Wednesday, July 27, 2011

Quality Performance Appraisals...Reduce Risk of Discrimination

5 Easy Steps to Put Your Company on More Solid Ground

The value of conducting consistent performance appraisals on every employee cannot be understated. Most companies miss the mark on this point and therefore open themselves up for possible discrimination claims when a disciplinary action or termination arises.

Employers usually have a valid business rationale and lawful motivations for both disciplinary and termination action. Then why are discrimination claims so prevalent? Two simple answers. The first reason is companies struggle with a lack of a clear process and follow through when it comes to evaluating employees. The second is for emotional reasons. Companies have problems during the pre-termination and the termination process. These flaws can create the illusion of unlawful motivation even if none were present.

So the big question becomes, “How can a company reduce the risk and shore up the evaluating process?” The following are several points to answer the big question.

1) Over-evaluation is deadly. Some employers feel uneasy with providing a tough critique of an employee during their evaluation. Instead of listing a factual representation of the work and attitude of the employee, the employer glazes over faults and only seeks to praise. The problem with this approach is it can provide evidence of pre-text (which alone wins a litigation case). Companies should maintain a list of all employees whom have received complaints and/or concern from supervisors. This way provides documentation of issues and can serve as a reminder to the supervisor.

2) Employee evaluations should contain a comparator question. For example, “How does the employee’s performance compare with that of his or her peers?” This is a great way to make sure over-evaluation does not occur because not everyone can be better than their peers.

3) Delay comes with enormous risk. Train managers that once a decision has been made, act on it. Delay creates a window for an employee to use in order to make a protected compliant that will make any sort of adverse action that follows seem retaliatory in nature. In certain situations, delay can be inevitable. When those times arise, document the fact that a decision was made.

4) A cluster of documentation during a small period of time following a time with no documentation can be worse than if there where no documentation at all. When this happens, it gives the perception that the employer is out to get the employee. HR professionals should be contacted every time a manager is mildly irritated or frustrated with an employee instead of delaying until a decision has been made.

5) General labels must be made specific. HR professionals need to be used in order to break down the general labels of supervisors into relating to specific behavior problems. Simply saying the employee had a bad attitude will not suffice. A bad attitude to one person is another person’s good attitude. Always contain specifics.

When in doubt, it is always better to be specific and contact your HR professionals for assistance. For more information on performance appraisals, contact 770.248.0401.

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