How to tell an employee there is problems with their performance

When discipline actions are needed

Steps for discipline - A series of four steps to take to give employees that chance.

Sample disciplinary letters - Examples to follow if you have to move into steps 2, 3, and 4 of the disciplinary process.

See also Releasing an employee and Labour standards.

When Discipline Actions Are Needed

Performance problems get in the way of work getting done. Employees need to know that the company has standards of performance which have to be met. Tell your employees what performance you expect. Do it during orientation; do it through policies; do it when you coach.

Don’t let performance problems slide. It is often tempting to let some things go. If it is getting in the way of the work getting done, it needs to be dealt with. Start with coaching. If that doesn’t work, it is time to discipline.

There are reasons to fire someone without giving the person additional chances (see Releasing an Employee). Dishonesty such as theft or lying, intoxication on the job, serious insubordination, or refusing to carry out a reasonable order are examples. For the safety of the company’s customers, business associates, and employees and the protection of its assets, these actions can’t be tolerated.

For most performance problems, though, it is important to give employees the chance to understand what behaviour is expected and what the consequences will be if performance isn’t improved.

Steps For Discipline

It is important to give your employees the chance to improve their performance. A series of disciplinary steps give them the chance to fix their performance problems. A typical discipline system would be:

Step 1 The supervisor gives the employee a verbal reprimand and asks the employee to stop the behaviour or improve his or her performance. The supervisor should be clear about what behaviour or performance is expected. The date and nature of the reprimand should be documented briefly in the supervisor’s own records, but would not normally be put in the employee’s personnel file.

Step 2 The supervisor writes a letter (see Reprimand Letter to the Employee) asking the employee to stop the behaviour or improve his or her performance. The supervisor should be clear about what behaviour or performance is expected. The letter should also indicate that a further incident will result in suspension from work without pay. A copy of the letter is put in the employee’s personnel file.

Step 3 The employee is suspended for up to three days. The employee is told in writing (see Suspension Letter) the reason for the suspension. The letter is clear about what behaviour or performance is expected. The letter also tells the employee that a further incident will result in the employee being fired. A copy of the letter is put in the employee’s personnel file.

Step 4 The employee is dismissed. (See Dismissal Letter and Releasing an Employee.) See Releasing an employee to see what issues you need to consider before dismissing an employee.

Documentation

It is important for companies to ensure that performance problems and serious incidents are well documented. For disciplinary issues, employers need to keep file copies of the disciplinary letters given to the employee.

In the case of serious incidents which require prompt action, employers will need to have a record of statements by key players in the incident.

It is wise to consult a lawyer prior to a dismissal, even for a small business. In the case of a serious incident, you may wish to suspend the individual immediately while you determine the action you need to take.

Sample Disciplinary Letters

Step 2 - Reprimand Letter

Step 3 - Suspension Letter

Step 4 - Dismissal Letter