Terminating With Dignity

One of the less enjoyable aspects of my job is having to terminate an employee.  While the decision to terminate may be the best step for the organization, one of HRs goals should be to maintain the employee's dignity throughout the process.  When it is necessary to terminate an employee, here are a few guidelines that I recommend:

1. Consider the timing.  NEVER terminate on a Friday.
2. Always plan out the termination.  Who is terminating the employee and what should be said. 
3. During the termination process, provide the employee with positive feedback about some aspect of their work performance.  They need the kind words!  "Even in the termination based on performance, prompted by the fact that acquired skills were not adequate for a particular situation, the person's assets and liabilities can still be acknowledged," wrote Richard Bayer in Business Horizons.
4. Have an information package available for the employee.  It should contain items such as a termination letter outlining the reasons for the termination (remember to stick to the facts).  Discuss severance, compensation for unused vacation, unemployment compensation, benefits, any type of outplacement assistance, etc.
5. Don't allow yourself to be caught up in the emotions of the termination process.
6. Allow the individual to vent if necessary. After they have vented, allow them a decompression period.  They need to have some control over their departure!
7. Always, always, handle with compassion.

Please remember that each termination decision that is made carries a profound impact on at least one human being's life.  Handle with care.

Legal Mistakes by HR (Part 4)

Here's my last, and no less important, potential area of litigation for you.  The performance appraisal conversation.  Managers dread it, employees fear it.  Sometimes the talk is effective, sometimes it isn't.  Unfortunately during the performance evaluation process supervisors may tell little white lies to protect an employees feelings or to avoid a confrontation.   Like our mother's taught us, honesty is always the best policy. 
 
4.  Misleading performance evaluations. Ensure you always document employee performance / behavior problems.   If under-performing employees are not properly rated, you won't have a legal leg to stand on if termination becomes a necessity. You'll be in a courtroom explaining why you gave a positive evaluation to an employee that you later terminated.

If you want to shape behavior, you have to give honest feedback.   If an employee doesn't know that something is wrong, the behavior becomes acceptable.

Insubordination

We have all heard the term "insubordination," an employee's willful disregard for a supervisor's direct orders.  But what does insubordination really mean?  How do you determine whether insubordination has occurred and what should you do about it?  Simply complaining about an assignment does not constitute insubordination. 

Insubordination can be active or passive.  Active insubordination may be the refusal to do something, challenging the directive, confrontational behavior, the use of abusive language or even physical violence.  Passive insubordination may be exhibited by the employee's willing failure to complete a task. 

To prove insubordination you must establish three important elements:

1. It has to be recognized as a direct order. 
2. The employee received and understood the order.
3. The employee refused to obey the order through an explicit statement of refusal or through nonperformance.  

A few words of caution.  Before any claims of insubordination are raised, take a moment to:

1. Assess how the order was issued.  It can't be a suggestion.  Whether verbal or written, did it clearly communicate the who, where, what and when? 
2. To establish insubordination, the order must relate to work being performed.  Always validate that the order was reasonable.
3. Could other factors influence the employee's actions?  Perhaps the employee did not willfully intend to disobey.  Does the employee have a pattern of unacceptable behavior?
4. An employee has the right to refuse an order if they are being asked to do something illegal or dangerous, or in violation of a published safety rule. 
5. The employee must be told that failure to perform the task/assignment is grounds for disciplinary action on the basis of insubordination.
6. Allow employee adequate time to comply with order before discipline is imposed.  You can't ask an employee to complete a 2 hour task in 30 minutes.

Abusive language by employees towards supervisors can also be considered insubordination.  However, you must always consider the context in which the incident occurred.  To confirm that an employee was engaged in insubordination, the abusive language:

1. Was not provoked by the manager.
2. Occurred in the presence of other employees or customers.
3. Was not an example of "shop talk" in the workplace.

While our first reaction to insubordination may be to fire the employee immediately, allow a cooling off period.  Take the time to review your disciplinary policy. Review the employee's past history. Carefully consider all the facts, all the actions, prior to punishing the employee.   On occasion employee insubordination can be attributed to a breakdown in communication.   While termination may still be the correct course of action, you'll have all your facts in place.   
 

