Performance review
Meaning & Definition
Performance review is an assessment of the performance of an employee during a particular period. The review usually involves evaluating the accomplishments, duties, competencies, targets, strong points and weak points of the employee. It serves to discuss the performance, give feedback, establish future goals and facilitate career development.
Important Features of Performance Review
- Serves as a source of structured feedback for employees regarding their performance at work.
- Allows for assessment of progress towards previously set goals.
- Allows for identification of strengths and weaknesses.
- Facilitates employee training and career development.
- Helps to establish future performance goals.
- Allows for making talent and compensation decisions.
Legal Compliance & Policies
Performance review is not generally governed by a specific statutory provision in India. Organizations are expected to carry out such reviews regularly and in compliance with employment laws and HR policy.
Confidentiality of performance information needs to be maintained. Evaluation cannot be discriminatory and must comply with legal requirements. When performance review influences salary, promotions and incentives or disciplinary actions, the organization follows its policy and employment agreements.
