HR Best Practice
✔ Address performance issues early and document consistently.
✔ Focus on objective, job-related expectations… not assumptions.
✔ Use informal supports (training, coaching, flexibility) before moving to discipline when appropriate.
✔ Apply standards consistently across employees to reduce legal risk.
✔ Maintain dignity… for all parties… throughout the process.

Employee performance issues are a normal part of managing people. Expectations are not always met, and when performance concerns arise, they must be addressed promptly, fairly, and consistently.

Handled well, these situations protect productivity, strengthen morale, and support better business outcomes. Handled poorly, they create confusion, frustration, and unnecessary risk.

Managers have several tools available to address performance concerns, ranging from informal support to formal corrective action. The right approach depends on the circumstances… including the nature of the issue, the employee’s history, and any applicable laws, contracts, or internal policies.

Regardless of the path chosen, the starting point is always the same: understanding the root cause of the problem using objective, job-related criteria.

Step 1: Recognize and Assess the Issue

When a performance concern arises, the first step is to clearly identify what is happening and why.

Define the gap between expected and actual performance. Consider how often the issue occurs and what impact it has on productivity, teamwork, or overall business goals.

Objective data… such as deadlines, quality metrics, or key performance indicators… should be paired with direct observation and relevant feedback. Reviewing prior performance evaluations can also help identify patterns or recent changes.

It is critical that assessments remain grounded in job-related standards and are applied consistently. Assumptions or uneven enforcement can expose the practice to discrimination or retaliation claims.

Documentation begins here. Managers should maintain clear records of observations, conversations, feedback, and agreed-upon next steps.

Step 2: Discuss the Concern with the Employee

Once the issue is assessed, meet with the employee promptly.

The goal is clarity… not discipline.

Explain the performance gap and its impact, then invite the employee to share their perspective. There may be contributing factors such as unclear expectations, lack of training, workload challenges, or limited resources.

Open-ended questions encourage productive dialogue and help uncover the real issue.

This conversation should also establish what successful performance looks like moving forward. Define measurable expectations and outline available support… whether that includes training, coaching, or workflow adjustments.

Keep the focus on performance outcomes… not personal traits.

“Performance conversations handled early and objectively don’t just protect the practice… they often prevent the problem from escalating at all.”

Step 3: Use Informal Improvement Measures When Appropriate

In many cases, informal steps are enough to correct performance issues… especially when the employee is engaged and willing to improve.

Common approaches include:

• Training: When skill gaps or new responsibilities are contributing to the issue. Follow-up is essential to ensure improvement is sustained.
• Coaching: Ongoing guidance to address habits, decision-making, or confidence.
• Flexible work arrangements: Adjustments that support employees managing health, caregiving, or burnout… while maintaining clear expectations.
• Employee Assistance Programs (EAP): A resource for personal challenges that may be affecting performance. These should be introduced thoughtfully and confidentially.
• Reasonable accommodations: If a medical condition or disability is involved, employers may need to engage in an interactive process under the ADA or applicable state laws.

Often, a combination of these tools produces the best results.

Step 4: Move to Formal Improvement Actions

If performance does not improve, it may be necessary to move into formal corrective action.

At this stage, structure and consistency are essential.

Begin by compiling documentation… performance reviews, prior discussions, and written follow-ups… to establish a clear record of the issue and previous efforts to resolve it.

Then meet privately with the employee to communicate the need for formal action. Be direct, specific, and objective. The discussion should remain focused on performance… not personality.

For Bent Ericksen & Associates’ clients, this step typically includes the use of an Employee Counseling Memo through the HR Director platform.

Step 5: Determine Whether Termination Is Necessary

When performance does not improve despite sustained efforts, termination may be the appropriate outcome.

In some cases… particularly those involving unsafe or unlawful conduct… immediate action may be required without progressive steps.

Before making a final decision, the full record should be reviewed with HR or legal professionals to assess potential risks, including discrimination or retaliation concerns.

If termination proceeds, the conversation should be private, professional, and respectful. The explanation should rely on documented performance issues, avoid personal judgment, and clearly outline next steps regarding final pay and benefits.

Maintaining dignity throughout the process is not only appropriate… it is essential.