Rickerbys' HR Forum 06/08/08: Discussion summary

August’s Forum was hosted by Nelson Thornes Limited to whom we are very grateful for their hospitality.

The discussion was on the topic of performance management, and specifically:
● measureability – how does one determine whether an employee is under-performing
● strategies for tackling under-performance
● how to achieve sustained rather than short-term improvement

Measureability
It was noted that quantitative performance issues are easier to measure than qualitative issues. Also that there can be different challenges in measuring the performance of professional vs clerical staff, creative vs technical staff, and also academic staff.

Performance must always be assessed against a benchmark e.g. role definitions, job descriptions etc. It is also important to communicate the employer’s expectations.
360° feedback can be a useful tool in assessing performance.

Strategies
Whether performance management is tackled at all can be a cultural issue within the organisation.  Managers need to be trained on how to tackle under-performance and to have ‘courageous’ conversations with their staff. Unfortunately such conversations can often be perceived as ‘bullying’ by staff if not tackled in the right way.

There was a discussion on how to encourage managers to undertake regular performance reviews.  Some organisations make this a requirement which directly feeds into pay reviews. However there is a danger of this making the performance review simply a ‘rubber stamping’ exercise.

We discussed the merits of having a separate capability process alongside the disciplinary process. This can avoid performance issues being tainted with the stigma of ‘misconduct’. It was noted that someone who is genuinely struggling in their role will often realise that fact and will be grateful that the matter has been raised.

It was recognised that the recruitment and induction process has an important role to play in ensuring that the right person is placed in the right role, that they know what is expected of them and are given the tools to succeed.

The importance of following up the probationary period was stressed. Employment contracts should give the employer to extend the probationary period if there is some doubt about the employee’s suitability for the role.

Equally important is support following promotion. It was noted that often people are ‘promoted to the level of their own incompetence’ and that some people are not born to be managers. This should be recognised.  The importance of management training, and training for ‘aspiring managers’ was discussed.

It was pointed out that employers should be careful not to focus unhealthily on one area of weakness if the rest of the job is being done well. E.g. an over-emphasis on budgetary performance can lead to poor decisions being made.

The role of HR in addressing performance issues was discussed. HR should be assisting line managers in tackling these issues but not doing it for them. The attitude of ‘HR will deal with it’ should be tackled.

In general performance issues should be dealt with at the time. They should not be a surprise when it comes to performance reviews. Performance improvement plans can be put in place to address specific issues.  However if the plan fails, an alternative strategy should be adopted rather than simply invoking another performance improvement plan.

Buddying/mentoring can be useful tools in helping to improve performance in a non-threatening way.  Buddies can help to communicate the employer’s expectations.

Training courses are not always the answer. The appropriate course may not necessarily be available.

There was a general discussion around the difficulties of tackling performance where the employee attributes their performance to a disability e.g. dyslexia.  How far should ‘reasonable’ adjustments go?  It was agreed that this would be a good topic for a future Forum.

Sustained Improvement
It was agreed that there needed to be a continuing dialogue between the line manager and the under-performing employee. Managers should emphasise that improvement is the individual’s responsibility but that the organisation will help.

Targets should be set both for individuals and teams. Staff and managers should be trained in how to set objectives.

The aim of the organisation should be to continually improve its performance as a whole.  If the only drive is to bring under-performing individuals up to the average level within the organisation, the organisation’s performance as a whole will never improve.

Hints and Tips
Members of the Forum are always encouraged to bring interesting observations or experiences to the group.

Childcare vouchers:  It was noted that if an employee has entered into a salary sacrifice scheme and is in receipt of childcare vouchers, and then goes off on a second period of maternity leave, you now have to keep paying the childcare vouchers during the ordinary maternity leave period, since HMRC takes the view that they are not ‘remuneration’. This is the case even though the employee in theory is not receiving any salary to sacrifice in exchange. This will result in additional cost to the business. From October 2008 this obligation will continue during the additional maternity leave period as well.

It will be difficult to withdraw the scheme from employees who are currently signed up to it, but it could be discontinued for new employees.

Next Meeting
6 November 2008 at Cheltenham Ladies’ College.