HR Support And Advisory
The US uses to at-will employment. Canada does not have it.
Probation periods exist in Canada, but they are not a free pass to terminate without consequence. Provincial rules govern how long probation can last, what entitlements the employee accumulates during it, and what happens if you end the relationship before it’s over.
Getting probation wrong is one of the most common mistakes international employers make in Canada – and it can be expensive.
What Probation Means In Canada
A probation period in Canada allows an employer to assess fit before the full weight of termination entitlements applies. During probation, statutory termination notice requirements are typically reduced or waived. However, this does not mean you can terminate without obligation.
How Provincial Rules Differ
- Ontario – The ESA allows a probation period of up to three months, during which termination notice is not required. However, if the employment contract does not include a probation clause, the employee may have common law notice rights from day one.
- British Columbia – No statutory probation period exists under the ESA. Employees are entitled to termination notice after three consecutive months of employment. A contractual probation clause can limit common law notice, but must be carefully drafted.
- Alberta – Employees are entitled to termination notice after 90 days of employment. Probation clauses in contracts can modify this, but must be clear and enforceable.
- Québec – The Labour Standards Act provides no termination notice for employees with less than three months of continuous service. However, Québec’s Civil Code may still impose reasonable notice obligations.
Common Mistakes We See
- No Written Probation Clause – If the employment contract does not explicitly state the probation period and its terms, Ontario courts have held that common law notice applies from the start.
- Probation Periods That Are Too Long – A 6 month probation in a jurisdiction with a 3 month threshold may not be enforceable.
- Assuming Probation Means At Will – Even during probation, human rights protections, workplace safety obligations, and benefit entitlements may apply.
- Using a US Style Probation Template – Courts assess enforceability based on Canadian law, not the employer’s home jurisdiction.
How We Handle It
Every employment contract we draft includes a probation clause that is specific to the employee’s province and compliant with the applicable employment standards legislation. We ensure the clause is enforceable, clearly worded, and protects your interests while meeting Canadian legal requirements.
Need Help Getting Probation Right?
Book a call.
We’ll draft a contract that protects you from day one.