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CONTRACT FOR 

PROBATIONARY EMPLOYMENT

KNOW ALL MEN BY THESE PRESENTS:

This CONTRACT FOR PROBATIONARY EMPLOYMENT is entered into by and between:

ABC Company, a corporation duly organized and existing under and by virtue of the laws of the
Republic of the Philippines with principal place of business at Address of the company,
represented herein by its President, MR./MS. ____________________, hereinafter known as
EMPLOYER,

-and-

________________________, of legal age, and a resident of ____________________ ,


hereinafter called the PROBATIONARY EMPLOYEE,

WITNESSETH THAT:

WHEREAS, the EMPLOYER is in need employee who will start out as a probationary employee;

WHEREAS, the PROBATIONARY EMPLOYEE seeks employment, applied for and expressed
willingness to join the EMPLOYER as its temporary worker;

WHEREAS, the agreement shall be based on probationary status for a maximum of six (6)
months where regularization of the employee shall be conditioned upon her meeting the
standards made known to her at the time of her engagement;

THEREFORE, the parties hereby covenant:

COMMENCEMENT OF PROBATIONARY EMPLOYMENT

1. The PROBATIONARY EMPLOYEE is engaged as ____________________________


with duties and responsibilities set forth hereunder subject to provisions on pre-
conditions, meeting of performance standards and other lawful causes for termination of
relationship under the law;
2. The PROBATIONARY EMPLOYEE shall report for work on or before 8:00 a.m. and
leave not earlier than 5:00 p.m., Monday to Saturday. Any entry later than 8:00 a.m. shall
be reckoned as tardy and any end of shift earlier than 5:00 p.m. shall be considered
undertime, both of which shall be subject to corresponding salary deduction and
disciplinary action;
3. The hiring date of the PROBATIONARY EMPLOYEE, which is the commencement of
this agreement shall be on __________. The probationary status shall be for a period of
maximum of six (6) months or until _______________ unless sooner terminated for
cause or failure to qualify as set forth hereunder;
4. The probationary employment shall be conditioned upon the following:
 Accuracy of the information provided by the PROBATIONARY EMPLOYEE either
in writing or verbally;
 Truthfulness of any testimonial submitted in writing;
 Undertaking that the PROBATIONARY EMPLOYEE is free from any contractual
restriction or employment relationship;
 Medical fitness to be employed;

5. Any violation of the provisions of paragraph 4 hereof and its subsections shall be deemed
breach of the conditions for probationary employment and is ground for the automatic
revocation of this contract;
6. In the event of revocation of this agreement on account of violation of Section 4 and its
subsections, the employee shall reimburse the EMPLOYER of any and all damages
arising from falsity or untruthful information and sickness at an amount to be determined
by the EMPLOYER but shall not be less than three (3) months salary equivalent. Pending
determination of the final amount, the PROBATIONARY EMPLOYEE authorizes the
EMPLOYER to withhold whatever earned salary to answer for any such liabilities and to
apply the same as soon as the final amount is duly determined;

EXTENSION OF PROBATIONARY EMPLOYMENT

7. During her probationary employment, the PROBATIONARY EMPLOYEE shall


undergo monthly evaluation of his performance based on reasonable standards made
known to him at the time of engagement;
8. In the event that the PROBATIONARY EMPLOYEE fails to meet the standards
mentioned, her employment shall be terminated on the ground of failure to qualify. The
termination shall take effect after seven (7) calendar days from receipt by the
PROBATIONARY EMPLOYEE of the notice of failure to qualify;
9. The EMPLOYER may extend the probationary status of the PROBATIONARY
EMPLOYEE for another period set forth in the contract of extension subject to which the
PROBATIONARY EMPLOYEE expressly agrees. The extension shall not be construed
as an extension of satisfactory service but a humanitarian gesture for the benefit of the
PROBATIONARY EMPLOYEE and to give him a chance to perform and meet the
EMPLOYER’s standards;

