Every business hopes that its employees are the best possible fit for the job – but sometimes that’s not the case.
Capability for the role was cited as a factor in nine out of ten disciplinary procedures, according to Acas. But good performance management can avoid the need for disciplinary action – and a capability policy is at the heart of that process.
Simply Business has teamed up with Clarkslegal LLP to offer a series of downloadable legal documents that you can customise for your own business. One of those is a free capability policy template, which you can download below. You can also read our quick-start guide to introducing a capability policy in your business.
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Every business is different, with unique legal requirements. However, most small firms can’t afford dedicated legal counsel. To tackle this, Clarkslegal offers a range of downloadable, customisable legal document templates that you can adapt for your own business.
The ‘capability’ of an employee is their ability to perform the work expected by the employer to the standard required. There's a number of factors that could impact capability, including skill, training, and health.
A capability policy is at the core of a good performance management strategy. Unlike a disciplinary procedure, a capability policy is intended to encourage improving the employee’s performance so it meets the company’s expectations.
However, a capability policy will also explain that actions (including dismissal) may be considered in the event that performance does not improve.
The overarching aim of a capability policy is to help an employee improve their performance. It's about encouragement and support, as opposed to the punishment involved in disciplinary proceedings.
By introducing a capability policy you can demonstrate to your employees that you're willing to take their concerns seriously, and that you won't immediately resort to punitive actions in the event of underperformance. It also signals that you're sensitive to each employee’s unique circumstances, including health, training and related concerns.
But a capability policy is also an important protection for employers. While it's intended to encourage and support, it should also make clear that continued underperformance may end in dismissal.
Our capability policy template includes:
Click to download a PDF of the capability policy template.
If you would like to make changes and don’t have Adobe Acrobat, you can also download our capability policy template in Word format.
The attached document has been produced by Clarkslegal so we can’t take responsibility for its contents. We’d recommend you take professional advice before making any important decisions based on its contents.
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