A survey has revealed a concerning gap in workplace performance management, with more than a third of UK employees saying they are not receiving regular performance goals or career progression reviews from their managers. At a time when organisations are striving to improve productivity, engagement and retention, the findings suggest that many businesses are overlooking one of their most effective people-management tools.
According to research by Reward Gateway | Edenred, cited by People Management, 38% of employees said their manager does not regularly set performance goals, while 34% said their career progression is not reviewed on a regular basis. This is despite 43% of HR professionals expecting line managers to take ownership of performance management and reviews.
The disconnect raises an important question: if performance management is increasingly being delegated to line managers, are organisations providing them with the time, skills and support they need to do it effectively?
Performance reviews have evolved significantly over the past decade. Rather than being a once-a-year appraisal focused solely on ratings or pay decisions, modern performance management is about creating an ongoing dialogue between managers and employees.
Regular conversations should cover:
When these discussions happen consistently, employees understand what success looks like, feel supported in achieving it and are more likely to remain engaged with their organisation.
The findings suggest the issue isn’t necessarily a lack of intent.
Managers today are being asked to take on increasingly broad responsibilities beyond operational delivery. Alongside performance management, many are expected to:
Reward Gateway’s research found that while HR increasingly expects managers to own these responsibilities, many employees still report that they are not receiving regular support. Around 40% said their manager does not regularly check on their wellbeing, while 37% said workloads are not reviewed consistently.
While HR designs the performance management framework, responsibility should be shared across the organisation.
Without support from all three levels, performance management can quickly become an administrative exercise rather than a meaningful driver of improvement.
When conducted well, performance reviews deliver benefits for both employees and employers.
Employees perform better when they understand what is expected of them.
The Reward Gateway research found that 74% of employees said career progression support would improve their productivity.
Setting measurable goals helps employees prioritise their work, identify obstacles early and remain focused on outcomes.
Career development remains one of the strongest drivers of retention.
According to the survey:
Employees who cannot see a future within an organisation are far more likely to seek opportunities elsewhere.
Regular conversations demonstrate that managers are invested in their employees’ success.
Performance discussions also create opportunities for recognition, which is one of the strongest drivers of engagement.
Frequent check-ins allow managers to identify:
Addressing these issues early often prevents larger problems from developing later.
Clear objectives help employees understand how their individual contributions support wider organisational success, improving accountability and ensuring their efforts remain focused on strategic priorities. Conversely, failing to conduct regular performance reviews can create significant organisational risks. Without agreed goals, employees may be uncertain about what success looks like or where they should focus their efforts.
A lack of regular feedback can leave employees feeling overlooked and disengaged, particularly where career progression opportunities are unclear. Managers who avoid ongoing performance conversations may also allow underperformance to persist until it becomes a more serious issue, making it harder to address effectively.
Over time, employees who receive little feedback may interpret the silence as a lack of interest in their development, reducing motivation and engagement. When individuals feel unsupported or unable to grow within the organisation, they are more likely to seek opportunities elsewhere. Given the significant costs associated with recruiting and training replacements, investing time in regular, meaningful performance conversations is a far more effective and cost-efficient approach.
Effective reviews don’t require lengthy annual meetings. Instead, organisations should focus on creating a continuous performance culture.
Goals should be:
Employees should leave every review with clear priorities.
The best reviews are collaborative rather than one-sided.
Managers should encourage employees to discuss:
Performance discussions should include future growth as well as past performance.
Employees value conversations about learning opportunities, skills development and career progression.
Recognise successes while also discussing areas for improvement.
Constructive feedback should be specific, evidence-based and accompanied by practical support.
Annual reviews alone are no longer enough.
Short monthly or quarterly check-ins help maintain momentum, monitor progress and ensure objectives remain relevant.
The survey highlights a broader challenge facing organisations.
Businesses increasingly expect line managers to become coaches, mentors, communicators and wellbeing champions alongside their operational responsibilities. However, expectations continue to rise without always providing the training, time or resources needed to fulfil those responsibilities effectively. Organisations need to invest in developing management capability.
Performance reviews should not be viewed as a compliance exercise or an annual administrative task. They are one of the most effective ways to improve productivity, strengthen engagement and retain talented employees.
The latest research suggests too many organisations are still falling short. When more than one in three employees aren’t receiving regular goals or career reviews, businesses risk leaving performance, development and retention to chance.
Organisations that equip managers with the skills, confidence and time to hold meaningful performance conversations are likely to see stronger employee engagement, better business performance and a workforce that is more motivated to grow alongside the organisation.
Equip your managers with the confidence and tools to set expectations, drive results, and develop their teams with our Building & Managing Performance training session. This course covers how to set SMART objectives, conduct meaningful development reviews, address underperformance fairly and effectively, deliver constructive and motivational feedback, and create a culture of continuous improvement.
To find out more or discuss how this training can be tailored to your business, please get in touch with our team.
T: 0330 107 1037
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