Is such a 'probationary period' a common thing? Seems like it would be very inefficient since the majority of the hiring cost is up-front.
As a candidate, I would be attracted to an offer from a company saying 'we like you, you're hired!' much more than one saying 'you can have this job for now, but we might take it away in 3 months if we don't like you.'
Its common in many european countries. After the probation period ends, employee protection laws kick in, e.g. you cannot simply fire an employee after that period.
IMO it's a good way to learn about each other without the negative consquences for both parties. (Not only the employer has a disincentive to fire after the probation period: Leaving as an employee in Germany means you're blocked from the higher variant of unemployment benefits.)
It's how things work in Ontario, Canada, at least. Every single job I've ever had had 3 month probation periods. It was always great as a student finishing the probation period right around the time you were going to quit to go back to school.
It's just standard here, nobody is shocked by it. It's beneficial to both the employer and the employee. Don't like the company? You can leave with an hour's notice.
I've never heard of a UK company offering any professional role (software or otherwise) that doesn't have a probationary period written into the standard contract.
It is very common in my experience, and in some places entrenched in law if I recall correctly. It's also not uncommon for benefits to be contingent on this period.
In the US I would never consider any such job. I've got a family to feed and I can't dick around with a "maybe you'll have a job in 3 months, maybe you won't" type job.
I nearly quit a job I had when they suggested doing that to new hires. I knew immediately that we'd never get any good candidates in that way, as the good candidates will have legitimate offers from other companies where they weren't "on probation."
If labor laws in the US actually protected normal workers, it might make sense, but since they don't, it's entirely favorable to the employer and unfavorable to the employee. Right now, if I don't like a job, I can still quit whenever I want, so that's no loss.
Since a majority of the U.S. is at-will employment anyway, a formal probationary period isn't needed because it's built in to the law. (Unlike some other countries where it becomes much more difficult to fire an employee, as noted in other comments.)
It's common in Brazil too, but with the exception of companies who abuse it to hire temp people every 3 months, you won't lose your job unless you give a reason to be fired.
As a candidate, I would be attracted to an offer from a company saying 'we like you, you're hired!' much more than one saying 'you can have this job for now, but we might take it away in 3 months if we don't like you.'