It’s natural for employers to want to give their staff every chance to succeed. After investing time and resources in an individual, it can feel like the "right thing" to be patient when an employee isn’t quite meeting expectations and to give them time and opportunity to improve.
However, there is a fine line between supportive management and being overly lenient with underperforming employees. Allowing too much time to pass before addressing poor performance can lead to serious and time-consuming consequences. We see it happening on a surprisingly regular basis.
When a manager or business owner is too nice to an underperforming employee, the impact goes beyond missed deadlines and incomplete tasks. One of the most impactful effects is the drain on resources. Managers and colleagues may spend an inordinate amount of time trying to coach, support, and monitor the employee in question, resulting in a loss of productivity for the entire team. This time spent trying to get an employee ‘up to speed’ when the performance should have been addressed earlier, can become a huge distraction and drag down otherwise high-performing staff affecting their morale.
Furthermore, continuing to tolerate below required performance can send the wrong message to other employees. When one person is held to a lower standard, it can create resentment and demotivation among team members who are pulling their weight. Over time, this can chip away at company culture and lead to higher staff turnover as strong employees feel undervalued and overlooked. We also shouldn’t underestimate the impact on the new employee.
One of the reasons employers are often reluctant to confront underperformance is due to ‘sunk cost syndrome’; the desire not to simply cast aside and so waste the time, effort and money that has already been invested in an employee, despite the fact that they continue to struggle.
The employer may also feel an element of guilt for having an underperformer; blaming themselves rather than the individual because they haven’t afforded them enough time, coaching or relevant training. However, by the time the manager realises the situation is untenable, they may have wasted months or even years trying to turn the situation around.
Matters can be compounded if the employee has been signed off their probation or the probation period has simply drifted by without any recognition of pass or failure. Once an employee passes probation, best practice dictates that they should be subject to proper performance management processes, making terminating their employment more complex and time consuming.
This process can take several months and includes documenting instances of poor performance, providing formal warnings, and offering the employee opportunities to improve. All the while, the company is still dealing with the continued underperformance, leading to further productivity loss and wasted resources.
Once the Labour Government implement their Workers’ Rights legislation, failing to deal with poor performance early could also open the door to legal issues. Employees will acquire greater rights from day one of employment instead of having to wait two years as they currently do. Once the probation period has been passed, if the employer dismisses without being able to demonstrate that they followed a fair process, including clearly communicated performance expectations and sufficient support for the employee to improve, they may face claims for unfair dismissal. This could lead to pay awards and compensation claims at an Employment Tribunal.
Additionally, if the underperforming employee has been treated with undue leniency, they could argue that they were not made aware of the severity of their performance issues, leading to further complications in the dismissal process.
The key to avoiding these issues is to ensure a robust probationary period with clearly defined training and performance goals. A probationary period should not just be a formality; it’s a crucial time for both the employee and employer to assess whether the role is a good fit. Employers should deliver a thorough and detailed training plan for all new starters, to give them the best possible chance to succeed.
Employers must put emotions to one side and should establish specific, measurable, and realistic goals from day one, ensuring that underperformance is identified early and addressed promptly.
Regular check-ins during probation allow employers and employees to provide constructive two-way feedback, monitor progress, and make an informed decision before confirming an employee’s permanent status. If issues arise, employers should not hesitate to take action, even if it feels uncomfortable. Ultimately, it's in both parties' best interest to have a transparent and honest dialogue about performance before the probation period ends.
Only sign off the probation if both the task performance and the employee behaviour meet the required standard.
While being kind and patient with employees is commendable, being too lenient with underperformance can backfire. The costs of keeping an underperforming employee too long will drain your resources, lower team morale, and expose your business to legal risks.
A well-structured probationary period, with clear and measurable performance goals, is essential, but so is proper training for managers to ensure that underperformance is properly addressed and employees are held accountable from the start. All managers should undergo structured management training and be given adequate time to manage others. Our ILM courses are a perfect solution. Talk to us about the various training solutions we provide on 01452 331331 or contact us through our contact page.
