Trial service period: Overview, definition, and example

What is a trial service period?

A trial service period refers to a predetermined timeframe during which an employee’s performance, fit for the role, and overall suitability for the job are evaluated. It is often implemented at the beginning of an employee’s employment, allowing both the employer and the employee to assess whether the job is a good match before the employment becomes permanent. During this period, the employer may monitor the employee’s performance and ability to meet job requirements, while the employee evaluates whether the job, company culture, and work environment are suitable for them.

Trial service periods typically range from a few weeks to several months and can vary based on the job position and company policies. At the end of the trial period, both parties may decide to either continue the employment relationship, extend the trial period, or terminate the employment if the fit is not ideal.

Why is a trial service period important?

A trial service period is important because it provides both the employer and the employee with a structured opportunity to evaluate whether the working relationship is mutually beneficial. For employers, it is an effective way to ensure that a new hire meets the expectations of the job and can integrate well into the team before offering long-term employment. For employees, the trial period provides a chance to determine if the job aligns with their career goals, skills, and values, reducing the likelihood of premature resignations or dissatisfaction.

In addition, trial service periods can help employers identify training needs or any potential gaps in skills, allowing them to address these issues early in the employment process. It can also serve as a less formal and less costly way to assess new employees compared to a full hiring decision.

Understanding the trial service period through an example

Suppose a software company hires a new project manager for a six-month trial service period. During this time, the project manager is expected to handle specific projects, interact with the team, and contribute to company goals. Throughout the trial period, the company will assess the project manager’s work performance, leadership skills, and ability to meet deadlines and handle the responsibilities of the role.

At the end of the six months, if the project manager’s performance meets the company's standards, they will be offered a permanent position with benefits and other long-term employment terms. If the company feels the employee is not a good fit, they may end the employment at the conclusion of the trial period or extend the period for further evaluation.

Example of a trial service period clause

Here’s how a trial service period clause might appear in an employment contract:

“The Employee’s employment with the Company will be subject to a trial service period of [X] months, beginning on the start date of employment. During this trial period, either party may terminate the employment relationship with [Y] days’ notice. The Company will evaluate the Employee’s performance, suitability for the role, and integration into the team. Upon successful completion of the trial period, the Employee’s position will be confirmed as permanent, subject to the terms and conditions of the Company’s standard employment agreement.”

Conclusion

A trial service period is a valuable tool for both employers and employees, allowing both parties to assess the suitability of the employment arrangement. It provides an opportunity for employers to evaluate an employee’s performance, fit within the team, and long-term potential. For employees, it offers a chance to assess whether the job meets their needs and expectations. By clearly defining the trial period’s terms and objectives, businesses can ensure a smooth and successful transition into full-time employment, helping both the employee and the company determine if the partnership is a good match.


This article contains general legal information and does not contain legal advice. Cobrief is not a law firm or a substitute for an attorney or law firm. The law is complex and changes often. For legal advice, please ask a lawyer.