How do you manage poor performers?
Having been an internal HR practitioner and now the owner of my own HR consulting business, I have been involved in managing poor performance many times.
A client recently contacted me about a performance matter. They had recently started in the organisation. One of their team members was a poor performer. The client was told by their manager that the employee should be dismissed. The client was concerned about this. Unfortunately the client’s predecessor had not provided any documentary evidence of poor performance. The only documentation was an appraisal which determined that the employee ‘met expectations’. The previous manager avoided addressing the poor performance and the appraisal was clearly less than candid. Dismissing this employee without any evidence or fair procedure was a litigation disaster waiting to happen.
The manager and I peeled back the issues and got to the heart of the problem. To cut a long story short, the employee had personal issues which affected their performance. The manager established expectations and built an effective relationship with the employee. I am pleased to say the employee’s performance is improving.
This example is not uncommon. The previous manager had failed to confront the issue. Admittedly managing poor performance is one of the hardest things a manager does in their career. We worry about the employee’s reactions. We worry about legal risks if we dismiss and we contemplate what will happen to the dismissed employee. However it is important not to procrastinate and to manage performance issues before they escalate.
Do’s and don’ts when managing poor performance
Do document the performance issues
Lack of documentation is not uncommon. For many of us it’s a laborious task so we don’t do it. However documenting the performance issues and the discussions provide an objective and logical assessment of the poor performance. Documenting the performance issue is an invaluable way of organising and reflecting on the issue. It reduces any confusion later on down the track. Naturally, you will also have a better chance of defending any litigation claims.
Do develop polices and follow them
Develop policies that outline fair and clear ways your organisation handles poor performance and dismissal. Follow your policies exactly and be consistent with how you handle every performance issue. Ensure policies are easily accessible to employees. Periodically review policies and ensure employees sign that they have read and understood the policies.
Do manage the issue
If you don’t act then under-performance is accepted as the norm. Team members are resentful especially if required to take on the poor performer’s duties. A culture of mediocrity pervades. The business cost is high as the poor performer hinders productivity and your high performers will quickly look for new jobs.
Address performance issues by open and effective communication. The key is coaching. You have an obligation to help coach the poor performer to success. Therefore it is important to:
- Understand why the employee is not performing. This can be anything from personal issues, lack of motivation, lack of training or lack of skills etc.
- Identify the problem and set expectations.
- Provide assistance which includes for example, increased supervision; mentoring; training etc.
Do follow a fair procedure
Despite your support there are times when an employee’s performance does not improve. In these situations, it is important to implement a formal performance management process similar to the notion of “three strikes” before dismissing. Whilst there is no legal requirement to provide a certain number of warnings, undertaking a formal performance management process will:
- Resolve issues in a timely manner.
- Be a point of reference and documented evidence should an employee make a legal claim.
- Treat employees fairly and provide them with every opportunity to improve.
Step 1: Verbal warning. Whilst you are not providing the warning in writing, it is important to make file note and place this on the employee’s file. Provide the employee with a copy of the written notes regarding what was discussed.
Provide an opportunity for the employee to respond to your allegations or concerns in writing and file it.
Step 2: Written warning. Issue a written warning if performance does not improve. The written warning should outline the consequences of failing to improve.
Step 3: Final written warning. If the employee’s performance fails to improve, issue a final warning in writing. Outline that no improvement in performance will result in dismissal.
At each meeting it is important to:
- Be specific and define what needs to be improved. Don’t rely on gossip, rumours, or hearsay.
- Set out the specific performance problem clearly. Have examples prepared to be able to discuss and provide as much detail as possible.
- Get the employee’s side of the story which may revise the approach or treatment of the situation.
- Provide the employee with an opportunity to bring a support person.
- Together, agree a realistic performance plan (standards, targets or behavioural expectations) and reasonable timeframe. By agreeing a performance plan together, you are holding the employee accountable for their performance.
- Outline what support you will provide to assist the employee improve their performance.
Step 4: Dismissal. If, after taking all the previous steps, the employee’s work performance does not improve, inform them that you intend to dismiss them. Explain how their performance has fallen short. Give the employee an opportunity to state any reasons they believe dismissal should not occur. Take these into account before finalising your decision and address these reasons. If you decide to dismiss, issue the dismissal in writing.
The dismissal meeting – How to plan, prepare and deliver
If you do decide that the employee needs to be dismissed, you need to treat the employee with respect and dignity and ensure you mitigate your risks of legal exposure.
- Review the document trail you have prepared including the personnel file, file notes and associated documents.
- Develop a checklist of actions to be taken prior, during and after dismissal.
- Hold the dismissal meeting away from other team members.
- Don’t arrange the meeting at the end of week as the employee will not have the opportunity to access support services should they be required.
- Decide the best time to have the meeting that results in minimum disruption.
- Prepare a script and be clear on the main points you want to say.
- If the termination is tricky and you feel the employee will make a legal claim, consult a HR expert or employment lawyer prior to dismissal.
- Get to the point as the employee knows what is about to happen. Small talk will appear patronising.
- Be calm and don’t argue if the conversation becomes heated.
- After confirming dismissal, move on to housekeeping issues such as last pay cheque, accrual of annual leave etc.
- Consider how the employee will collect their belongings. Do you want them to leave and return later? Does the employee wish to collect the belongings? Does the employee want you to send the belongings home? Look at each situation case by case.
- Does the employee want to say goodbye to colleagues? Do you wish them to say goodbye? Again look at the situation case by case.
- If you believe the employee is volatile/hostile you may have to escort them off the premises. However it should only be used as a last resort as it’s humiliating and you don’t want to appear heavy handed.
- Cancel the employee’s access to computer systems and access to work premises.
- Provide transportation home e.g. a taxi if required.
Manage the reactions of the dismissed employee
There are several reactions in my experience.
- Even if they are aware of the likelihood of dismissal, the employee can be argumentative and refuse to take responsibility. They can become angry but it is important not to engage in a heated discussion. Remain calm and reiterate the reasons for the dismissal. Offer to give them a moment to collect their thoughts then quickly end the meeting.
- Some employees are emotional and others are quiet. In these circumstances the employee may not be listening. Reiterate your decision and give them time to come to terms with the outcome.
Things not to say in the meeting
Don’t say:
- “I am sure you will find a job”. This is simply not something you can predict.
- “It’s not my decision”. At the meeting you represent the organisation. You are accountable.
- “It’s probably for the best” This will agitate the employee.
- “I feel bad”. You can’t feel as bad as the employee.
- “This is hard for me too”. How can it be?
- “You are not as good as X”. Don’t compare. Remember the dismissal is based on failure to meet the performance plan.
- “It won’t take you long to come to terms with this”. The employee will not share your optimism at this stage.
What to say to team members
Consider the remaining team members. Some feel stressed as they feel they are next. Some feel sad. Perhaps the dismissed employee is a friend. Some feel relieved you have dealt with the issue. After all, they have taken on the work of the poor performer. Give them time to come to terms with what has happened. However you cannot discuss the reasons for dismissal with team members, even if they are aware of the situation. Develop a communication plan. This could be as simple, as “today was XX last day we wish them well in their in personal endeavours”. Then focus on how that employee’s work is handled as well as your plans to replace the dismissed employee.
Summary
There is no way to guarantee that an employee won’t make a claim against you. However following the above steps will mitigate the risk and assist you in defending claims. Furthermore, team members will respect you for the way you handled the poor performance and the dismissal.
By Angela Godfrey
——–