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Giving Accurate Performance Evaluations

Seasons greetings! It’s that time of year again. No, we aren’t talking about shopping ’til you drop, New Year’s resolutions, or holiday parties (at least not in this article). It’s time to start thinking about employee performance evaluations.

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A gift that keeps on giving
If you’re one of those folks who have trouble getting evaluations from supervisors — and know that you aren’t alone — consider sharing with them this holiday tidbit: The value of performance appraisals isn’t restricted to compensation decisions. Evaluations can also help supervisors shape employees’ improved performance.

Employees need to know that their supervisors are continually assessing their performance and that they’ll receive written evaluations at regular intervals, at least annually. Make sure you communicate the purposes of the performance review process: generally, to reward employees for a job well done and to offer constructive criticism for improvement when necessary.

Basic Training for Supervisors, easy-to-read guides for avoiding legal hazards, including performance evaluations

Be honest about who’s naughty and nice
Many companies use a review form as a mechanism for documenting performance. Here are some things to remember when completing a performance appraisal form:

  • Describe the quality of the employee’s work. Keep in mind that courts usually will defer to the employer’s evaluation of the quality of an employee’s work. Exceptions can occur, however, if you don’t apply uniform standards for all employees. Conducting regular reviews and documenting performance using standard evaluation forms can maximize the chances of prevailing if you’re ever challenged. Moreover, performance appraisals can be an invaluable learning tool for employees and an opportunity for positive feedback.
  • Describe the quantity of work. Unlike qualitative performance criteria, quantifiable work standards tend to be less subjective and easier to measure. Document whether the employee completes assigned tasks in a timely manner.
  • Review the performance appraisal with the employee. As difficult as it may be to discuss a review with an employee, the performance appraisal shouldn’t simply be placed in her file. The evaluation should be discussed and acknowledged by the employee.
  • Don’t show favoritism. Supervisors and managers can’t allow their own personal likes and dislikes to influence the appraisals they give employees. Using objective, measurable criteria is important.
  • Don’t let a single incident impact the entire year. Sometimes a single incident may make such an impression on a supervisor that he loses sight of the employee’s overall contribution.
  • Don’t let one quality overshadow areas for improvement. Make sure supervisors don’t allow one great quality of an employee to unduly influence their rating of all factors. Having thoughtful definitions for each factor on the appraisal form and maintaining observations in separate sections can assist in overcoming this pitfall. Even the best employees may have some room for improvement that should be noted.
  • Don’t be too generous. Supervisors can be overly lenient or simply apprehensive about rating employees honestly (e.g., unfavorably). As a result, they may tend to give all employees a better-than-average or excellent rating and fail to differentiate the good from the bad. Unfortunately, exceptional employees are often inadvertently penalized by that approach, while the shortcomings of lower performing employees go uncorrected because of misguided generosity.
  • But don’t be too strict, either. On the flipside, some managers tend to rate employees too severely. Attention to clearly defined standards can help overcome this pitfall.
  • Don’t be the average Joe. Some managers rate all employees as “average” in an attempt to play it safe. Nothing is gained from completing appraisals unless supervisors distinguish among the employees they evaluate. Managers must remember that all employees are different, and that fact should be reflected in their evaluations. Of course, a supervisor who is doing a proper job of appraising subordinates will often evaluate many employees’ overall performance in the middle or “average” range. But normally, there will also be employees whom the supervisor rates as above or below average.

Keep in mind that conducting performance appraisals doesn’t automatically warrant a salary adjustment or change in an employee’s status, nor is it to be interpreted as a guarantee of future employment with the company.

HR Guide to Employment Law: A practical compliance reference manual covering 14 topics, including documentation issues such as performance evaluations

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