ST PHOTO: SHINTARO TAY
SINGAPORE – An employee on probation is entitled to notice or salary in lieu of notice even if the employer decides not to confirm him, the High Court has held.
The court said a probation period does not automatically turn an employment contract into a fixed-term contract that expires when the probation ends.
Whether an employee is entitled to notice depends on the language and construction of the employment contract and the circumstances under which it was made, said Justice Sushil Nair from the Court of Appeal.
In a judgment released on Aug 24, he said a contract that provides for a probation period is not automatically a contract of service for a specified period under the Employment Act.
Law firm Nanyang Law had appealed against a decision by the Employment Claims Tribunals (ECT) involving its former staff member Ghui Meng Yang.
Ghui, who was paid $3,000 a month, started work as a paralegal at the firm on April 10, 2023.
His letter of appointment said he had to undergo three months’ probation, which was due to end on July 9, 2023.
The employment terms stated that the probation period was meant to establish his suitability for the job. His performance would be reviewed and the firm could extend the probation if necessary.
Crucially, the clause also stated that either side could terminate the contract during probation by giving one month’s written notice, without having to give a reason.
On July 7, two days before his probation was due to end,...
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