Having employees perform to the best of their ability is critical to building and maintaining a successful organisation. While recruitment and onboarding are essential first steps, effective performance management is what ensures employees continue to grow and deliver results aligned with business objectives.
From the beginning, introducing a probationary period for new employees gives employers the opportunity to monitor performance and ensure the individual is a good fit for the role. However, performance review should not stop there. Regular one-to-one check-ins and more formal appraisals help maintain high standards, clarify expectations, and provide opportunities for growth.
At times, employers may face situations where an employee isn’t meeting the required standards. Rather than avoiding the issue, employers must take proactive steps to identify the root cause and offer support where possible. This is where a clear and fair performance management process comes into play, which should be started in a timely manner.
Unlike disciplinary procedures, which are designed to deal with misconduct, performance management is focused on supporting employees who are willing but unable to meet expectations – often due to skill gaps or a lack of experience, which can be developed.
It’s important to recognise that an employee’s performance may be affected by underlying health conditions, including mental health issues or disabilities. Employers should approach such situations with sensitivity and ensure any potential health-related factors are properly explored. Where health concerns are identified, it’s essential to consider any legal obligations under equality and employment law. In such cases, employers are strongly advised to seek specific legal advice before taking action.
Building a robust performance management process
A dedicated performance management policy should be accessible to all staff and clearly distinguish itself from disciplinary procedures. The process typically involves several stages:
1. Informal action
Many issues can be resolved informally. When underperformance is identified early, managers should discuss expectations, provide feedback, and explore whether additional support or training is needed. Setting clear improvement targets and reviewing progress within a short timeframe, usually four weeks, often leads to positive results without the need for formal intervention.
2. Investigation
If concerns persist, a more structured investigation may be required. Employers should gather specific examples and evidence of the underperformance. It’s important to establish whether the employee had a clear understanding of expectations and sufficient support. If they didn’t, another informal stage may be appropriate before moving to formal action.
3. Performance improvement plan (PIP)
If formal action is necessary, the first step is usually a PIP, often accompanied by a first written Wwrning. This outlines:
- Timescales for improvement;
- Targets the employee must meet;
- Support measures, such as training or mentoring; and
- Feedback mechanisms to review progress.
Employees should be allowed to respond to concerns and should always have the right to be accompanied at formal meetings. Check your policies to see whether the right to be accompanied extends to informal meetings.
4. Final written warning
If the employee fails to meet PIP targets or additional performance issues arise, a Final Written Warning may be issued. As before, this should follow a formal meeting and clearly lay out the remaining expectations and possible consequences, including dismissal.
5. Dismissal
Where no improvement is seen, and all reasonable alternatives have been considered (e.g. demotion or redeployment), dismissal may be the next step. This decision must be taken with care, and legal advice is strongly recommended to avoid claims of unfair dismissal or discrimination.
6. Right to appeal
Employees must be given the opportunity to appeal decisions at every formal stage. Ideally, appeals should be handled by someone who hasn’t previously been involved in the case to maintain impartiality.
What if the employee doesn’t attend?
If an employee fails to attend a scheduled hearing without a valid reason, the meeting may proceed in their absence, provided they were warned in advance. However, best practice is to offer a rescheduled meeting, especially where dismissal is being considered.
Effective performance management is not about punishment – it’s about creating a culture of accountability, clarity, and support. By addressing performance concerns early and constructively, employers not only help employees succeed but also protect the integrity and productivity of their teams. Investing time in building clear procedures, training managers, and supporting struggling employees benefits everyone – and makes for a healthier, more resilient organisation.
Whether you’re dealing with an emerging performance issue or need help tackling long-standing concerns that have been left unaddressed, speak to WorkNest’s experts today. Call 0345 226 8393 or email enquiries@worknest.com quoting ‘ACEVO’ to find out how WorkNest can support you with approaching these matters.