WPM7202 – EMPLOYEE DISCIPLINE (ARTICLE 1)

What is Employee Discipline?

Many HR professionals find employee discipline to be one of the most

difficult and taxing parts of HR. Especially if you are new to leading this
process, it’s easy to feel uncertain or stressed. Fortunately, there are
helpful attitudes and actions to take.

Employee discipline is the action of a company when an employee

doesn’t follow the company’s rules and policies. Employee discipline
should be positive, and contribute to a safe and pleasant work
environment for everyone. The focus is not on punishment and
consequences, but rather on plans for improvement and growth.

The Importance of Creating and Following an Employee Discipline

Policy

An effective discipline policy is beneficial to both the employee and the

employer. It gives employees the opportunity to develop and improve. It
also protects the employer if the employee was later terminated.

• Employee Growth – A successful business helps their employees

improve and grow. Through a progressive discipline policy, you
can help employees address their mistakes and become greater
contributors to the business.
• Employer Protection – Some employees fight termination or
other disciplinary action, and the conflict may become a legal case.
Creating and following a discipline policy will ensure you have
documentation and help you remain fair in your decisions,
ultimately protecting your business.
• Fair Workplace – A policy also makes sure that everyone is
treated fairly. You will follow and document the same process for
everyone, helping to avoid any biases or discrimination

What to Include in Your Policy

Every policy should be clearly written and given to employees. It should

include the rules and examples of some behaviors that might lead to
disciplinary action. You should include the steps and actions that the
company will take when there are infractions or misconduct. Many
companies choose to include a statement that protects their right to
terminate employees at will.

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Progressive Discipline: The Most-used Disciplinary Method

Progressive discipline provides a series of steps that are followed and

documented by HR or the supervisor. This process ensures that the
supervisor or HR clearly communicates with the employee throughout the
whole process.

The purpose of progressive discipline is to help the employee create a

plan of action and improve their overall work performance. Rather than
punishing the employee, the supervisor works with them. Only after
repeated offenses or in extreme circumstances will this process result in
stronger discipline such as suspension or termination.

How to Discipline an Employee Using Progressive Discipline

Before you start disciplining, you must have a fair workplace. All
employees have the right to know what is expected of them. Rules and
policies should be clearly communicated, written, compliant with state
laws, and fairly enforced.

Step 1: Investigate Misconduct

All claims of infractions or misconduct should be thoroughly

investigated.The investigation should be prompt, fair, and thorough to
ensure that the supervisor or HR representative has valid facts.

Step 2: Counseling and Verbal Warning

At this step, the supervisor brings the problem to the attention of the
employee. The nature of the problem and violation of the policies should
be discussed, as well as clear expectations of correct behavior. The
supervisor and employee can also create steps to resolve the problem and
improve performance.

Counseling and a verbal warning can be separate steps, with the

counseling being more informal and pre-emptive and the verbal warning
more formal. The decision depends on individual circumstances and your
policy.

Even though this is a verbal warning, the supervisor should still maintain
a written record of the counsel or verbal warning as proof in case the
problem persists.

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Step 3: Written Warning

If the problem continues or a new problem arises, a written warning

follows the verbal warning. The document clearly states the infraction
and the consequences of a repeat offense.

It is best for the immediate supervisor and/or manager to meet with the
employee and review the written warning with them. The supervisor
should clearly communicate expectations and outline consequences for
failure.

Step 4: Final Written Warning and/or Suspension

Many employers have a final written warning which might be paired with
suspension. The final written warning will have similar details to the
written warning. Suspension should be approved by a manager and HR,
and may be without pay depending on state and local laws.

If an investigation disproves the suspended employee’s wrongdoing, it is

suggested that the employer restores the employee’s pay. This means that
the employee is paid out for their lost work.

There are other options besides suspension before firing someone.

Depending on your company, you may decide to consider these options
as part of this step.

• Withhold compensation increases – If a problem continues, an

employer might withhold future raises until the problem is solved.
• Transfer – A transfer to a different department or role may be
tried before suspension or termination.
• Demotion – Some employees may perform better at a lower level,
so it may be appropriate to demote them.

Step 5: Termination

Termination is always the last step. Any decision to terminate should be

approved by HR and an upper-level manager. Some companies decide
that final approval should come from the CEO.

Many companies fill out a form, similar to a final written warning, that
explains the situation and shows the approval of the necessary personnel
in the termination. If necessary, this can be used as proof that the
company followed the correct procedures.

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The Dos and Don’ts of Employee Discipline

Disciplining an employee is hard, and it is easy to feel overwhelmed and

get caught up in the steps. Here are some helpful reminders.

