Performance management is something that so many employers have to deal with, and yet a recent Employment Tribunal in Edinburgh underlined how important it is that employers understand, follow and stick to their own processes.
The Case
This Employment Tribunal Ruling found Unfair Dismissal Due to Procedural Failures. The Claimant, a social media content producer for the National Museums of Scotland, was awarded over £22,000 in compensation after an employment tribunal ruled that her dismissal for poor performance was unfair.
• Despite concerns about her work output and quality, the tribunal found that the organisation failed to issue formal written warnings before dismissing her, contrary to its own performance management policy. While the tribunal acknowledged that Briggs’s performance was significantly below expectations, it ruled that the employer did not provide her with fair warning of dismissal, thus rendering the process unfair.
• Briggs, employed since 2009, was subject to informal performance improvement plans (PIPs) in 2022 and 2023 due to concerns regarding attention to detail, missed deadlines, and low content production. Her manager implemented multiple informal PIPs and, following a formal stress risk assessment, placed her on a third PIP in October 2023. Despite this, her performance did not improve, and a formal hearing was held in February 2024, leading to her dismissal for lack of capability. An internal appeal upheld the decision.
• The tribunal determined that while the dismissal was for a legitimate reason, the employer had failed to adhere to its own performance management policy, which required formal written warnings prior to dismissal. As a result, the tribunal ruled the dismissal procedurally unfair and awarded compensation. However, the tribunal also concluded that there was no realistic prospect of Briggs meeting performance requirements had she remained employed, meaning dismissal was inevitable within a few months.
HR Learning Points for Employers:
• Follow Internal Policies Rigorously – Employers must adhere strictly to their own performance management procedures, ensuring that all steps, including formal written warnings, are followed before dismissal.
• Provide Clear and Timely Warnings – Employees should be explicitly informed of the consequences of underperformance, with written warnings issued at appropriate stages, mirroring procedures used in misconduct cases.
• Ensure Transparency and Fairness – While informal support mechanisms like PIPs are valuable, they should not replace formal warnings if dismissal is a potential outcome.
• Consider Employee Wellbeing – While performance concerns must be addressed, employers should take into account any external pressures affecting employees and provide appropriate support.
• Document Each Stage – A well-documented process, including clear records of discussions, warnings, and improvement expectations, can protect employers from tribunal claims.
As we mentioned at the start, this case highlights the importance of procedural fairness in performance management and serves as a cautionary reminder that failure to follow internal policies can lead to findings of unfair dismissal, even when poor performance is evident.
If you or members of your team (especially if they line manage employees) need any help or support with this, then here at Gravitate we’ve the perfect answer, HR Peer Group workshops and People Management Training workshops – see: https://gravitatehr.co.uk/hr-training-workshops/