Employee Absenteeism

When I mention measuring employee absenteeism the first thing that comes to your mind is firing employees because they missed too many days at work.  Right?  Well, maybe it shouldn't.  You can measure absenteeism for many purposes including workforce planning, lost wages and reduced productivity.  But can you also use it to measure employee morale?

Employee absenteeism is a major concern for employers.  Yes, there is oftentimes a sense of entitlement in the workplace that it's okay to be absent.   And where there is an excessive pattern, or a trend in the days the employee is absent, then it is time to take action. But, we also need to acknowledge that people get sick.  In those situations where you perceive a pattern of excessive absenteeism is developing, I highly recommend a discussion with the employee in order to determine if there is a potential FMLA, ADA issue to be addressed.

Absenteeism can be due to a variety of reasons.  If an employee is stressed about their workload, this may manifest itself through absenteeism.  Stress with the job routine and/or job satisfaction, the environment (cold, hot, noise) even with management (style, personality traits).  If stress is a factor, you need to discuss strategies to resolve the stressor.  If one employee is experiencing stress, perhaps others are as well.  We all have more to do and less time to do it in today's business environment.

In those instances where there appears to be an unacceptable level of absenteeism:

1. Meet with the employee.
2. Express your concern.
3. Provide the employee with an opportunity to explain themselves.

Some random statistics for you:

According to a 2012 global workforce survey, "highly engaged employees have lower 'presenteeism' (lost productivity at work) and less absenteeism than disengaged employees. The former lose an average of 7.6 days per year to presenteeism, compared with an average 14.1 days for the disengaged employees....

According to a 2010 Metlife report, "employees with eldercare responsibilities were more likely to report missed days of work. This was driven by the much higher absenteeism among younger caregiving employees, ages 18 to 39. Overall, 9% of non-caregivers missed at least one day of work over the past...

According to a 2009 survey by the National Alliance for Caregiving, "over seven in ten caregivers were employed at some time when they were caregiving (73%). Among them, two-thirds (66%) have gone in late, left early, or taken time off during the day to deal with caregiving issues (66%). One in five...

Employee Satisfaction

Earlier this year an on-line survey by Accenture reflected that 57% (women) and 59% (men) were dissatisfied with their jobs.  While dissatisfied with their jobs, more than two-thirds (69%) said they would stay with their current employer.    I guess that’s a good news / bad news scenario.    The workforce is stable, but it's dissatisfied. 

I’m a firm believer that employees are the key to either the success or failure of an organization.  What happens when those employees decide it's just too much anymore and they seek other opportunities?   Are you willing to loose this intellectual resource?  What will the impact to the organization be?

As an employer, proactive steps should be taken to determine where employee dissatisfaction stems from.  

1. Survey your employees to find out their needs.  Are there little hassles they they are experiencing day to day?   What would make them more satisfied in their work?  Smart employers will listen to new ideas, be open to change.  Provide employees with the opportunities to present ideas for new processes, new efficiencies, to management.
2. Provide training and advancement opportunities.  Is there a career path for employees?  Do they have an opportunity to grow and/or expand their skills?  Achievement can be more important to one employee than another. 
3. Address any compensation concerns.  Is there a perception of “fair pay?” 

 

Office Politics. Is Survival Possible?

Organizational politics refers to behaviors “that occur on an informal basis within an organization and involve intentional acts of influence that are designed to protect or enhance individuals’ professional careers when conflicting courses of action are possible” (Drory, 1993; Porter, Allen, & Angle, 1981).

Politics are the unseen elephant in the living room. We know it’s there, it’s just difficult to define and describe. And politics, seen or not, have a long-term negative affect on the organization and ultimately, organizational outcomes are damaged.  I have provided examples below of some the more obvious results of politics: 

1. Environment: Politics lead to a negative environment; spoiling relationships among individuals.   The overall climate of the organization may have an influence on an employees’ performance through mistrust, threats, defensiveness, low support, and/or poor communication.
2. Demotivator: No matter how much hard work an employee puts in, it goes unnoticed in a politically driven organization.  The employee who works hard is not rewarded suitably versus the non performer who is rewarded due to politics (favoritism rather than merit determines who gets ahead).
3. Increased Stress:  Politics increase the stress levels of employees (mistrust, threats, defensiveness, etc.). 
4. Information: Information is manipulated and either not passed on in its desired form, or is withheld. Managers/Supervisors have an incorrect view of what is happening in the organization.
5. Turnover (Organizational Commitment):  An employees’ desire to remain in the organization and/or willingness to exert effort on behalf of the organization are greatly impacted by politics and behaviors. 

