may include concerns about performance, attendance, attitude, skill level, communication, reliability, judgment, or ability to meet reasonable expectations.

The decision should not be arbitrary, discriminatory, or made in bad faith.

How to Avoid This Mistake

Employers should assess probationary employees throughout the probation period.

Helpful steps include:

  • Setting clear expectations at the start
  • Providing job duties in writing
  • Offering training where appropriate
  • Giving feedback early
  • Documenting concerns
  • Giving the employee a chance to respond where appropriate
  • Holding check-ins before the probation period ends
  • Keeping notes of performance or suitability concerns

Documentation does not need to be complicated. Simple notes, emails, or performance check-in records can help show that the employer made a genuine assessment.

Mistake 5: Waiting Until the Last Day

Some employers wait until the final day of probation to decide whether the employee should continue.

This creates unnecessary pressure.

If the employer has concerns, it should address them before the probation period expires. Waiting too long may create confusion, especially if the employee continues working after the probation period without any clear communication.

Employers should also be careful with internal deadlines. If a contract says probation lasts three months, the employer should track the dates carefully and make decisions before the period ends.

How to Avoid This Mistake

Employers should create a probation review process.

For example, the employer may schedule check-ins at:

  • 30 days
  • 60 days
  • Before the end of the probation period

These check-ins do not need to be overly formal, but they help ensure the employer is actively reviewing suitability.

Managers should be trained to raise concerns early rather than waiting until the last moment.

Mistake 6: Extending Probation Without a Contractual Right

Sometimes an employer is unsure whether a new employee is the right fit and wants more time.

Extending probation may be possible in some situations, but employers should be careful.

If the employment agreement does not allow probation to be extended, or if the extension is not communicated properly before the original probation period ends, the employer may create a dispute.

An employee may argue that probation ended and that they are now entitled to the protections that apply after probation.

How to Avoid This Mistake

If the employer wants the ability to extend probation, the employment agreement should say so clearly.

The agreement should explain:

  • Whether probation can be extended
  • How long the extension can last
  • Who can approve the extension
  • How the employee will be notified
  • Whether the extension must be in writing
  • What standards will apply during the extension

Employers should not extend probation informally or after the fact.

If the employer is considering an extension because of performance concerns, it should document those concerns and communicate them clearly.

Mistake 7: Ignoring Human Rights Issues

Human rights issues can arise during probation.

For example, a new employee may disclose a disability, request accommodation, become pregnant, take medical leave, raise family status concerns, or report harassment.

If the employer terminates shortly after one of these events, the timing may raise concerns, even if the employee was still within the probation period.

Employers must be careful not to terminate employment for a reason connected to a protected ground.

How to Avoid This Mistake

Employers should pause before terminating a probationary employee if there is any possible human rights issue.

Important questions include:

  • Did the employee request accommodation?
  • Did the employee disclose a medical condition?
  • Did the employee take sick leave?
  • Did the employee raise harassment or discrimination concerns?
  • Did the employee recently announce pregnancy?
  • Did the employee raise childcare or family status issues?
  • Could the termination appear connected to a protected ground?

If the answer to any of these questions is yes, legal advice is recommended before making a final decision.

Mistake 8: Not Paying Everything Owed

Even if an employee is terminated during probation, the employer must still pay amounts that are owed.

This may include wages, vacation pay, earned commissions, expense reimbursements, or other amounts required by the employment agreement or applicable law.

Employers sometimes focus on whether termination notice is required and forget about final pay obligations.

That can lead to employment standards complaints and unnecessary conflict.

How to Avoid This Mistake

Before ending employment, employers should prepare a final pay review.

This may include:

  • Regular wages earned
  • Overtime, if applicable
  • Vacation pay
  • Commission amounts
  • Bonus issues, if applicable
  • Expense reimbursements
  • Benefits cutoff dates
  • Return of company property
  • Record of employment timing
  • Any written termination documents

Payroll and management should coordinate so the employee receives what they are owed.

