You're (not) fired...how do you avoid getting canned?
JOB CUTS | 'Lower performers are the first ones to go'
Subpar performers have cause to be more worried about job security in the midst of these weak economic times. They're likely to be the first on the chopping block, some local human resources and outplacement experts note.
Given that labor is typically employers' biggest expense, "as they cut their expenses, they start looking at ways to cut their payroll, and short of a downsizing, they look at cutting out the people who just aren't their best employees, at the worst of the employees, the ones who cause them the most headaches or have the poorest performance ratings on the job," said John Challenger, chief executive officer of the Chicago-based outplacement firm Challenger, Gray & Christmas. "It's one of those steps that lets a company try to improve itself through the tough times."
(AP)
That view was echoed by Carol Semrad, president of C. Semrad & Associates, a Chicago-based human resources consulting company.
"When times are tough, if they have to make cuts, the lower performers are the first ones that have a tendency to go," she said.
But employers shouldn't be too quick on the trigger, Challenger contends.
"Companies who are too quick to act could cut out employees who just may need more time or more seasoning, more support, who may be going through a tough time in their life," he said.
"[Employers] should be very careful not to cut too deeply because if a turnaround occurs, they may need those people, and hiring someone new means you start from scratch. They [new hires] have to learn the organization and the people."
So there's not only the expense of finding the right person, but getting that person up to speed, he said.
Others stress that waiting until tough economic times to pull the trigger on poor performing staff isn't a smart employer move.
"If you have a poor performer, you have to address that poor performer or poor performance issue when it's occurring," said Deb Cohen, chief knowledge officer with the Society for Human Resource Management.
Sally Anderson, president of the Chicago chapter of the Society of Human Resource Professionals, agreed.
"Employers, if they were smart, would follow their performance management standards and make sure they're coaching employees and really making smart hiring decisions, and also, with the whole life cycle when it comes to employees, making sure they're really managing their performance," she said.
Employers that are good at managing performance tend to be good at it whether the economy is in good or bad shape, Semrad said.