GUIDELINES FOR MANAGING POOR PERFORRMANCE

1. Policy
   The company provides employees who are performing poorly or below expectations the opportunity to improve their performance within a specified period failing which only then disciplinary action including dismissal is taken.
2. Introduction
   Every employee has a duty to execute his responsibilities with competence and care. It is important that an appraising officer knows how to manage the situation where an employee’s performance falls below the expected standards.
   
   Appraising officers including supervisors and managers are responsible to guide poor performers so that they are able to the expected standards. Recourse to question the employee’s continued employment will be done when the employee continues to display unacceptable performance despite warnings being given.
3. Definition of Poor Performance
   Poor work performance is defined as under-performing, inefficiency, incompetence, inadequacies, low productivity or lack of effort. It happens when an employee:
   * Continuously fails in meeting agreed targets/objectives,
   * Where there are no agreed targets/objectives, his performance falls consistently below the average standard of achievement in his peer group, or
   * Where his work performance is unacceptable or fails to meet reasonable, acceptable , required or
   * expected standards.
4. Identifying Poor Performers
   Poor performance can be identified in the following ways :
   * During periodic performance assessments,
   
   * When specific jobs assigned are not performed up to the required standards, or
   
   * When an employee’s agreed targets, objectives and/or key performance indicators are not achieved at the time of the performance review despite counselling during the periodic assessments.
5. Roles And Responsibilities Human Resource Division
   * Ensure that policies and procedures comply with legal requirements and collective agreements to handle poor performance effectively,
   * Act as a point of reference to provide advice, guidance and support to appraising officer and employee,
   * Maintain records and track the status/ progress of poor performers, and
   * Issues the Letter of Warning/ Advice.
6. Appraising Officer
   
   * Set work performance standards that are expected of an employee,
   
   * Carry out the year-round process of performance assessment, and
   
   * Identify and manage the performance of employees and promptly address problems.
7. Performance Reports
   1. Performance Counselling Report
   Records of shortfalls and inadequacies, actions to be taken and the time given for improvement.
   
   2. Performance Progress Report
   Record of status/ progress of actions agreed and progress rating.
   
   The format of the above reports is available in the HR Intranet Homepage.
8. Poor Performance Procedure
   During all phases (or stages) of performance management, the following points should be observed :
   
   * ‘Performance gap’ clearly identified,
   
   * Employee should be informed as to the nature of poor work performance and consequences of
   continued poor performance, and
   
   * Records of counselling sessions must be kept and signed by both parties.
   
   The formal phases of the procedure are as follows :
   
   First Performance Review
   
   The appraising officer will discuss and address the employee’s performance as soon as the performance is causing concern, deteriorating or unsatisfactory.
   
   During the discussion, a perforamance improvement plan detailing agreed activities should be initiated and agreed by both parties. The discussion must be documented in the Performance Counselling Report.
   
   The matter is reported to Human Resource (HR) through the Head of the Division. HR will issue the employee a letter stating that he is under observation for poor performance.
   
   The appraising officer will conduct regular performance validations preferably once a month and record them through the Performance Progress Report. The date of the second performance
   
   Second Performance Review
   
   A Performance Progress Report will be the appraising officer and the employee based on the contents of Performance Counselling Report and other relevant documents.
   
   When the outcome is “Little/No Improvement”, HR is advised (through the Head of Division) and a Letter of Warning is issued.
   
   The appraising officer will continue to conduct regular performance validations and record them through the Performance Progress Report. The date of the third performance review shall not be earlier than three months.
   
   Third Performance Review
   
   Where the performance showed no improvements, a Final Warning Letter is issued by HR upon advice through the Head of Division. The performance validation process is repeated and a decision whether to invoke the disciplinary action will be taken on the completion of three months from the date of the final warning.
   
   Invoking the Disciplinary Procedure
   
   HR will proceed to conduct a due inquiry under the disciplinary procedure when employee fails to improve after been given the Final Warning.
   
   The employee will be suspended from service pending the disposal of the case.
   
   
   Satisfactory Performance
   
   Where it has been agreed that the employee reaches the “Average Improvement” or “Satisfactory Improvement” rating, the appraising officer must advise the employee and HR that no further action will be taken under the procedure.
   
   However the observation will continue for another 6 months. In the event during this time the employee’s performance reverts to less than satisfactory, the procedure will continue from where it left.
9. General Principles
   The following principles apply throughout the poor performance management:
   
   1. The incident of poor performance must be made known to the employee clearly.
   
   2. Any mitigating reasons given by the employee must be considered carefully.
   
   3. All performance and development plans should be confirmed in writing and a copy is handed-over to the employee and HR within 14 days after the review.