"Underperformers" at Ford - You Could Be Next, No Matter Where You Work

"'Underperforming' white-collar workers at Ford will be offered severance pay or asked to take part in a 'performance-enhancement plan ...'" - LinkedIn, October 31, 2022

Employers, of course, establish the criteria as well as the methodology for measuring this thing called "performance." Way back in the 1980s, GE CEO Jack Welch introduced "Rank and Yank." Performance was assessed in a competitive manner among employees. Those in the bottom tier were terminated. Of course, fear was a dominant emotion at GE. 

Ford is leveraging both the slowed-down economy and the need to retool skills for the technology of Electric Vehicles as the strategic justification for its version of rank and yank. In this situation employees have the option of PIP - that is, a proposal to improve performance. 

Overall, the bar for even satisfactory performance - not just the kind that merits a promotion, raise, and/bonus - is being raised. On Fishbowl Consulting there are laments that after completing the employer-specified targets for the year, the next year's target could be 10% higher.

Another grim development is that business owners and contract workers are not exempt from this kind of accountability. For instance, on one of my accounts there is a quota. The firm hiring me for the assignment, just like a law firm, tracks the time I work with their clients through technology. Also like most professional services, there is an expectation I will bring in new business. 

Earning a living through work has become increasingly stressful. There are fewer venues to use to seek refuge from being continually measured. The process of performance review has become for many an angst situation.

That's the stick part of the penalty-reward human resources systems. The carrot part, on the other hand, can be wonderful. For example, prominent law firm Paul Weiss provided off-season bonuses for those junior lawyers who had showcased "commitment." In addition to recognizing achievement, with that initiative the firm's chairperson Brad Karp enhanced the Paul Weiss branding. 

Both the stick and the carrot transmit powerful messaging. 

Speculation: To get, hold, and move on to better work we will all have to be excellent at what we do. So, choose career paths from the point of view of not the old-line notion of passion but the odds of producing the kind of performance those signing the paycheck require.

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