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The Fair Labor Standards Act (FLSA) does not require performance evaluations. Performance evaluations are generally a matter of agreement between an employer and employee (or the employee's representative).
Effective performance management systems typically include the following three broad elements: goal setting, performance review and a performance improvement process.
Performance evaluations benefit both employee and employer. It is a time to provide feedback, recognize quality performance and set expectations for future job performance. It is also a time to have candid conversations about performance that is lacking and how performance can be improved.
Here's a step-by-step guide to effectively evaluating employees:Set Performance Standards.Set Specific Goals.Take Notes Throughout the Year.Be Prepared.Be Honest and Specific with Criticism.Don't Compare Employees.Evaluate the Performance, Not the Personality.Have a Conversation.More items...
Your evaluation should focus on how well the employee performs their job, rather than their personality traits. When you make judgements about the employee's personality, they can feel attacked and the conversation can turn hostile.
Quality of Work.Goals and Target Achievement.Level of Productivity.Initiative and Motivation.Teamwork and Leadership Skills.Ability to Problem Solve.Written and Verbal Communication Skills.Performance Self-Appraisal.
Whilst there is no legal requirement to carry out appraisals, it is good practice to do so as they enable employers to monitor and feedback on all employees' performance (not just those who are underperforming). They can also be used to evaluate pay increases and bonuses.
Appraisals should not be used to discriminate against employees on the basis of race, religion, age, gender, disability, marital status, pregnancy, or sexual preference. 3. Performance appraisal results should be fair, accurate and supported by evidence and examples.
Factors to consider for performance appraisalsPunctuality. Punctuality refers to the degree to which an employee is on-time for work.Accountability.Quality of work.Quantity of work.Time management.Teamwork.Reliability.Communication abilities.More items...
Performance evaluations are not mandatory, according to the U.S. Department of Labor. They are a matter between you and your employees or your employees' representative. Performance evaluations help you to determine merit increases and come up with employee development strategies.