If an employee is underperforming, an employer may commence and implement a process referred to as performance management. Performance management involves evaluating and managing the performance of an employee with the objective of ensuring it is consistent with the businesses’ expectations and standards as well as any specifically applicable to the employee.
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Managing Employee Performance
The process of performance management generally involves the following.
- Identifying performance standards.
- Identifying any factors contributing to the employee’s poor performance.
- Meeting with the employee to review and offer feedback about their performance.
- Counselling employees where their performance or conduct is poor.
- Disciplining employees where there is continued poor performance or conduct, or where such performance or conduct is unacceptable.
Call us 02 6188 3634Reasonableness
Performance management is often implemented by employers as an avenue to facilitate the dismissal of an employee. However, in our experience, this is what often sees employers exposed to liability for a range of claims.
It is important that any performance management action is carried out in a lawful and fair manner so as to not give rise to any basis of bullying or harassment. Considerations for determining whether the action is reasonable may include:
- any circumstances which caused the need to commence performance management;
- how the performance management process is carried out; and
- any ramifications following the performance management.
Checklist
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01
Have you specifically and unambiguously defined the performance issue/s ensuring that these are not subjective in nature?
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02
Have you identified and reasonably considered any factors that are outside of the employees’ control, which have contributed to the employee’s performance?
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03
Have you provided the employee with written notification of the performance issues?
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04
Have you met with the employee and discussed the performance issues, and the potential consequence of dismissal should they not resolve the issues?
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05
Have you provided the employee with a clear outline of the expectations they are required to meet, and the next steps involved in the process i.e. creating a performance improvement
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06
Have you considered any modifications or flexible working arrangements the employee has requested?
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07
Have you provided the employee with clear and regular feedback on their performance including strategies to aid the employee in improving their performance?
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08
Have you provided the employee with a genuine, fair, and reasonable opportunity to improve their performance i.e. 3 months?
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09
If the employee has failed to improve their performance or you believe they have given rise for dismissal, have you directed the employee to attend a meeting and provided them with an opportunity to bring a support person and provide a response?
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10
If you are seeking to dismiss the employee; have you considered the employee’s response?
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11
If you are seeking to dismiss the employee; have you provided the employee with a letter referring to the performance related issues?
Performance managing an employee can be a tricky and complex process due to the nature of the issues and circumstances which apply to each specific employee. The above checklist is merely a general summary of the process and there should only be used as such.
The above checklist does not cover the intricate considerations which are usually warranted by an Employer when performance managing an employee. Protecting your business from any potential liability i.e. unfair dismissal claims involves an informed and diligent approach. Contact our team for assistance with managing an underperforming or difficult employee.
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