As you know, labour shortage is currently being felt in many industries. Last November, Statistics Canada stated that about 36.9% of companies anticipated that recruitment of qualified employees would be a major challenge in the coming months, particularly in the construction, manufacturing, food and hospitality sectors.
In this context, managers are certainly concerned about retaining resources, but should they do so at all costs? What about underperforming resources? The employee who does only half the work, who always comes in late or who is detrimental to the work climate? Should we fire them or keep them by default? How to make the right decision? And how will it affect the team?
There are many questions, but the options are simple: to act or not to act!
A. Not acting: avoidance or waiting before taking action
Keeping in your team or organization an employee who is not performing or who is underperforming can have major consequences for the employee, their colleagues, the manager and the organization. It is important to remember that the organization must level up its performance expectations, not down.
Failure to act is seen as a lack of leadership or lack of managerial courage. A manager who waits too long to act loses credibility with his team and his superiors.
Additionally, an employee who is not properly supervised or coached risks forming non-performance habits that will be even more difficult to correct over time.
B. Acting: handling the situation
Underperformance cases are a major challenge for managers, raising certain concerns: making the wrong decision, acting at the wrong moment, or losing credibility.
In order to help these managers see things more clearly, we suggest proceeding in this order:
- Document the employee’s performance with concrete facts, note when the problem started and see if this moment corresponds to organizational or personal changes in the employee’s life.
- Meet with the employee using a constructive approach. Present the observed facts and explain the impact of their performance and/or behaviour on the team. Identify one to three areas for improvement and involve the employee in the development of an action plan. Note their reactions and document the meetings.
Regarding the action plan, two solutions are suggested depending on the severity of the issue: coaching by the manager or counselling by a professional. Regardless of the chosen solution, rigor and evaluation become essential in managing the case in order to rectify the situation.
- A regular follow-up is strongly recommended. These meetings allow us to highlight the employee’s progress and encourage them throughout this process. They also allow a change of plan if needed by reiterating the expected results within the deadline set out in the action plan.
If no improvement is observed after the coaching or counselling, gradual measures must be taken: warning, verbal notice with a note in the file, written notice, and suspension (with or without pay). A follow-up with assistance from human resources is preferable in certain cases. Once again, it is important to document every meeting and sanction issued to the employee.
The final step is the termination of employment. Not resorting to it when it is necessary could have serious consequences on your organization in addition to affecting your credibility.
At this stage, it is essential to demonstrate managerial courage. In short, it means being able to manage in situations of uncertainty or turmoil, making decisions and taking responsibility for them. In fact, these are the qualities of a good manager.
C. Supporting the team
After the departure of the underperforming employee, if so, it is necessary to strengthen the bonds within the team. This may be a good time to reorganize positions or to eliminate some unnecessary tasks.
To avoid team members saying they have too many tasks, it is suggested to put things in perspective. Review how much of the underperforming employee’s work was done by the team before they left. Review goals and priorities.
Finally, it is essential to maintain a good work environment. In a context of labour shortage, happiness at work can make all the difference in terms of attracting and retaining employees. Might as well cultivate it!
At Bedard Resources, we can help you manage your employees’ performance at all times! Don’t hesitate to contact Stéphane Pépin for more information on our HR consulting services.