Research by the Society for Human Resource Management (SHRM) shows that average cost-per-hire is over $4,100 for most positions. The SHRM also found that the annual turnover rate is 19 percent and the termination rate is eight percent. While it may take over 40 days to fill an open position, the average employee lasts about eight years. Having a progressive discipline policy is the best way to minimize hiring costs and reduce involuntary turnover rates.
Verbal Warnings
A verbal warning is the standard first step of progressive discipline. A verbal warning notifies an employee that a change in behavior or improvement in work performance is needed. These are usually used for minor issues, such as failing to call-in or arriving late to work. Verbal …show more content…
Most organizations use a standard warning form that includes the details, date and corrective action requested. Depending on the nature or severity of the issue, a second verbal warning may be issued prior to giving a written warning. Bear in mind that instances of supervisors who just confront employees about issues without documentation are neither legitimate nor legally recommended.
Written Warnings
Written warnings inform employees that their unchanged work performance issues or inappropriate workplace behaviors are even more serious. Employees who reject corrective actions or ignore supervisor instructions from the verbal warning need a written warning to set expectations. Verbal warnings are formally documented, but a copy is not always shared with the employee. Before the end of the disciplinary meeting, the employee should be asked to sign indicating that they understand the content. Employees who refuse to sign may be subject to disciplinary measures, such as being sent home for insubordination.
Written Warning