Question 6: Normally, upon the beginning of a new employment, Employers and Employees will sign probationary contracts or offer letters with the probationary period based on the type of LC that will be signed later on. Upon the end of the probationary period, if Employees satisfy the job requirements, then LCs will be signed. During the probationary period, if Employers realise that Employees are not qualified, they may notify Employees of the termination of the probationary period immediately. However, if Employers and Employees sign LCs at the beginning of the employment, in which a probationary period is specified based on the type of LC, and Employers realise that Employees are not qualified during the probationary period, can Employers terminate the probationary period? Or is this considered as a case where LCs have been signed so Employers must have a legitimate reason as required by labour law to terminate LCs as well as comply with the provision on notification prior to the unilateral termination of LCs?
The applicable labour law does not expressly stipulate if at the beginning of a new employment Employers are allowed to sign LCs in which a probationary period is specified. However, pursuant to Article 29.1 of the Labor Code, only when the probationary period ends and Employees can meet the requirements agreed upon by the parties…