Mistake 9: Using Probation to Avoid Proper Hiring Practices

Probation is not a replacement for good hiring.

Some employers rush the hiring process and assume probation will solve any mismatch later. This can lead to high turnover, poor documentation, and legal risk.

Probation works best when the employer has already done a reasonable hiring process and uses probation to confirm the fit.

A poor hiring process can create problems, especially if the employer makes promises during recruitment that are not reflected in the employment agreement.

How to Avoid This Mistake

Employers should improve hiring practices before relying on probation.

This may include:

  • Clear job descriptions
  • Consistent interview questions
  • Proper reference checks
  • Written compensation terms
  • Clear start dates
  • Written employment agreements
  • Policies provided before or at the start of employment
  • Clear reporting lines
  • Proper onboarding and training

Good hiring practices make probation more effective and reduce disputes.

Mistake 10: Forgetting About the Employment Contract

The employment contract is one of the most important documents in the probation process.

If the contract is missing, unclear, outdated, or signed after employment begins, the employer may have difficulty relying on probation or termination language.

Employers should not treat the contract as a formality.

The employment agreement should address:

  • Job title
  • Duties
  • Compensation
  • Hours of work
  • Benefits
  • Probation
  • Termination
  • Confidentiality
  • Restrictive covenants, if appropriate
  • Policies
  • Return of company property
  • Dispute resolution, if appropriate

If the termination clause is poorly drafted, it may create risk beyond the probation period as well.

For related guidance, read Libra Law’s article on Severance Packages in Alberta and Severance Pay in Alberta.

Mistake 11: Terminating for Cause Too Quickly

Some employers label a probationary termination as “for cause” when the real issue is poor fit or performance.

This can be risky.

Just cause is a serious legal standard. It generally requires significant misconduct or circumstances where continued employment is no longer appropriate. Poor fit, weak performance, or lack of suitability during probation may not always amount to just cause.

Using “cause” language too casually can escalate a simple termination into a legal dispute.

How to Avoid This Mistake

Employers should be careful with termination wording.

If the employee is being terminated because they are not suitable during probation, the termination documents should be drafted carefully and accurately.

Employers should avoid overstating the reason for termination or making allegations they cannot prove.

If there is serious misconduct, legal advice should be obtained before alleging just cause.

Mistake 12: Failing to Train Managers

Probation decisions are often made by frontline managers.

If managers are not trained, they may mishandle the process. They may promise job security, ignore performance issues, fail to document concerns, delay difficult conversations, or terminate in a way that creates legal risk.

Managers may also fail to recognize human rights issues or accommodation requests.

How to Avoid This Mistake

Employers should train managers on probation basics.

Managers should understand:

  • What the probation period is
  • How long it lasts
  • What they should assess
  • How to document concerns
  • When to involve HR
  • When to seek legal advice
  • What not to say to employees
  • How human rights concerns can arise
  • Why timing matters

A simple manager checklist can help prevent mistakes.

Mistake 13: Applying Probation Inconsistently

Inconsistent treatment can create risk.

For example, if one employee receives training, feedback, and a chance to improve, while another employee is terminated immediately for similar issues, the employer may have difficulty explaining the difference.

Inconsistency can also support allegations of unfairness, discrimination, or bad faith.

How to Avoid This Mistake

Employers should use a consistent probation process.

This may include:

  • Standard employment agreement language
  • Consistent onboarding
  • Probation check-ins
  • Written performance notes
  • Clear evaluation criteria
  • HR review before termination
  • Legal review for higher-risk situations

Consistency does not mean every employee must be treated identically. It means decisions should be reasonable, documented, and based on legitimate workplace factors.

Mistake 14: Not Considering Common Law Risk

Employers sometimes assume Alberta employment standards are the only concern.

They are not.

