The Hidden Cost of Keeping the Wrong Employee

Most employers can identify at least one situation where an employee’s performance, conduct or attendance has become a challenge.

What many businesses fail to recognise is the true cost of delaying action.

Poor performance rarely affects only one individual. It can impact:

• Team morale.

• Customer service.

• Productivity.

• Management time.

• Workplace culture.

• Business profitability.

Managers often avoid difficult conversations because they are worried about saying the wrong thing or creating conflict. Unfortunately, delaying action can make the situation much harder to resolve.

The most successful businesses address concerns early, communicate expectations clearly and provide appropriate support whilst maintaining accountability.

However, knowing where to start can be difficult.

Questions employers frequently ask include:

• When should performance concerns be formally addressed?

• What records should be kept?

• How much support should be provided?

• What happens if performance does not improve?

• What legal risks should employers consider?

The answers will depend on the individual circumstances, but one thing remains clear: doing nothing is rarely the best option.

Comment from Matthew Chilcott – Owner, Consensus HR

“Good performance management is not about catching people out. It is about setting clear expectations, supporting employees and addressing concerns fairly and consistently. In my experience, businesses that tackle issues early achieve better outcomes for everyone involved.

Effective performance management should never be a once-a-year exercise. It is about ensuring regular, constructive feedback takes place throughout the year, whether through ongoing one-to-one meetings or structured Performance Reviews conducted at least twice a year. Employees should understand what is expected of them, receive clear SMART objectives, and be given honest, constructive feedback that helps them develop and succeed.

Open and honest conversations are not always easy, particularly when difficult messages need to be delivered. However, having the confidence and ability to hold these discussions professionally and fairly is one of the essential skills required to be a successful manager. Businesses that invest time in developing their managers and addressing concerns early are often the businesses that achieve stronger performance, greater employee engagement and better long-term results.”

Consensus HR works with employers to develop practical performance management processes, train managers and ensure that issues are handled fairly and professionally.

If you are experiencing performance concerns within your business, contact Consensus HR for confidential advice.

Helping companies take the pain out of managing people.

Matthew Chilcott FCIPD, ACEL, BA (Hons)
Owner – Consensus HR