Performance Management: Getting It Right Before It Goes Wrong

Performance management is one of the most mishandled aspects of employment law. Managers fear it, employees feel targeted by it, and businesses pay the price when it’s avoided or done badly.

This blog builds on our earlier discussion in Part 1 of this series, where we explored restructuring and redundancy. You can read that instalment here. We now turn to the equally important topic of managing performance effectively and lawfully.

Performance Management: Common Mistakes Employers Make

Performance issues often escalate because employers:

• Delay difficult conversations and hope problems resolve themselves
• Fail to understand underlying causes (illness, disability, team conflict, or personal issues)
• Provide unclear or shifting expectations
• Skip essential steps in the process (informal chats, fair hearings, right to representation)
• Lack documentation to back up decisions

And critically, many managers have never been trained in how to lead performance conversations—one of the biggest blind spots in growing organisations.

A Better Approach to Performance

Effective performance management relies on clarity, consistency, and support:

1. Address issues early
Quick, informal feedback prevents most problems from becoming formal cases.

2. Set SMART expectations
Specific, Measurable, Achievable, Relevant, Time-bound goals create fairness and clarity.

3. Support improvement
Training, mentoring, coaching, and regular check-ins give employees a genuine chance to succeed.

4. Follow a fair process when escalation is needed
Formal meetings, representation, written warnings, and set improvement periods are essential.

5. Document everything
Records, notes, and agreed objectives form the backbone of a defensible process.

When done well, performance management isn’t a punitive exercise. It’s a chance to turn under performance into renewed engagement and productivity, strengthening both individuals and the business.

At SE-Solicitors, our employment team works with businesses to prevent problems before they arise, and to guide them through difficult processes with clarity and confidence. Whether you are planning a restructure, tackling persistent under-performance, or responding to a grievance, early advice makes all the difference. Contact me here. 

Next in part 3 in this series, we discuss how to handle grievances and disciplinary matters without damaging trust or inviting legal risk.

The contents of this article are a general guide only at the date of publication. It is not comprehensive, and it does not constitute legal advice. Specific legal advice should be sought in relation to the particular facts of a given situation.