R. Buckminster Fuller (Critical Path) said that rather than attempting to teach people the right things to do, one should design organizations such that doing the right things was simply the path of least resistance.   Good advice.

Here's some ideas to help you survive a politically driven environment:

• Maintain your composure.
• Have those “hard” conversations and make your case.  The truth is hard to resist (however, there may be some harm to the messenger).
• Be the best you can be.
• Never join other voices to persecute the establishment.
• Never join hands to persecute a co-worker.
• Learn to know each co-worker individually and not base a relationship on gossip.

 

From the Ground Up, The Performance Appraisal

We all know how important a PA process is even if the annual process is about as much fun as a root canal.  It's a necessary evil for all businesses.  Employees need formal feedback.  When they don't have it they feel ignored. If they feel ignored, do you think they'll be motivated to go the extra mile?  Probably not.

Now, take a company with 100+ employees that has no PA program in place, and the fun begins.  The entire PA process has to be developed from the ground up. 

Process:  What type of process should be used?  An on-line appraisal?  Paper-based appraisal?  Electronic or manual tracking program?   What type of rating system will be used?  Should a software program be purchased?

Manager Training:  The value of the PA process.  Legal aspects.  Manager PA preparation.  Conducting the PA.  Rater Errors.  Setting Goals/Objectives.  What are the do’s and don’ts of the PA?  And, most importantly, what is the definition of leadership? 

Timing:  Focal/Common Review Dates or Anniversary Review Date?  What are the pros/cons of each?  What option is best for the organization?  For the employees?   Will the performance appraisal process be tied to annual compensation increases?

Assessment:   What are the competencies that should be addressed?  Adaptability?  Analytical skills?  Conflict resolution?  Dependability?  Motivation?  Teamwork?  Will the competencies be different for salaried and hourly employees?

Objectives:  Develop a training program for the managers.  Discuss SMART objectives.  Why are objectives necessary?  What are the company goals?

Performance Improvement Plan:  Develop a process that will tie to the PA.  Train managers in the proper application and development of a PIP.   Discuss potential liabilities in a PIP.  Can I have different completion dates for different employees on a PIP?  What if the employee doesn't successfully complete the PIP? 

Salary Increases:  Merit increase?  Equity pay adjustment?  Discretionary pay increase?  COLA?    Do the managers require training in identifying the different types of increases?  Develop an approval and reporting process for any compensation adjustment.  Are there salary bands in place?  Do we need to develop competitive pay bands? 

The above are just a few of the issues that will need to be addressed.  And I'm sure the list will grow!

The 10 Most Common Legal Mistakes HR Makes

Business Management Daily recently ran this great article outlining common legal mistakes that "HR makes."  Well, those mistakes can be made by any employer, supervisor, and/or business leader out there.  Not just "HR."  While a lot of this is just plain common sense, we all get busy from time to time and make a mistake. 

 #1: Advertisements, Interviews, and Offer Letters

Mistake: improper language in job advertisements. Too many employers still use inappropriate terms — such as "girl," "boy," or "young" — in their job advertisements. This is particularly true when managers, rather than HR, write the ads.

Mistake: unlawful interview inquiries. Too many hiring managers ask about personal and/or protected characteristics during job interviews, which sets the employer up for a discrimination lawsuit if the applicant is not hired.

Mistake: inaccurate description of the job. Some hiring managers work so hard to get top-notch recruits in the door that they fail to be realistic with their description of the job. The unhappy employee will leave, and it will have been a shameful waste of the employer's time and money.

