What are the standard Probation Periods in Brazil?

In Brazil, the probation period, or "período de experiência," plays a crucial role in the employment process, allowing both employers and employees to evaluate fit and performance.

Probation Period Guidelines

Duration: The maximum length for a probation period in Brazil is 12 months. During this time, both the employer and the employee have the opportunity to assess their compatibility and performance.
Automatic Trial: In practice, the first year of employment is typically considered as a trial period. This means that for the initial 12 months, the employment is treated as a probationary period, allowing for ongoing evaluation.
Purpose: The primary purpose of the probation period is to test the employee’s performance and ensure they meet the expectations of the role. It also allows employees to assess if the organization and its work environment are a good fit for them.
Termination: If an employee is terminated during or at the end of the probation period, no severance pay is required. This provision offers flexibility for both parties in case the employment relationship does not work out.

Horizons' Recommendation

Horizons recommends using unlimited employment agreements (EAs) with the probationary period feature. The unlimited EA provides several advantages:

Flexibility and Evaluation: The unlimited EA allows for a full 12-month probation period, offering ample time for both parties to evaluate the working relationship comprehensively.
No Severance Requirement: Termination during the probation period does not entail severance payments, reducing financial risks for employers while ensuring fairness for employees.
Long-Term Stability: By opting for unlimited EAs, employers can establish a more secure and stable employment relationship, aligning with long-term business goals and employee career development.

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Brazil

What are the standard Probation Periods in Brazil?

Probation Period Guidelines

Horizons' Recommendation