Hi, Our employees assume that they are eligible for an increment in spite of their poor performance so our management decided to mention this in all our appraisal letter, kindly advise whether we can do this. "Under-performer may not be considered for any increment"
From India

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It may cause to loose the employee from the organisation or explain the eligibility criteria of earning the incentive
From India, Chennai
Rather than Appraisal letter it should be mentioned in the Appointment letter terms and conditions. You have not mentioned about the nature of your employer business. Your performance appraisal system should be very strong or employees may get affected due to bias scores of their superiors.

From India, Madras
you have discuss with these type of employees for know the reason of their poor performance, and find the way which they provide their best to company.
you can be considered him for increment bcoz you get more productivity when your employees are happy. sit together and short out the reason , its definitely work.

From India , Mumbai

You have to evolve a policy on strong performance appraisal system, where the performance of employees need to be quantitatively measured by the management. You need to fix certain measurement for performance (that is rating - which can be numeric and alphabetic) and based on the rating of performance, quantum of increment can be decided by the management. A poor performer need not be given increment, but inform this in writing -(explaining why he is not being considered for increment with an urge to improve his performance in the coming years).
From India, Aizawl

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