Aug 13, 2021

4 Important Reasons To Immediately Document Performance Problems

The importance of documenting performance problems as they occur cannot be overstated.

 

The importance of documenting performance problems as they occur cannot be overstated. Although this requires meeting with the employee and discussing the issue, which will almost certainly be uncomfortable, it’s your best defense to a wrongful termination claim should the employee feel litigious after termination. 

Too many employers rely on the concept of employment at-will to protect them, when the reach of this concept is actually quite limited. The problem is that if an employer has little to no documentation and relies on at-will employment—and the theory that legally no reason is required—the terminated employee, their attorney, and possibly a jury of their peers will fill the blank with an illegal reason. Although you may be within your rights to terminate “for no reason,” it’s a dangerous position to take. 

But if the threat of litigation isn’t compelling enough, there are other reasons to deal with performance and behavioral issues promptly and with documentation. Addressing performance and behavioral issues as they arise will improve performance and behavior! There are a few basic principles working in your favor when you commit to the manta of “don’t delay, manage today.” 

Here are just a few: 

1. If they don’t know they’re doing something wrong, they can’t fix it. A huge number of employees don’t realize their performance or behavior is a problem—or that it’s as bad as it is—until they are being handed their pink slip. Talking to them about it will likely lead to you having a better employee and reduce hefty turnover costs.

2. No one likes being in trouble. If you talk to an employee about an issue and they understand that failure to improve will result in another talking to, they are likely to shape up. If they are impervious to discipline, then addressing issues early and often will help you shepherd them out the door more quickly, so you can replace them with someone better.

3. Documentation makes it real for the employee. It’s easy to brush off a quick, oral scolding time and again, but when employees know something is “going in the file,” they are likely to take it much more seriously.

4. Other employees will catch on. If you are consistent in addressing performance and behavioral issues, your employees will know it. But consistency is key. If you only haul employees in sporadically for failing to meet expectations, you won’t reap the benefits of a culture of accountability.

Ultimately, talking to employees and making a paper trail will serve you both during employment, by encouraging better performance and reducing turnover costs, and after, should they threaten to sue. You can find dozens of resources on the HR Support Center. Give us a call to find out more!


 

MORE RECENT NEWS…


Feb 12, 2026

How to Manage Underperforming Employees

You've invested time and money in training your employees to meet or exceed the performance expectations you set for your company. But sometimes things go wrong. Read through for tips on how to motivate and refocus individuals before you have to let them go.


Feb 11, 2026

In Charge: Tips for First-Time Managers

Congratulations! Your hard work has finally paid off and you've been promoted to manager. As you settle into your larger office space, you may be asking yourself what comes next. Read through for pro tips on how to be an effective first-time leader.


Feb 10, 2026

Key Tax Changes Taking Effect in 2026

It may be hard to believe, but now is a good time to begin planning for the 2026 tax season. Several provisions enacted in 2025 will take effect in 2026, and early awareness could help you avoid surprises. Read through to learn which changes may affect your filing and what steps to consider ahead of the next tax season.


Feb 09, 2026

How To Secure Payroll Data

From confidential information to bank routing numbers and everything in between, it's no wonder payroll security is highly protected. Read through to learn how biometric verification, data encryption and monitoring for suspicious activity can safeguard this information.


Jan 15, 2026

Holidays + Vacation + Illness = Paid Time Off

Are you paying too much for paid time off? Read through to discover a way to cut PTO costs without cutting back on employee benefits.


Jan 14, 2026

IRS Gives Guidance on New Tax Benefits

The Department of the Treasury and the Internal Revenue Service are providing guidance on OBBBA-expanded Health Savings Account eligibility that allows more people to save and pay for healthcare costs. Read through for more details to help you file accurately.




More News & Press can be found in our Archive.