What Should Managers Write Down When an Employee is Underperforming?

Performance issues often become more difficult when concerns have been discussed informally for a while, but very little has been written down. A manager may remember having several conversations, but later struggle to say exactly what was discussed, what examples were given, how the employee responded or what was agreed.

Good documentation helps avoid that problem. You don’t need to write a formal note every time someone slips up, but when the situation is serious enough or has been repeated a few times, keeping enough of a record to show what happened, when, what was expected and what happened next is important. Brief notes made at the time are more helpful than a detailed account written months later when the issue has become more serious.

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Start with the actual performance issue

A note saying that somebody is “not performing well” isn’t sufficient. The record needs to explain what has actually happened and how that compares with the standard expected.

For example, “quality discussed” doesn’t tell anyone what the problem was. “Three customer quotations this month contained pricing errors that had to be corrected before they were issued” is much more useful. The record doesn’t need pages of examples, but it should be specific enough for somebody reading it later to understand the concern.

The same applies to the standard expected. “Needs to communicate better” is difficult to review later. If the concern is that two client emails were left unanswered for more than three working days despite an agreed one-day response time, record that. The clearer the note is about what was expected, the easier it is to review whether things have improved.

Record the employees explanation too

A useful record should include the employee’s explanation as well as the manager’s view. They may point to a training gap, competing priorities, a workload issue, unclear instructions or something affecting their health. Those points don’t automatically remove the performance concern, but they are relevant to the record because they help explain the employee’s position and may affect what happens next.

There’s no need to write down the whole conversation word for word. A short summary of the employee’s explanation, together with anything that needs to be checked or followed up, is usually enough.

Be clear about support, timescales and what happens next

If training, clearer priorities, coaching or another form of support have been agreed, record what that support is and when it will happen. If there’s a review date, include that too.

If the issue later moves into a formal capability process, the records should show that the employee understood the concern, knew what improvement was required and was given a reasonable opportunity to improve. Case law has repeatedly shown the importance of clarity around the required standard, the opportunity to improve and, once the process becomes formal, the possible consequences if the required improvement is not achieved.

The purpose of the note is not to document the whole performance process again. It’s to leave a clear record of what the employee was told, what support was agreed and when it would be reviewed next.

Do not wait until the process becomes formal

There’s often very little written down in the early stages of a performance problem. The manager may have had several informal conversations, but later there’s no clear record of when the concern was raised or what the employee was asked to do differently.

Not every informal discussion needs a written note. However, if the same concern is coming up again or the conversation is significant, it is sensible to record the main points while they’re still fresh in your mind.

If the employee’s performance improves those notes, provide a useful record of what was discussed and what changed. If the problem continues, they help the manager avoid having to reconstruct several months of conversations from memory.

Share the note without feeling you have to agree every change

Where a performance discussion is important enough to record, sharing the note with the employee can help make sure they understand what has been recorded and what’s expected next.

The employee may remember parts of the conversation differently, which doesn’t mean the manager has to change the note when they believe it’s accurate. But where there is a genuine difference of opinion, both views can be recorded.

For example, the note might state the manager's view that a deadline was missed and then record that the employee disagrees and why. The record should show what was discussed, including where the two sides didn’t agree.

Be careful about the wording

Performance notes form part of the employee record and may later be read by the employee, another manager, HR, a solicitor or a tribunal. Employees can also ask to see personal information held about them, which may include appraisal notes, emails and records of performance discussions.

Managers should therefore keep the wording factual and professional. Rather than writing that somebody “doesn’t care”, record what led to that view - for example, that they failed to respond to three customer emails despite reminders. Instead of describing someone as “lazy”, note the work that was not completed or the deadlines that were missed. If the concern is that someone has a “bad attitude”, describe the behaviour that caused concern, such as interrupting colleagues repeatedly in meetings or refusing to follow an agreed process.

That way, the record shows what actually happened rather than relying on labels or assumptions about somebody’s motives.

The same applies to informal emails and messages between managers. A quick comment written in frustration can become relevant later. It’s better to describe the facts and avoid language that would be difficult to explain if the employee read it.

Record good performance as well as concerns

Performance notes should not only be made when there’s a problem. Regular one-to-ones, probation reviews and performance discussions are also useful places to record progress, achievements and positive feedback.

That gives a more balanced record of the employee's performance and makes it easier to see whether things are improving over time. It also helps if the employee changes manager, because the new manager has more than the most recent concern to work from.

For a growing business, brief records kept regularly can make reviews and performance conversations much easier without creating a large amount of extra administration.

Would the note make sense six months later?

A simple test is to read the note as if you knew nothing about the situation.

Could you tell what the concern was, what standard was expected, what the employee said, what support or action was agreed and when the position would be reviewed?

If so, the note is probably detailed enough. It doesn’t need to be long or formal, just detailed enough to help the manager manage the issue properly and give the employee a fair opportunity to understand what needs to improve.

For SMEs, that’s usually the right level of documentation: enough to support clear management and fair decisions without making every performance conversation feel formal.

Disclaimer

This article is for general information and practical guidance. It isn't legal advice. Performance and capability situations vary, so specific advice may be needed where matters are formal, sensitive or could lead to dismissal.