
Sample Termination of probationary employment
₱1,750.00
The template provided will assist employers / companies in properly and validly executing the termination of probationary employees. (Note: There is a sample Notice of Termination for Failure to Qualify / of Probationary Employee below this guide)
Termination of probationary employment is a technical matter under the Philippine law. There are specific rules applicable only to probationary employees which if confused with all others may cause issues to the employer or the company.
Under Art. 296 of the Labor Code, as amended, a probationary employment shall not exceed six (6) months from the date the employee started working, unless it is covered by an apprenticeship agreement stipulating a longer period. The services of an employee who has been engaged on a probationary basis may be terminated for a just cause or when he fails to qualify as a regular employee in accordance with reasonable standards made known by the employer to the employee at the time of his engagement. An employee who is allowed to work after a probationary period shall be considered a regular employee.
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Section 6 (d) of the Implementing Rules of Book VI, Rule I of the Labor Code provides that there is probationary employment where the employee, upon his engagement, is made to undergo a trial period during which the employer determines his fitness to qualify for regular employment based on reasonable standards made known to him at the time of engagement.
In the case of Agustin vs. Alphaland Corporation, [G.R. No. 218282, September 09, 2020] the Supreme Court (SC) held that in all cases of probationary employment, the employer shall make known to the employee the standards under which he will qualify as a regular employee at the time of his engagement. Where no standards are made known to the employee at that time, he shall be deemed a regular employee.
Hence, to safely terminate a probationary employee, there has to be a probationary employment contract where it is clearly stated that the employer / company has made known to the employee the standards under which he will qualify as a regular employee at the time of his engagement. Further, that failure on his part to meet such standards, the employment shall be terminated for failure to qualify.
Reasonable standards shall refer to those measures which the employer will use as basis for qualification. These may include standards on performance, behavior, cooperation, punctuality, etc.
Assuming that these standards are present and there are valid stipulations in the Contract for Probationary Employment, the sample Notice of Termination for Failure to Qualify (template) will serve the purpose
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This contains the sample terms, conditions, clauses, and provisions of the contracts described and the forms included.
See the Description below to view the Contents of this soft copy template.
One of the challenging aspects of monitoring the performance of a probationary employee is the establishment of performance ratings, metrics, or measures.
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Performance metrics representing 30% of the total weight is based on Business Knowledge, Output/Production, Resourcefulness, and Teamwork.
Punctuality/attendance is one of the tricky areas to measure. The template though considers this as already 100% of its weight. It is given 20% weight subject to deduction of 3% for every instance of tardiness and 4% for every instance of unauthorized absence.Behavior is another matter of the same level of difficulty. To rate this, it is already pegged at 20% subject to deduction for every citation or violation of company rules, such as:
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Outstanding Performance (OP) – Highest performance rating Reserved for individuals who continually achieve outstanding results and utilize their abilities in making contributions beyond their primary areas of responsibility.
Commendable Performance (CP) – Performance is above the expected level for the position making contributions beyond expectations in completion of assignments.
Effective Performance (EP) – Performance consistently meets supervisory expectations of the position requirements in making a valuable contribution to the overall objectives of the Group.
Marginal Performance (MP) – Performance does not consistently meet normal expectations and position requirements, improvement is required.
Unacceptable Performance (UP) – Performance fails to meet normal expectations and position requirements. Termination should be considered unless improvement is demonstrated in a short period of time.The buyer can Print Sheet 1 of the Performance Review Template Excel File entitled “Proby Metrics” Sheet as form in Performance Review where ratings shall be filled in. This will be used to tally the evaluation results based on performance metrics.
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