Probation Review Malaysia
6 Steps for Employers
A probation review should help an employer make a reasoned decision: confirm employment, allow a justified further assessment period, or consider ending employment after a proper review. Start early, assess the role’s requirements, and record the employee’s explanation before recommending an outcome.
The scheduled end of probation is a review milestone. It should not be treated as the reason for dismissal. A useful file shows the expectations, evidence, feedback, support, and improvement considered.
A practical review framework
Use this sequence for each important responsibility or performance concern. Keep the appointment letter, job description, work records, and review notes together.
Expectation → Evidence → Employee Explanation → Support Given → Improvement → Recommendation
| Review field | What to record |
| Expectation | The reasonable job requirement or KPI, expected standard and when it was explained. |
| Evidence | Dated work samples or specific incidents showing the actual result and impact. |
| Employee explanation | The employee’s account, including disputed facts or missing resources. |
| Support given | Instructions, feedback, coaching, training and resources provided, with dates. |
| Improvement | What changed after feedback and what remains below the required standard. |
| Recommendation | The proposed outcome and reasons linked to the evidence. |
1. Check the appointment letter.
Check the probation dates, review arrangements, confirmation and extension clauses, and notice provisions. Check applicable policies and any collective agreement too. Assign the manager and HR reviewer, and schedule the meeting early enough for a considered decision before the end date.
2. Set clear expectations early.
Choose a manageable set of job-related criteria such as accuracy, quality, timeliness, and completion of assigned duties. Explain how each will be measured and what support is available. Record this discussion and hold progress reviews during probation; avoid introducing new standards only at the final meeting.
Gather evidence and hear the employee.
3. Collect specific performance evidence
Replace labels such as “poor attitude” or “not suitable” with observable facts. For each concern, record the date, assigned task, expected standard, actual result, feedback, employee explanation, support provided, and subsequent performance. Include achievements and relevant context as well as shortcomings.
The following illustrative entries show the level of detail managers should capture. They are examples of records, not findings about any employee.
| Record | Example of useful evidence |
| Date and assigned task | 5 August: prepare the weekly stock reconciliation by 3 pm. |
| Expected and actual result | Check all variances against source records. The report was submitted at 4.20 pm with three variances unexplained; retain the report and source records. |
| Feedback and explanation | 6 August: manager discussed the omissions. Employee said system access was delayed; check the access record and note any disputed facts. |
| Support provided | 7 August: access restored; manager demonstrated the reconciliation process and supplied a checklist. |
| Later performance | 14 and 21 August: reports were on time; one unresolved variance remained on 21 August. Retain both reports and the follow-up notes. |
For a behaviour concern, describe the specific conduct, context, and effect on work. For example, record which instruction was not followed, when it was given, and the employee’s response. Verify the facts before concluding.
4. Hold a two-way review meeting
Explain the purpose of the meeting and share the concerns and supporting examples so the employee can respond meaningfully. Discuss achievements, each shortcoming, unclear instructions, workload, and access to tools or training. Record explanations accurately, including disagreement with the manager’s account.
Identify practical improvement requirements, support, the person responsible, and a follow-up date. Send a written summary and invite corrections. An acknowledgement of receipt should not be described as agreement with the findings.
If the evidence is incomplete or the employee raises a credible issue, check it before finalising the recommendation. Distinguish an inability to meet performance standards from an allegation of misconduct; they may require different processes.
Make and communicate the decision
5. Assess the appropriate outcome
Use the matrix below to guide the recommendation. It is a practical HR framework, not an automatic decision rule. HR should check the evidence, contractual position, and applicable process before approval.
Probation Decision Matrix
| Finding | Recommended HR direction |
| Meets expectations | Confirm employment, subject to the approval process. |
| Generally satisfactory but specific areas need further observation | Consider a defined extension, subject to a valid contractual basis or agreement where required. |
| Deficiencies identified but no reasonable opportunity or support to improve | Provide a documented improvement period and support before making the final decision; resolve the contractual basis for any extension. |
| Persistent material shortcomings despite feedback, support and opportunity | Consider non-confirmation involving termination only after reviewing the reasons, evidence, employee explanation, and applicable process. |
| Misconduct issue | Handle separately through the appropriate disciplinary process. |
For an extension, state the reason, duration, review date, expected improvements, and support in writing. Avoid an open-ended extension or repeated extensions without a clear assessment purpose.
If ending employment is proposed, the file should explain why reasonable role requirements were not met, the evidence supporting that conclusion, what was communicated, what opportunity and support were provided, and how the employee’s explanation was considered. The recommendation should be reviewed before the outcome letter is issued.
6. Communicate the decision and update records
Issue the approved written outcome with its effective date. A confirmation letter should state any approved changes; a salary increase depends on the employment terms and approved decision. An extension letter should set out the assessment plan. If employment ends, state the actual reasons and check notice or payment in lieu and final entitlements under the applicable law and contract.
Update the personnel file and notify payroll of approved changes. Retain the evidence, meeting notes, employee response, recommendation and approval securely, with access limited to authorised staff.
Probation Review Checklist
Before the review
☐ Appointment letter and relevant policies checked • ☐ Expectations and KPIs identified
☐ Previous feedback gathered • ☐ Supporting evidence compiled
☐ Employee invited to the review
During the review
☐ Achievements discussed • ☐ Shortcomings specified with supporting facts
☐ Employee explanation recorded • ☐ Support and training discussed
☐ Improvement requirements identified
After the review
☐ Manager recommendation documented • ☐ HR review completed
☐ Decision approved • ☐ Written outcome issued
☐ Payroll and personnel records updated
The Malaysian legal position
Probationary status does not remove protection against dismissal without just cause or excuse. The Industrial Relations Act 1967 expressly recognizes unfair dismissal of probationers in its Second Schedule. A performance review should therefore establish the justification for the decision; compliance with notice terms alone does not answer that issue.
Under Section 20, a worker who considers a dismissal unjust may make a written representation for reinstatement to the Director General of Industrial Relations. JPPM states that it must be filed within 60 days of dismissal and may also be filed during the notice period.
For employment governed by the Employment Act 1955, sections 12 and 13 address notice and payment in lieu; section 14 addresses misconduct action after due inquiry. The Act applies in Peninsular Malaysia and is extended to Labuan. For Sabah and Sarawak, check the respective labor ordinances. The framework and checklist above are recommended HR practices, not a statutory six-step procedure.
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sources
Industrial Court Malaysia — Industrial Relations Act 1967, Second Schedule paragraph 2
JPPM — Dismissal under Section 20 and current filing guidance
JTKSM — Employment Act 1955, sections 12 to 14