Warning Letter
A warning letter is a formal written communications typically issued by an employer to an employee to address performance issues, misconduct, or policy violations. It serves as a formal notice to the employee that their behavior or performance that needs immediate improvement. This can be done on top of informal and verbal communications.
A warning letter usually outlines the specific concerns or issues, provides details of past incidents, and highlights the expected changes or improvements required from the employee. Employees who receive a warning letter are generally expected to acknowledge it, self-reflect on the issues mentioned, and take steps to rectify their behavior or performance.
Warning letters can be issued for various reasons, including but not limited to:
1. Misconduct:
This can include things like insubordination, dishonesty, theft, or other breaches of company policies.
2. Poor Performance:
If an employee consistently underperforms or fails to meet job expectations or key results area.
3. Attendance Issues:
Frequent absenteeism, tardiness, or not adhering to work hours.
4. Violation of Company Policies:
Any breach of company rules and regulations.
5. Unprofessional Behavior:
Behaviors that disrupt the workplace, such as harassment or discrimination.
6. Safety Violations:
If an employee’s actions jeopardize the safety of themselves or others.
7. Conflict of Interest:
Engaging in activities that create a conflict of interest with the employer.
8. Violation of Employment Agreement:
Not complying with the terms and conditions of the employment contract.
These are some common grounds, but it’s essential to refer to the specific policies and employment contract within your organization for a detailed understanding of what warrants a warning letter. Employers are generally expected to follow due process and be fair when issuing warning letters. The specific grounds for issuing warning letters may vary based on the company’s policies and employment agreements. There is no specific law that lists these grounds.
After receiving a warning letter in Malaysia, an employee should consider taking the following remedial steps
1. Acknowledge Receipt:
First and foremost, acknowledge the receipt of the warning letter, either by signing it or sending an acknowledgment email. This shows that you’re aware of the concerns raised even if you are not agreeable to it.
2. Self-Reflection:
Reflect on the reasons for receiving the warning letter. Consider the information and your case factually. Consider whether the concerns are valid and if there are areas where you need improvement.
3. Communication:
If you believe there are misunderstandings or if you have concerns about the content of the warning letter, consider discussing them with your immediate supervisor or the HR department. It can then be followed by a written communication.
4. Action Plan:
Develop a clear plan for improvement. Identify specific steps you will take and results they will be able to see and experience to address the issues mentioned in the warning letter.
5. Follow Company Policies:
Ensure you understand and follow your company’s policies and procedures, especially those related to addressing performance or misconduct issues. Refer to your letter of employment and Employment Handbook and if you are unsure, please refer to your Human Resource Department
6. Seek Guidance:
If needed, seek guidance or coaching from colleagues, mentors, or professionals in your field to help you improve in the areas mentioned.
7. Document and Report Progress:
Keep a record of your progress in addressing the issues mentioned in the warning letter. This can be helpful if you need to demonstrate improvement.
8. Maintain a Positive Attitude:
Show a willingness to learn and improve. Maintaining a positive attitude and a strong work ethic can go a long way in demonstrating your commitment to your job.
9. Legal Advice:
If you believe the warning letter is unjust or if you’re facing discrimination or harassment, you may want to consult with legal counsel for advice on your rights and options.
It’s essential for employees to take warning letters seriously, address the concerns, and work towards improvement. Open communication with the employer or HR is often a key to resolving such issues effectively.
An example of poor performance by a salesperson that could warrant a warning letter.
Imagine a salesperson named Mutu working for a service based company. The company has a monthly average recurring sales target for each salesperson, which they are expected to achieve that is outlined as part of their letter of employment and there is both fortnightly and monthly review of their sales performance. Mutu monthly target is to bring in an average new recurring sales of RM5,000 with 50% of the new sales coming from his own effort of “Go To Market Leads Generation (GTM)” strategies while the company will provide a minimum 5 new leads on a monthly basis. Over the past two months, Mutu have been falling short of his monthly average sales target.
Here’s his performance record:
Month 1: Mutu only secured RM3,000.00 which is 40% below the target. The sales is coming from the leads that the company given him. There have been no leads generated from his own GTM and he is giving a lot of reasons for his poor performance. In this scenario, Mutu failure to meet the sales target over the Month 1 clearly demonstrated poor performance. The employer have met him and raised informal verbal feedback and been guiding and putting him on an informal performance improvement plan with weekly review.
While there is no specific law governing sales targets, it’s generally accepted in the sales industry that salespeople must meet or exceed their set targets to demonstrate effective performance.
Month 2: Mutu did not secure any sales which is non performance. He mentioned that he has met many potential customers but none is able to secure any order yet. His GTM only created 2 new lead. In this case, the company may issue a first warning letter to address this issue and provide him another round of clear opportunity to improve his sales performance. Mutu is now required to take proactive steps and measures to perform on fortnightly basis
Month 3 (First 2 weeks): Mutu did not secure any sales again and only created 2 new leads. In this case, the company may issue second warning letter to address this issue and provide him another opportunity to improve his sales performance. Mutu is now required to take proactive steps and measures to perform on fortnightly basis
Month 3 (Last 2 weeks): Mutu did not secure any sales and only created 4 new leads. In this case, the company will issue a third and final warning letter to address this issue and the company may terminate his employment based on the termination notice policy of the company.
Recommendation: If you’re an employer, it’s essential to communicate expectations clearly and provide sales staff with training and support. If you’re a salesperson facing performance issues, take proactive steps to improve and seek guidance from your sales manager or colleagues.
Disclaimer: Every case is different and it depends on the company policy and the management of the employee by the company. The example above may not apply to you or your business and the Employment Act may change from time to time. Kindly refer to us or engage your HR Professional accordingl
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