University of Liverpool researchers explored how performance management practices, intended to boost employee performance, may unintentionally harm employee well-being. The team, led by Dr Mariella Miraglia, examined three specific performance management practices: setting goals, monitoring performance, and evaluating performance. They looked at how these practices influenced two unhealthy employee behaviours in the workplace: absenteeism (missing work due to illness) and presenteeism (working while sick).
Using data from a French survey involving over 17,000 workers, the researchers found that goal setting and monitoring were linked to higher absenteeism and presenteeism because they contributed to increased work intensity. In contrast, performance evaluations had a smaller negative impact on these behaviours.
The research findings showed that:
- Goal Setting and Monitoring make work more demanding, which can result in employees taking more sick days or coming to work even when they're ill.
- Performance Evaluation was expected to strongly affect behaviour; however, results show that its effects were weaker. This may be because evaluations happen less frequently and do not create the same ongoing pressure as setting goals or monitoring performance.
- Work Intensification showed a clear link between the intensity of work stemming from performance management practices and the unhealthy behaviours of absenteeism and presenteeism.
The research revealed that while performance management practices aim to improve employee performance, they can lead to negative outcomes in employee health and well-being, suggesting that organizations need to be mindful of how these practices are designed and implemented. Improvements could take the form of setting more achievable goals and providing supportive feedback instead of just monitoring performance in a rigid way.
The study also highlights the importance of employers considering the social and organizational context when examining employee attendance behaviours. The research suggests a shift toward more humane management practices could better support employee well-being, rather than just focusing on maximizing productivity. Setting reasonable goals, providing regular feedback during and after performance management, and checking in regularly with employees rather than just monitoring them, can reduce stress and help reduce the pressure that might lead to presenteeism. These changes may lead to healthier employees and ultimately lead to higher benefits for organisations in the long term.
Read more: The hazards of performance management: An investigation into its effects on employee absenteeism and presenteeism, Mariella Miraglia, et al, UK and Italy, Human Relations, published online September 2024, doi: 10.1177/001872672412746.