Mistake: inadvertent creation of contractual promises. Too many employers include language in their job offer letters that inadvertently creates an employment contract. For instance, mentioning a yearly salary implies a yearly contract.

#2: Wage and Hour Issues

Mistake: misclassification of workers. Exempt vs. non-exempt status: Finding and correcting these mistakes are an Obama administration priority. While there are many factors to consider, you're basically basing your determination on the employee's level of responsibility and/or training, and a salary test.

Mistake: mandating confidentiality of wage information. Prohibiting employees from discussing their wages is a violation of the National Labor Relations Act.

#3: Privacy Assumptions and Violations

Mistake: permitting an expectation of electronic privacy. Too many employers fail to advise employees to expect no privacy on their computers. If you asked employees, "Do you think the stuff you put into that computer is private?" you might get some interesting answers.

Mistake: improper electronic monitoring. Some states have statutes that require employers to give employees notice if they are being monitored electronically.

Mistake: inadvertently revealing private employee information. HR possesses a great deal of sensitive information about individual employees. It is your duty to keep that information confidential.

#4: Training and Performance

Mistake: failure to train supervisors. When supervisors are not trained, they're the ones who get you into trouble. They may say rude, racist, or sexist things, or be unintentionally discriminatory, and because they are in a supervisory position, the entire company is on the hook.

Mistake: misleading performance evaluations. If you try to discipline an employee for a performance/behavior problem that was never noted on their evaluation, your hands may be tied.

#5: Rough Beginnings and Sharp Endings

Mistake: sloppy start. Among HR's common errors in this area are: failing to submit the state notice of a new hire; failing to tell the employee the key terms and conditions of employment; and providing the employee with a misleading description of working conditions.

Mistake: sloppy finish. Regardless of whether a termination is voluntary or involuntary, always allow the employee to leave with dignity.

#6: Investigations

Mistake: failure to oversee supervisory investigations. As an HR professional, you know that timeliness and thoroughness are important in an investigation. But what about when a supervisor is the one investigating, not HR? It's still HR's responsibility to provide oversight.

#7: Record-Keeping/I-9 Issues

Mistake: failure to document past practices. Courts love to know not only whether the treatment of an employee was against the law or company policy, but whether it was in line with past practices.

Mistake: failure to comply with Form I-9 requirements. Failure to complete the I-9 form properly and failure to keep the form in a separate file are common mistakes employers make.

#8: Breakdowns In Communication

Mistake: failure to keep employees in the loop. Forgetting to notify employees about policy/procedure changes, outcomes of investigations/discipline issues, or unsatisfactory behavior or work quality can be a costly slip-up.

#9: Accommodations

Mistake: failure to explore accommodations. "Accommodation" can be defined as "a determination in favor of the employee." Employers should explore accommodation options when an employee: has a disability, is pregnant, is called to active military duty or has a family member called to active military duty, or wants to engage in a religious observance/practice.

#10: Non-Compete Agreements

Mistake: unreasonable scope. Obviously, an agreement prohibiting an employee from working at any position in the same general industry forever and ever isn't going to hold water.

Mistake: lack of consideration. Legally, contracts are valid only if both sides give something. If the employee gives up their right to compete, the employer must also give something. Too often, the employer gives nothing, making the non-compete agreement invalid in a court of law.

Documenting Employee Performance

As we reach the end of Q1 2012, many companies are beginning to address those hated performance appraisals. To ensure you are able to provide the employee with an effective performance appraisal, remember to never rely on your memory to evaluate employee performance! Develop a system that will allow you to track the employees performance over the course of the entire performance period. It can be computer based or simply a file in your desk.

1. Track both the positive and negative behaviors of the employee so that you have a "balanced" review of the employees performance. Don't let the file become a little black book of mistakes and errors.
2. Provide detail, detail, detail. Be very specific with your information. Not that the employee was late three times over the last 2 weeks. But the days, the amount of time s/he was late. What was the excuse? Details. Not your opinion! Are projects late? Are deadlines missed? What have been the employees positive contributions to the workforce? Did the employee come in under budget? Ahead of deadline? Did the employee act as a team leader for a successful project?
3. Summarize every discussion. Include the problem, the action taken to correct or eliminate the problem, the dates, comments, etc.
4. Write OBSERVATIONS, not assumptions. Avoid unsubstantiated claims.
5. Keep a file for all employees.