Do

• Act promptly – Don’t wait to talk to the employee and address the
issue. If you quickly talk to them and are specific in explaining the
problem, it can help them improve quicker and nip the problem in
the bud.

• Consult with employee’s supervisors: Before and during

disciplinary action, it can be beneficial to consult with the
supervising team. Together you can gather information, discuss the
problem, and share perspectives on how to address the issue.

• Document everything – Document everything, even verbal

discussions and written warnings,. It signifies permanency to the
employee and can protect the employer in the event of legal action.
Keep all documents and disciplines in the employee’s file.

• Discipline with fairness – An employee is much more likely to

accept the consequences of their action when they believe they are
treated fairly. Fairness will also prevent discrimination claims that
might come against the employer.

• Follow up – Check in with the employee to see their progress and

provide more feedback. Let them know you care and want to help.

Don’t

• Don’t assume they know the problem – It is highly possible the

employee doesn’t even recognize what they are doing wrong.
When talking to them, explain the problem to them.

• Don’t make it personal – Whatever the problem is, don’t make it

too personal to them. Keep the focus on the job and their work.
Bringing in personal attacks that are irrelevant to their job could be
considered discrimination and will only escalate tension.

• Don’t give empty consequences – If the employee has not

improved and the problem persists, make sure you keep your word
and uphold the consequences you explained to them.

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 • Don’t assume it’s over – After a verbal warning, it might be easy
to believe that the employee will fix the problem. This might result
in a lack of documentation, which can come back to haunt HR if
the problem is not fixed. Don’t assume the problem is fixed or over
until it really is.

WPM7202 – EMPLOYEE DISCIPLINE (ARTICLE 2)

Understanding Employee Discipline

Overview

An effective discipline program is beneficial to both the employer and

employee. It helps employees correct any shortcomings with the goal of
becoming a valuable, contributing member of the workforce.
Documentation created as a result of the discipline process can also help
protect an employer in the event that a termination or other adverse
employment decision becomes necessary. It is useful to view the matter
of discipline as having several components: issues that must be addressed
before administering discipline; methods of disciplining, including
progressive discipline; how to provide employees with an opportunity to
respond to discipline, such as a grievance program; and laws relevant to
termination.

Pre-Discipline Issues

Matters to consider before disciplining employees include: ensuring that

employees know what is and is not permitted in the workplace; how to
discipline with fairness; and how to properly conduct an investigation
into allegations of employee wrongdoing.

Establishing a Workplace Code of Conduct

First and foremost, employees must have fair and reasonable notice of
what is expected of them. They must know the parameters of permissible
and prohibited conduct in the workplace. Rules should be:

• Clearly communicated to all employees in writing.

• Compliant with state and federal laws.

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 • Consistently and fairly enforced.

Employer rules generally fall into one of the following categories:

• Rules governing day-to-day matters, such as attendance, tardiness,

and dress.
• Rules defining what is permissible within the culture of the
company (e.g., whether employees may use company phones or
computers for personal calls or e-mail).
• Rules governing more serious conduct such as drug or alcohol
abuse, workplace safety, or sleeping on the job.
• Rules that, if not followed, may lead to immediate suspension
and/or discharge (e.g., violence in the workplace).

See Employee Conduct and Work Rules Policy

Disciplining with Fairness

If employees believe they are being treated fairly, they are much more
likely to accept the consequences of their actions. Consistent and fair
discipline will also help to prevent successful claims of discrimination or
other unlawful conduct.

Critical to fair and just discipline are:

• Thoroughly investigating the circumstances, including

interviewing of witnesses, etc.
• Providing notice of the misconduct to the employee.
• Allowing the employee an opportunity to respond to the allegation.
• Making the "punishment fit the crime." Draconian discipline for a
minor infraction is counterproductive, and modest discipline for a
serious infraction is not helpful.
• Generally, an employee should have some right to appeal a
disciplinary decision to some person above the rank of the one
issuing the discipline who was not involved in the initial decision.
• Employers must keep a careful paper trail to document each
infraction and the discipline administered.

Investigating Misconduct

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Allegations of employee misconduct or wrongdoing should be carefully
investigated. If an employee is accused of misconduct or a rule infraction,
the employer should promptly, fairly and thoroughly conduct an
investigation into the matter to make an independent determination of the
facts and circumstances surrounding the alleged misconduct. When an
employer fails to properly investigate, the employee may gain a resource
to support a claim of discrimination or similar unlawful act.