Employment standards set minimum requirements. Depending on the contract and circumstances, common law may also matter. If the employment agreement does not properly limit entitlements, an employee may argue for more than the minimum standards.

This can be relevant even with relatively short-service employees, depending on the situation.

How to Avoid This Mistake

Employers should not rely only on minimum standards when drafting contracts or handling terminations.

A lawyer can review whether the employment agreement contains enforceable termination language and whether the probation clause is properly integrated.

This is especially important for:

  • Senior employees
  • Specialized employees
  • Employees recruited from secure employment
  • Employees offered inducements to join
  • Employees with significant compensation packages
  • Employees with written or verbal promises made during hiring

Mistake 15: Ignoring Post-Employment Issues

Even after a probationary employee leaves, the employer may still have issues to manage.

These may include:

  • Confidential information
  • Company devices
  • Client lists
  • Passwords and systems access
  • Social media or marketing accounts
  • Non-solicitation obligations
  • Final pay
  • Record of employment
  • Reference requests
  • Internal communications
  • Team morale

If the employee had access to confidential information, the employer should act quickly to protect the business.

If the employment agreement includes post-employment restrictions, those clauses should be reviewed before the employer tries to enforce them.

For related information, read Libra Law’s article on Non-Compete Clauses in Alberta.

Practical Probation Checklist for Alberta Employers

Before hiring a new employee, employers should:

  1. Prepare a written employment agreement.
  2. Include a clear probation clause.
  3. Make sure the agreement is signed before work starts.
  4. Provide job duties and expectations.
  5. Review workplace policies.
  6. Train managers on probation procedures.
  7. Schedule probation check-ins.
  8. Document performance or suitability concerns.
  9. Watch for human rights and accommodation issues.
  10. Get legal advice before high-risk terminations.

Before terminating during probation, employers should:

  1. Confirm the probation clause.
  2. Confirm the employee’s start date.
  3. Review performance and suitability concerns.
  4. Check for human rights risks.
  5. Review employment standards obligations.
  6. Calculate final pay.
  7. Prepare accurate termination documents.
  8. Avoid unsupported cause allegations.
  9. Protect confidential information.
  10. Speak with a lawyer if there is uncertainty.

How Libra Law Can Help

Probation periods can help employers assess new employees, but they must be handled carefully.

A properly drafted probation clause, a clear onboarding process, good documentation, and careful termination practices can reduce legal risk.

Libra Law helps Alberta employers with:

  • Employment agreements
  • Probation clauses
  • Workplace policies
  • Termination letters
  • Severance issues
  • Employment standards compliance
  • Human rights concerns
  • Manager training guidance
  • Employment contract reviews
  • Employer risk management

Whether you are hiring a new employee, updating your employment contracts, or considering termination during probation, Libra Law can help you understand your options.

Visit our employment law services page or contact Libra Law to discuss probation periods and employer obligations in Alberta.

This article is for general informational purposes only and does not constitute legal advice. To obtain advice specific to your situation, please consult a lawyer or qualified professional.

FAQs About Probation Periods in Alberta

How long is a probation period in Alberta?

Many Alberta employers use a 90-day probation period, but the probation period should be clearly written into the employment agreement. Employers should not assume probation applies automatically.

Can an employer terminate an employee during probation?

Yes, an employer may be able to terminate employment during probation, but the employer should still consider the employment agreement, employment standards, human rights obligations, final pay, and whether the decision was made for a lawful reason.

Do employees have rights during probation?

Yes. Probationary employees still have workplace rights. Employers must still follow legal obligations related to wages, workplace safety, human rights, and other applicable requirements.

Can probation be extended in Alberta?

A probation period may be extended if the employment agreement clearly allows it and the extension is handled properly. Employers should not extend probation informally or after the original probation period has already ended without legal advice.

Should employers get legal advice before terminating during probation?

Yes, especially if there are human rights concerns, medical issues, performance disputes, unclear contract wording, or uncertainty about final pay and termination obligations.

 

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