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Hidden Cost of Retaining Under performers in Organization

By SiliconIndia   |   Thursday, May 24, 2012
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Hidden Cost of Retaining Under performers in Organization


Bangalore: Every recruiter at some point of his/her life has made the mistake of hiring wrong candidates. Sometimes the HRs doesn't want to admit this fact, and sometimes they just hope that their performance may improve with experience. But sooner or later their perception proves to be wrong, and these under performing employees appear to be a burden for the organization. Hanging on to these problematic employees seems like a genuine and sincere effort to mend them as good workers. But in reality, the company is paying a heavy price for this act of philanthropy.

The HR Managers may not realize at first, but the most lethal effect of retaining the trouble making workers is the adverse effect that falls on other good performers and the office environment. Because of this, the morale of other employees in the organization may go down. Some results may be in the form of reduced productivity, higher rate of absenteeism, decline in discipline and also the negative image of the management. Not forget to consider other associated factors like loss of management time, effort and money.
Now, a question does comes to our mind, "Why, in spite of being aware of all these facts related with problematic employees, management is still adamant to retain them?"The response may seem very futile, "Management just does not want to admit that they had done a recruiting mistake." HRs just does not want to go through the trouble of a new hiring process, assuming it will be a waste of time and money. "The Humanity Factor", also comes into the picture. These types of under performers most of the times come from a pitiable financial background. Above all, the management believes that poor performers can show better result with proper training.

The HRs do not need to despise under-performers. There may be improvement and with better guidance these workers can also show great results.But, there is a thin line between poor performer and the person who cannot perform. First type of person can be mended to be an excellent worker, but the HRs has to be bewared of the second type of employees. It is their duty to identify them at the beginning itself and take appropriate action. This will not only help to save the valuable resources of the company but will also help to build a better working environment.

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