Not only that but you run into the very expensive reason why literally every large company has a lengthy documented process for firing (outside of layoffs of course, lol):
Honestly, european common approach of "trial period" is better for this.
Details vary, but for example in Poland you can (simplified case):
1. Hire for fixed-length term of a year
2. First 3 months of that are "trial period" - you have minimal paperwork for firing during that time, effectively no chance of lawsuit (if someone brings a lawsuit that gets far enough for any paperwork to reach you, you have much worse things to take care of internally)
3. After the fixed-length period, if you're happy with the employee and want him to continue you switch to "permanent" contract. If not, the term lapses and that's it.
The problem (I’m not in Poland but I’m in Berlin, which also has strict rules about firing long term employees) is that senior talent has a lot of choice of where to go to so why should they bother with a place that would only give them a 1-year contract at first?
Details vary, but for example in Poland you can (simplified case):
1. Hire for fixed-length term of a year 2. First 3 months of that are "trial period" - you have minimal paperwork for firing during that time, effectively no chance of lawsuit (if someone brings a lawsuit that gets far enough for any paperwork to reach you, you have much worse things to take care of internally) 3. After the fixed-length period, if you're happy with the employee and want him to continue you switch to "permanent" contract. If not, the term lapses and that's it.