JUST AND AUTHORIZED CAUSES FOR DISMISSAL OR TERMINATION

10. In addition to failure to qualify, the PROBATIONARY EMPLOYEE may also be


dismissed from service for just causes found under Article 297 of the Labor Code, as
amended and other applicable provisions of the law;
11. The employment may likewise be terminated for authorized cause under Articles 298 and
Article 299 of the Labor Code, as amended or any other relevant provisions;
12. Further, the employment may be terminated in the event of violation by the
PROBATIONARY EMPLOYEE of the provisions of the Code of Conduct hereto
attached as Annex “A”. The PROBATIONARY EMPLOYEE undertakes that she has
read and understood the provisions therein and were fully explained to her in language
and/or dialect that she understands and agrees to abide thereto;
13. Employment may likewise be validly terminated if the business operation has ceased on
account of a law, rules or regulations ordering the cessation of the company;
14. The employment may likewise be suspended due to causes arising from lack of raw
materials, lack of customer order, declining sales, among others as determined by the
management;

PLACE OF POSTING

15. The initial place of posting of the PROBATIONARY EMPLOYEE shall be in the
principal office of the EMPLOYER. However, the PROBATIONARY EMPLOYEE
agrees to be assigned anywhere in the Philippines when the exigencies of business
require or when required by the project secured by the EMPLOYER;
16. The place of work may change when the EMPLOYER moves to another principal place
of business and in such case, the PROBATIONARY EMPLOYEE agrees to relocate;
DUTIES AND RESPONSIBILITIES

17. The PROBATIONARY EMPLOYEE shall perform duties and responsibilities hereto
attached as Annex “B,” and such other responsibilities that may be assigned relevant
thereto;
18. In addition, the PROBATIONARY EMPLOYEE shall observe the law, rules and
regulations, standards of fairness, justice, good customs and fair play in the discharge of
her duties;
19. In the performance of her duties, the PROBATIONARY EMPLOYEE shall be evaluated
to determine her fitness for the position as a regular worker. The following standards of
weight shall be used to ascertain whether she would qualify as a regular employee:

 Performance 30%
 Punctuality/Attendance 20%
 Behavior 20%
 Teamwork 20%
 Initiative 10%

20. The total weight is 100%. If the PROBATIONARY EMPLOYEE receives a total weight
below 85% it shall be deemed as failure to meet the standards which may be ground for
dismissal based on failure to qualify;
21. Performance metrics representing 30% of the total weight shall be based on the
following:

 Business knowledge 20%


 Output/production 50%
 Resourcefulness 20%
 Teamwork 10%

22. Punctuality/attendance shall be 20% subject to deduction of 3% for every instance of


tardiness and 4% for every instance of absence. Absence due to medical reason shall be
supported with notarized medical certificate and for other reasons a sworn statement of
the fact of absence and affidavits of disinterested persons. Failure to produce said
documents and records within two (2) days from absence shall be deemed unauthorized
absence;
23. Behavior shall be 20% subject to deduction for every citation or violation of company
rules, to wit:
 Written warning       –           less 2%
 Stern warning        –           less 5%
 Written reprimand –           less 6%
 1-day Suspension –           less 7%
 Longer suspension –           less 10%

24. The PROBATIONARY EMPLOYEE is expected to be a team player and work in


coordination with other employees. A teamwork rating shall be made by his immediate
superior based on the result of the latter’s interview or assessment of the feedback of
other employees or team members, as the case may be;
25. The rating for Initiative shall be given by the immediate superior based on how the
PROBATIONARY EMPLOYEE acts on tasks on his own without any express direction
by the superior bearing in mind the goals and objectives of the company;
26. Based on the above standards, the PROBATIONARY EMPLOYEE shall be rated
monthly. If he fails to meet the standard in a single month, it shall be considered as
ground for termination for failure to qualify unless extended for another month by the
EMPLOYER for humanitarian consideration. The extension shall not be construed as
proof of meeting of standards, rather as an act of compassion;

