15 Actionable Tips for Managing Underperforming Employees
(Without Losing Your Mind)
Managing underperforming employees is like trying to assemble IKEA furniture without instructions—frustrating, confusing, and occasionally rage-inducing. But before you start swinging that metaphorical Allen wrench, take a breath.
The truth? Underperformance isn’t always about laziness. Sometimes it’s miscommunication, burnout, or a skills gap. Your job? Diagnose, strategize, and—when necessary—course-correct. Below, we’ve got 15 battle-tested tips to help you turn things around (or at least sleep better at night).
Why Employees Underperform (Hint: It’s Not Always Their Fault)
Before you start drafting that passive-aggressive email, consider the root causes:
Unclear expectations (“Wait, that report was due yesterday?”)
Lack of training (Nobody taught them how to use the damn CRM)
Personal struggles (Burnout, health issues, or a toxic coworker)
Wrong role fit (A creative genius stuck in spreadsheet hell)
Pro Tip: The AIHR blog suggests starting with a curious, not accusatory conversation.
The 15-Step Playbook for Fixing Underperformance
1. Spot the Problem Early
Don’t wait for the annual review. Look for:
✔ Missed deadlines
✔ Declining work quality
✔ Sudden disengagement
Example: If your usually punctual employee starts ghosting meetings, dig deeper.
2. Ask, Don’t Assume
Instead of “Why are you slacking?” try:
“I noticed the project’s behind. What’s making this harder than expected?”
3. Reinforce Expectations (Like a Broken Record)
Clarity > mind-reading. Rephrase goals:
“Our target is 50 client calls/week. You’re at 30. Let’s figure out how to close the gap.”
4. Co-Create an Action Plan
Collaborate on solutions. Example:
Employee: “I’m drowning in admin work.”
You: “What if we automate invoicing and free up 10 hours/week?”
(Insert table: Sample Performance Improvement Plan)
| Goal | Action Steps | Timeline | Success Metric |
|---|---|---|---|
| Boost client calls | Role-play pitches, shadow top performers | 30 days | 45+ calls/week |
5. Schedule Regular Check-Ins
Weekly 15-minute syncs > quarterly lecture marathons. Agenda:
Wins
Roadblocks
Next steps
6. Celebrate Small Wins
A little recognition goes a long way. Try:
“You crushed that client demo—way clearer than last time!”
7. Train, Don’t Complain
Offer resources:
✔ Workshops (LinkedIn Learning, Coursera)
✔ Mentorship
✔ Shadowing a high performer
8. Document Everything (Like a Paranoid Detective)
Track:
✔ Performance issues
✔ Conversations
✔ Improvement plans
Why? Because lawsuits love vague paper trails. (SHRM agrees.)
9. Adjust Roles If Needed
Maybe they’re not bad—just mismatched. Example:
A struggling sales rep might thrive in customer success.
10. Set SMART Goals
Vague goals = vague results. Instead of “Do better,” try:
“Increase weekly sales calls from 20 to 35 by June 30.”
11. Give Constructive Feedback (Without Tears)
Use the SBI Model:
Situation: “In yesterday’s presentation…”
Behavior: “…you skipped the budget slide…”
Impact: “…so the client asked for a redo.”
12. Escalate Gradually
Informal chat
Written warning
Performance Improvement Plan (PIP)
Termination
Resource: Gartner’s PIP guide
13. Know When to Cut Losses
If coaching fails, it’s time for a respectful exit. Script:
“We’ve tried X, Y, and Z, but the metrics haven’t improved. Today’s your last day.”
14. Protect Team Morale
Underperformers drag everyone down. Address issues swiftly—but discreetly.
15. Reflect on Your Leadership
Could you be part of the problem? Ask:
✔ Do they have the right tools?
✔ Are expectations crystal clear?
✔ Is feedback a two-way street?
FAQs: Handling the Awkward Stuff
“How do I fire someone without getting sued?”
Document everything (emails, warnings, PIPs)
Be specific (“You missed 3 deadlines despite 2 written warnings.”)
Consult HR/Legal before pulling the trigger
“What if they’re nice but incompetent?”
Soft skills matter, but so does output. Try:
“I love your teamwork, but the coding errors are delaying projects. Let’s pair you with a mentor.”
“How to give feedback without crushing morale?”
Sandwich method (Praise → Critique → Praise)
Focus on behavior, not personality (“The report had errors” vs. “You’re careless”)
When All Else Fails: The PIP Talk
A Performance Improvement Plan (PIP) isn’t a death sentence—it’s a last-chance lifeline. Steps:
Identify gaps (“Your error rate is 20% above average.”)
Set goals (“Reduce to 5% in 60 days.”)
Offer support (Training, check-ins)
Evaluate (Improvement? Great. No? Exit.)
Key Takeaways
Diagnose before disciplining.
Feedback should be clear + kind.
Document like your job depends on it (because it might).
PIPs are progress plans, not pink slips.
Your Move: Pick one struggling employee and apply one tip this week. Small steps > grand plans.
Need a cheat sheet? Bookmark Shiftbase’s guide for quick reference.