Performance reviews are difficult for both the employer and the employee. Keep those lines of communication open during the year. Don't bombard the employee with feedback only during the appraisal.

Rule of thumb: Nothing mentioned during a performance appraisal should be a surprise to the employee!

Performance Appraisals

Performance appraisals are stressful for both the manager and the employee. If you are properly prepared, you can reduce the stress of not only writing the appraisal, but delivering it as well. When you prepare your evaluation of an employee:

1. Keep a positive attitude towards the appraisal process and conduct each evaluation realistically with respect to the strengths or weaknesses of the employee.
2. Make certain that all criteria on which the employee is evaluated is clearly job related.
3. Rate employees solely in relation to the job responsibilities, not in terms of how similar they are to you.
4. Establish the standards of performance expected on the job before rating the employee and base your evaluation on those pre-determined requirements or standards.

In the future I will address the steps that both managers and employees can take to have an effective appraisal.

Performance evaluations are a tool for building trust, open communiation and better supervisor / employee relationships through all levels of the organization.

Employee Performance Reviews

Employee performance reviews (or appraisals) have several purposes. For the employee, they often determine raises, promotions, and sometimes whether they get to keep their job. For the manager, a proper performance review will assist in developing the employee and improving employee and company performance.

According to the article, "How to Do an Employee Appraisal," the goal of an appraisal should be to "increase communication, establish clear expectations, reinforce good performance, improve unsatisfactory performance, and foster a spirit of cooperation and teamwork."

The use of an employee performance review will allow an organization to outline the specific standards that an employee is expected to accomplish. These standards should be measurable, understandable and achievable. The employee should have goals and objectives outlined with an established timeframe for completion. Depending on the role of the employee, the goals should address the quality of their work, the quantity (how much work the employee is expected to produce or services expected) and timeliness. Effective and timely feedback addressing the employee’s performance is an essential component of a successful program.

For a performance review to be effective, reviews should be held throughout the year, not just once a year. As a manager, you should have frequent, regular conversations with your employee, encouraging frequent feedback in the form of informal evaluations. There should be no surprises during the performance review for the employee. Remember - If the employee doesn’t receive feedback to know that the performance or behavior needs to be corrected, then to the employee, such performance or behavior is acceptable.

As a manager, you should continually monitor the employee’s performance throughout the year. Document all successes and failures (compliments and complaints) of the employee over the course of the appraisal period. Maintain a file containing pertinent data that you have gathered. This data will jog your memory when developing the review and assist you in avoiding some of the more common rater errors such as Recency Bias. This data allows you to ensure that specific examples can be provided to the employee during the appraisal and the employee receives a full “picture” of their performance over the appraisal period.

Remember to focus on the employee’s work performance, not on personal interactions you’ve had with the employee. Do not confuse poor performance with differing opinions. Taking your personality out of the performance review process allows you to assess your employee's skills fairly. Additionally, encourage the employee to participate in establishing the performance review process for their position. In allowing employees to participate in this manner the employee gains a better understanding of his/her role and how the role contributes to the success of the organization. Employees can participate in a number of ways, one of which is allowing them to write or define critical elements of their performance review.

Use the same measurement standards and criteria for all employees who have the same job descriptions. Do not evaluate an employee in areas that go beyond his/her job description.

Follow up on each performance review. Provide the employee with training and development opportunities. Assist the employee in strengthening his/her job-related skills. Assign special assignments to provide the employee with an opportunity to learn as well as to broaden his/her understanding of the organization.

If you have an ongoing performance review process, use the employee’s last review as a benchmark standard for the next review. If you are a new supervisor and you don’t have six months of observation time with the employee, ask the former supervisor for help in the assessment. If unavailable, ask for feedback from other supervisors who may have interacted with the employee or who may have observed the employee’s work.

You can't motivate employees! Motivation is a choice. But, the performance review process can assist with either motivating or de-motivating the employee.


My on-going thanks to Mrs. Emily McGowan for providing proof-reading services on this blog.