Every employer should establish a protocol for internal investigations so

that investigations can be conducted on a uniform basis. The protocol
should specify both the persons to conduct the investigation and the
process to be used in the investigation (such as the interviewing of
alleged witnesses). The goal is to be thorough—to learn all the facts
surrounding the alleged misconduct to reach an informed decision as to
what occurred.

See How to Conduct an Investigation.

Note: Please be sure to consult with an employment law attorney or HR

specialist when developing an investigation policy/process. Situations
that require investigations can be very sensitive, and it is prudent to
consult with a professional to obtain specific guidance to help avoid
potential liability issues.

Use Documentation

All matters involving employee discipline, discharge, injury or any other

circumstance that could give rise to employer liability should be carefully
and accurately documented. Months or even years after the incident,
when memories have faded, the careful, thorough documentation of
events will help refresh recollection and tell the story accurately.

Among the documentation that the employer should gather and retain are:

• Initial complaints, including any complaint forms.

• Witness reports.
• Written materials relevant to the investigation, including e-mails or
notes.
• Meetings with the employee at issue.
• The employee's personnel file, including any previous discipline
reports or investigations, and notes relating to any verbal or written
warnings.
• Discipline or termination reports.

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 • Individual notes of supervisors or other management personnel
involved.

Suspension Pending Investigation

If the circumstances require an investigation that cannot be concluded in

several hours, and/or if the presence of the employee who is the subject
of the investigation poses a threat of any kind to other employees or to
the orderly operation of the business, the employer may wish to suspend
the employee pending completion of the investigation. For example, if an
employee is charged with embezzlement or workplace violence, the
employer may wish to remove the employee from the premises pending
completion of the investigation. The suspension may be done without
pay; however, if the investigation exonerates the employee, the employee
should be paid for the days of suspension. If the investigation confirms
the misconduct, the suspension without pay should stand.

Using Progressive Discipline

Progressive discipline is a method of discipline that uses graduated steps

for dealing with problems related to an employee's conduct or
performance that do not meet clearly defined standards and policies. The
ultimate objective of progressive discipline is to help employees correct
conduct problems and resolve performance issues in the earliest stages.
See our four-step guide, How to Use a Progressive Discipline System for
more details.

View sample policies and a sample form at the following links:

Progressive Discipline Policy – Single Disciplinary Process

Progressive Discipline Policy – Varied Disciplinary Process Based on

Type of Misconduct

Written Warning

Employee Opportunities to Respond

Grievance programs and the use of one or more alternative dispute

resolution methods provide a forum for employees to challenge an
employment decision.

Grievance Programs

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A grievance procedure allows employees a formal avenue through which
to seek a forum and possible redress if the employee thinks he or she has
been wronged in some way. These programs often serve a "therapeutic
purpose." Even when an employee does not get the result he or she
wishes, having had the opportunity to be heard may help to ease the
employee's frustration or dissatisfaction.

An internal grievance program should have a minimum of two steps and

probably no more than three:

Step 1. The employee initiates a grievance with his or her supervisor. If

the issue involves the supervisor, an alternative manager should be made
available (e.g., the human resources director).

Step 2. If the employee is dissatisfied with the response at the completion

of Step 1, the employee should be able to request consideration of the
grievance by either the employee's supervisor's immediate superior or
another person ranking higher than the supervisor.

Step 3. If a third step is included, the grievance might be referred to the

level of a regional or divisional human resources or industrial relations
director, or to an officer of the company.

See Grievance Procedures: Non-Union to view a sample policy.

It is also important to provide employees an avenue for making positive

suggestions or asking questions, whether through a suggestion box or
otherwise. The ultimate goal is to create a work environment where
employees and their managers view themselves as "us" and all on the
same team, rather than an "us and them" dynamic, which inevitably leads
to conflict.

Alternative Dispute Resolution

If the grievance procedure does not bring resolution of the matter, the
employer may want to offer alternative dispute resolution, which includes
mediation (which is nonbinding) and/or final and binding arbitration.
Alternative dispute resolution is typically faster, less expensive and less
formal than litigation. In simple arbitrations, the employer might choose
to be represented by a manager rather than counsel, thereby saving in
legal fees. (Employers should use counsel when significant amounts of
money are at stake or when the issue has broad impact within the
company.)

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Mediation

Mediation is a voluntary process in which a trained neutral works with

the parties to facilitate an agreement to resolve their dispute. A good
mediator may be able to help the parties "see the forest for the trees" and
realize that a compromise solution may serve all concerned. Ideally in
mediation the employee grievant and the employer are actively engaged
in crafting a solution, so that both have ownership of the solution. Such a
mutually designed solution encourages compliance by both parties.

