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Free letter template · Word

Performance Warning Letter

A performance warning letter tells an employee in writing that their work is below the agreed standard, using measurable targets and actual results. It sets out the gap, the support the company will provide and the review period within which improvement is expected, and invites the employee's comments.

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Preview of the letter

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[Company Logo][Company Name]

PERFORMANCE WARNING LETTER

Ref. No.:
[Reference Number]
Date:
[Date]

To,
[Employee Name]
[Designation], [Department]
Employee ID: [Employee ID]

Subject: Warning Regarding Work Performance

Dear [Employee Name],

Your Key Result Areas for the period [Period] were discussed and agreed with you on [DD/MM/YYYY]. A review of your performance for [Review Months] shows the following:

KRA / MetricAgreed TargetActual AchievedGap
[KRA 1][Target][Actual][Gap]
[KRA 2][Target][Actual][Gap]
[KRA 3][Target][Actual][Gap]

Your reporting manager, [Reporting Manager], shared feedback with you on these areas during reviews held on [DD/MM/YYYY] and [DD/MM/YYYY]. However, the required improvement has not yet been seen.

The company would like to support you in reaching the expected standard. During the review period from [DD/MM/YYYY] to [DD/MM/YYYY], the following will be provided:

  • [Training or product refresher]
  • Fortnightly review meetings with [Reporting Manager]
  • [Tools, data access or mentoring]

You are expected to achieve at least [Minimum Expected Standard] by the end of the review period. If you believe the targets or figures above do not reflect your work fairly, or there are factors affecting your performance, please share your written comments within [Number] days of receipt of this letter.

If performance does not improve to the expected level by the end of the review period, further steps may be taken in line with the company's performance management policy.

Regards,

For [Company Name]
[Reporting Manager]
[Designation]
Countersigned
[HR Name]
HR Department
Received by
[Employee Name]
Date: [Date]

What this template includes

  • Targets versus actual results table for the review period
  • Reference to the KRA sheet or appraisal where targets were agreed
  • Feedback already given, with dates
  • Support: training, tools, mentoring or reduced distractions
  • Review period and review dates
  • Opportunity to comment or disagree in writing within [Number] days

When to use it

  • An employee has missed agreed KRAs or targets for consecutive review periods
  • Quality or accuracy metrics remain below the role standard despite feedback
  • Monthly one-to-ones have not produced improvement
  • You plan to start a performance improvement plan and need a formal record

How to customise this template

  1. 1Use the KRAs and numbers the employee had accepted, not new ones
  2. 2Fill actual results from your system reports for the same period
  3. 3List support the manager can actually deliver
  4. 4Link to a PIP document if you are starting one

HR tips

  • Performance shortfall is usually not misconduct; keep the tone developmental
  • Check if targets were realistic given territory, tools or market changes
  • Hold weekly or fortnightly check-ins during the review period
  • Close the warning formally in writing if the employee improves

Treat this as a sample. Align performance-related action with your appraisal policy, standing orders and applicable labour laws, and seek legal advice before any adverse step.

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Frequently asked questions

Is poor performance misconduct in India?+

Generally, poor performance is treated differently from misconduct, though wilful neglect of work may be misconduct under standing orders. Most companies address underperformance through feedback, a warning and a PIP.

How long should the performance review period be?+

Commonly 30 to 90 days, depending on the role and how quickly results can be measured. Sales roles may use a month or a quarter.

Can the employee disagree with a performance warning?+

Yes. The letter should invite written comments, and these should be considered and kept with the warning on file.