Yearly, or even quarterly, performance evaluations can be an extremely effective tool for employers as it provides a unique opportunity to address and document issues related to employee performance and conduct. Yet, many companies fail to conduct employee appraisals on a regular basis.
If your company does not conduct routine employee performance evaluations, consider the following benefits:
- Your employees will know what you expect of them. They will receive feedback, commendation, and criticism of their performance, and will be on notice regarding any perceived weaknesses or concerns.
- You can recognize and reward solid performers and identify and train employees who are under-performing.
- The evaluation process provides a unique opportunity to hear and understand the needs and concerns of your staff.
- Performance evaluations ensure that you track and document any conduct or performance problems.
- In the event that you terminate or discipline a worker, you will have written documentation that you gave the employee notice and an opportunity to address the problem, which is very helpful to shield the employer from liability in the event of a lawsuit.
In order to make sure that your performance evaluations are fair and objective, it is helpful to follow a standard formula for each employee appraisal, which includes each benchmark or goal you set for the employee or position, your assessment as to whether the employee met the goal, and the specific reasons for your determination.