COMPENSATION AND BENEFITS

27. The PROBATIONARY EMPLOYEE shall receive a salary of SIX HUNDRED EIGHTY
PESOS (PHP680.00) per day which will be paid every 15th and 30th or 31st, as the case
may be, of each month subject to the following payroll cut-off period;
28. For the payroll period of 15th of the month, attendance cut-off shall be until the 9th of said
month. While for the payroll period of 30th of the month, the cut-off shall be from the
10th of the month until 24th thereof;
29. The salary of the PROBATIONARY EMPLOYEE shall be deducted an amount
representing her contribution to social legislation benefits such as Social Security System
(SSS), Pag-Ibig and Philhealth. He is likewise entitled to 13th month pay provided she has
served at least one (1) month of service;
30. The compensation and benefits are customized for each employee. Thus, the
PROBATIONARY EMPLOYEE undertakes to treat with strict confidentiality her
compensation and benefits information. He shall refrain from discussing with anyone
whether connected with the EMPLOYER or not. Violation of this prohibition shall be
considered as ground for disciplinary action and shall affect the behavior rating stated
above;

TRAINING EXPENSES

31. The PROBATIONARY EMPLOYEE understands and acknowledges that during the
probationary period, the EMPLOYER is subjecting him to training relating to product
knowledge, operation, skills, strategies, techniques using materials, documents,
equipment, device, technology, among others which the EMPLOYER has invested and
which the latter spent for incurred expenses;
32. Thus, the PROBATIONARY EMPLOYEE shall remain with the EMPLOYER during
the entire probationary period of six (6) months to fully satisfy the cost of training. In
case of resignation, the PROBATIONARY EMPLOYEE shall notify the EMPLOYER in
writing at least thirty (30) days prior to the effective date thereof by serving in person to
his immediate superior a hard copy of the resignation letter. The thirty (30) days shall be
counted from the actual receipt of said hard copy document;
33. If the PROBATIONARY EMPLOYEE resigns without observing the 30-day prior notice
she shall reimburse the EMPLOYER the amount equivalent to three (3) months his
monthly salary as liquidated damages. To effect the payment, the PROBATIONARY
EMPLOYEE authorizes the EMPLOYER to withhold whatever salary and/or benefits
earned and apply the same against the liability;
34. This written contract and its annexes constitute the entire agreement between the parties
binding between them and their assigns, heirs and successors-in-interest;

CONSENT UNDER DATA PRIVACY LAW

35. By providing personal information and sensitive personal information, the employee
acknowledges and recognizes the exclusive right of the company to utilize the data for
employment purposes and for other relevant or incidental uses. The employee also
acknowledges that all such additional information, records, files, among others, shall
form part of the exclusive use of the company and he consents to the use thereof. These
acts of the company are not and shall not be deemed as violation of data privacy law,
human relations, or any breach of personal information or sensitive personal information.
Consent hereof is likewise given when subsequent data and information are shared in the
event of personnel movement, such as lateral transfer, promotion, change of status, etc.
He renders the company, its officers, directors, stockholders, employees, agents, and
representatives free and harmless from any and all liabilities arising from the use of said
data, records, or information.

IN WITNESS WHEREOF, the parties have hereby affixed their respective signature this ____
day of _______, 20____, in the City of ____________.

For the EMPLOYER:

_______________________           ____________________________
President                                                PROBATIONARY EMPLOYEE

Signed in the presence of:

_______________________        ______________________

ACKNOWLEDGMENT

Republic of the Philippines

City of (_______________) S.S.

BEFORE ME, a notary public for and in the City of ______________, the parties appeared and
presented their respective identification cards as competent proof of identity and are known to
me and to me known to be the same persons who executed the foregoing Contract for
Probationary Employment consisting of seven (7) pages, including this page where the
Acknowledgment is written and affirmed to me that the same is their own, free, voluntary act and
deed.

WITNESS MY HAND AND SEAL, this _____ day of __________, 20____.

Doc. No.: _________;


Page No.: _________;
Book No.: _________;
Series of 20_____

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