Appraisal season: Here are the do’s and don’ts to get the best hike

It is key to maintain a balance between what one may perceive about themselves versus the reality. Bring out sharp points on how you have contributed to the company's growth in a tough pandemic year. (Representative Image)

Nikita Sable, a 32-year-old engineer at a software services firm in Pune has been working in the industry for a decade. However, she learnt just this year that giving modest ratings to oneself during appraisals is not really a good idea.

Sable was told by her reporting manager that if she rated herself as an ‘average performer’, it would be tough for her superiors to give a higher rating. Overemphasising your achievement is bad, so is under-emphasising.

The appraisal season is here and companies have already begun the process of rating employees on the past year’s performance. The bell-curves are out and top, middle and low performers are being classified by your employer’s human resource team.

So, what are the things to be kept in mind? Firstly, note down all the achievements, targets that you were assigned and the progress. This could include handling sales targets, crisis situations and resolutions and also special efforts on productivity amidst the Coronavirus pandemic.

How to proceed with the forms?

These notes will come handy while filling up the appraisal form. In this form you'll be expected to mention details about what were your goals in the beginning of the year and to what extent you have been able to fulfill it.

Similar to Sable, be truthful but not too modest. Giving yourself an 'average' or 'above-average' rating is not going to be beneficial. At the same time, HR consultants caution against going overboard.

"Everyone cannot have an 'extraordinary' or 'far exceeds requirement' rating in a company. If you are giving yourself that rating, you genuinely need to have performed that well. Else, this is not going to impress your HR," said Naveen Lakhotia, a hiring consultant from Delhi.

The key here is to maintain a balance between what one may perceive about themselves versus the reality. Bring out sharp points on how you have contributed to the company's growth in a tough pandemic year.

Review discussions post ratings

Companies still follow the bell-curve appraisal system where the employees are divided into top performers, average performers and poor performers.

You will be placed in the top, average or poor category based on the appraisal ratings and information shared. If you are a poor performer, you are likely in the danger zone.

This means that the senior managers would spend additional time in discussions with you on why your performance was below par. During such discussions, it is imperative that you be factual and not get argumentative.

"Employees tend to get emotional and aggressive when they get a poor rating. But this could also be because it was a tough year or that the said person had other issues professionally/personally. Both the appraiser and appraisee need to have transparent discussions during the review process," said Sarita Makhija, CEO at AspireLight Hiring Solutions that provides HR consulting to corporates.

This means that employees on one hand must clarify with the manager on the risks of getting retrenched while the appraiser/HR manager must be open about what are the job-loss risks. If informed in advance, the concerned employees would be able to secure alternate job opportunities.

Personal emergencies including medical reasons (terminal illness or accident), child-birth or death of a close family member are genuine reasons where dip in productivity is understandable.

However in large organisations with more than 10,000 employees, the appraiser may not be fully aware of these facts since staff work across locations in the country/globally. Here it is key that you state the facts truthfully and the allied reasons for poor productivity.

Getting the appraisal letter

Once the ratings are reviewed and discussions are conducted, the final appraisal process is done.

Remember that appraisal and bonuses are not just dependent on your individual performance, but also your team and the company as a whole. Considering that 2020 was a washout year for most companies due to COVID-19, don't expect unreasonable hikes or promotions.

HR consultants are of the view that a 6.5-7 percent hike in this tough economic market would be considered excellent and would mean that the individual employee has indeed demonstrated excellent performance.

Promotions could also be selective considering a job designation hike is often accompanied with a higher salary.

If you get a good hike and/or promotion, it is excellent. But even if you are not, don't be disheartened. The last year was tough globally in terms of sales due to the lockdown, unemployment/pay cuts leading to lower spending capacity and restrictions on public movement.

You may be itching to find out what is the percentage of hike your colleagues got, but try to resist that temptation. Often, your colleagues could be making exaggerated claims to spite you and taking these figures at face value could only be demotivating.

The head of human resources at a mid-sized life insurance insurer in Mumbai told Moneycontrol how the most common complaint post appraisals is 'How did XYZ receive a better hike than me?'.

He added that even while employees are dissuaded from disclosing their hikes and salaries to colleagues, they often do. This, he said only leads to discontent among staff and animosity within teams.

"You may have done better than your colleague. But hike also depends on a lot of other factors like the team a person is part of and their base salary. So comparing hike percentages with one another will prove nothing." he added.

Post appraisal reviews

If you are terribly upset about your appraisal and would want to take it up with the appraiser/HR manager, it is best to make a formal request.

Companies have a formal structure to raise grievances against appraisal ratings and pay hikes. Use the official mechanism to file a review application and wait for at least 10 days before following up.

Hiring consultants would advise against 'water cooler gossip' about how one person(s) was able to get a better hike than you. An added tip here is to avoid insinuating about why how there is favouritism for certain people.

"I have witnessed instances where men who have been denied a hike or promotion in place of a woman often huddle and make derogatory accusations without any proof. This is very unprofessional and undermines the performance of the woman," said Poornima Ahuja, a diversity consultant from Bengaluru.

But in case you have a genuine grievance about your appraisal (not about your colleague getting a better hike), do file a review request.

The idea here is to be prompt and clear about what your grievances and what are your expectations from the review. But do keep in mind that chances are slim to none to get the salary hiked with this review.

Remember that you are always replaceable, no matter what your job role, skill or designation. If you feel that the company is taking you for granted, it is time to start looking for better job roles.