Performance Management Policy
A Performance Management Policy is an important HR document used to outline your business expectations of employees performance.
Last updated October 24, 2025
Suitable for Australia
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What is a performance management policy?
What is a performance management policy?
When should you use a performance management policy?
When should you use a performance management policy?
What should be in a performance management policy?
What should be in a performance management policy?
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Frequently asked questions
Who is this policy suitable for?
keyboard_arrow_upWhat protections does this policy offer employers?
keyboard_arrow_upWhat are the main limitations of this policy?
keyboard_arrow_upHow often should the policy be reviewed?
keyboard_arrow_upWhat training is required for managers?
keyboard_arrow_upDoes this policy cover disciplinary action?
keyboard_arrow_upCan this policy be used in all Australian states and territories?
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The Legal Risk Score of a Performance Management Policy Template is Low
Our legal team have marked this document as low risk considering:
- There is a risk that the document’s reliance on supervisors and managers to fairly interpret and apply performance standards could lead to inconsistencies in handling unsatisfactory performance across different departments or teams.
- The document outlines a structured process for managing performance that requires meticulous documentation and follow-up, which could be burdensome for smaller organizations or those without a dedicated human resources department.
- The policy's emphasis on procedural fairness and natural justice, while protective of employee rights, may prolong the resolution process, potentially impacting organizational efficiency if not managed effectively.
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