Mediation can stand alone, or it may be a preliminary step preceding

arbitration or even litigation.

Arbitration

In arbitration, parties agree to submit their dispute to an outside third-

party neutral, who renders a final and binding decision regarding the
dispute. Arbitrators need not be attorneys, though many are. They may or
may not insist on the traditional rules of evidence that govern litigation in
courts. Arbitration proceedings are usually much less formal and
expensive than litigation, affording the grievant a real opportunity to feel
heard.

Arbitration decisions are generally subject only to extremely narrow

review by courts, and they are rarely set aside. Another advantage of
arbitration is that it is private and not public, in contrast to litigation.

For more information on mediation and arbitration, visit the American

Arbitration Association's website.

WPM7202 – EMPLOYEE DISCIPLINE (ARTICLE 3)

Employee Discipline and Features of a Sound Disciplinary System

Discipline means systematically conducting the business by the

organizational members who strictly adhere to the essential rules and
regulations. These employees/organizational members work together as a
team so as to achieve organizational mission as well as vision and they

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truly understand that the individual and group aims and desires must be
matched so as to ensure organizational success.

A disciplined employee will be organized and an organized employee

will be disciplined always. Employee behaviour is the base of discipline
in an organization. Discipline implies confirming with the code of
conduct established by the organization. Discipline in an organization
ensures productivity and efficiency. It encourages harmony and co-
operation among employees as well as acts as a morale booster for the
employees. In absence of discipline, there will be chaos, confusion,
corruption and disobedience in an organization.

In short, discipline implies obedience, orderliness and maintenance of

proper subordination among employees. Work recognition, fair and
equitable treatment of employees, appropriate salary structure, effective
grievance handling and job-security all contribute to organizational
discipline.

Discipline is viewed from two angles/dimensions:

1. Positive Discipline: Positive Discipline implies discipline without

punishment. The main aim is to ensure and encourage self-
discipline among the employees. The employees in this case
identify the group objectives as their own objectives and strive
hard to achieve them. The employees follow and adhere to the
rules and regulations not due to the fear of punishment but due to
the inherent desire to harmonize in achieving organizational goals.
Employees exercise self-control to meet these goals.
2. Negative Discipline: Employees adhere to rules and regulations in
fear of punishment which may be in form of fines, penalties,
demotions or transfers. In this case, the employees do not perceive
organizational goals as their own goals. The action taken by the
management to ensure desired standard of behaviour/code of
conduct from the employees in an organization is called negative
discipline. The fear of punishment prevents the employees from
going off-track.

Characteristics of a Sound Disciplinary System (Red Hot Stove Rule)

Discipline should be imposed without generating resentment. Mc Gregor

propounded the “red hot stove rule” which says that a sound and effective
disciplinary system in an organization should have the following
characteristics-

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 1. Immediate- Just as when you touch a red hot stove, the burn is
immediate, similarly the penalty for violation should be immediate/
immediate disciplinary action must be taken for violation of rules.
2. Consistent- Just as a red hot stove burns everyone in same
manner; likewise, there should be high consistency in a sound
disciplinary system.
3. Impersonal- Just as a person is burned because he touches the red
hot stove and not because of any personal feelings, likewise,
impersonality should be maintained by refraining from personal or
subjective feelings.
4. Prior warning and notice- Just as an individual has a warning
when he moves closer to the stove that he would be burned on
touching it, likewise, a sound disciplinary system should give
advance warning to the employees as to the implications of not
conforming to the standards of behaviour/code of conduct in an
organization.

In short, a sound disciplinary system presupposes-

1. Acquaintance/Knowledge of rules- The employees should be

well aware of the desired code of conduct/ standards of behaviour
in the organization. This code of discipline should be published in
employee handbook.
2. Timely action- Timely enquiry should be conducted for breaking
the code of conduct in an organization. The more later the enquiry
is made, the more forgetful one becomes and the more he feels that
punishment is not deserved.
3. Fair and just action- There should be same punishment for same
offence/ misconduct. There should be no favouritism. Discipline
should be uniformly enforced always.
4. Positive approach- The disciplinary system should be preventive
and not punitive. Concentrate on preventing misconduct and not on
imposing penalties. The employees should not only be explained
the reason for actions taken against them but also how such fines
and penalties can be avoided in future.

Types of Penalties for Misconduct/Indiscipline

For not following the standards of behaviour/code of conduct in an

organization, there are two kinds of penalties categorized as-

a. Major penalties- This includes demotion, dismissal, transfer,

discharge, withholding increments, etc.

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 b. Minor penalties- This includes oral warning, written warning,
fines, loss of privileges, etc.

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