Positive performance management (Directive 02/24)

1. Purpose

1. This directive:
   1. outlines the principles of positive performance management in section 85 of the Public Sector Act 2022 (the Act)
   2. sets a positive performance management framework to treat public sector employees fairly
   3. provides how the positive performance management principles are to be applied by public sector managers (managers) when managing the work performance of public sector employees and, in some circumstances, the personal conduct of public sector employees.

2. Commencement

2. This directive commences on 27 May 2024.
3. On commencement, the Positive performance management (Directive 15/20) is repealed and superseded by this directive.

3. Authorising provisions

3. Sections 85 and 222 of the Act.

4. Application

4. Unless otherwise stated, this directive applies to:
   1. public sector employees as provided for in section 12 of the Act (excluding chief executives, senior executives and senior executive equivalents)
   2. public sector entities as provided for in section 8 of the Act
   3. chief executives as provided for in sections 16 and 17 of the Act, in their capacity as the chief executive of a public sector entity or of public sector employees
   4. employees in their capacity as public sector managers.
5. This directive complements the Work Health and Safety Act 2011 (WHS Act) and the Managing the risk of psychosocial hazards at work: Code of Practice 2022 (the Code).
6. Section 229 of the Act outlines the relationship between a directive and industrial instruments, including how to deal with inconsistencies.

5. Principles

5. Chief executives are responsible for making decisions under chapter 3, part 2 (Principles) and part 8, division 1 (Positive performance management) of the Act and are responsible for ensuring managers within the entity perform managerial functions in accordance with the positive performance management principles.
6. Managers must apply the positive performance management principles by:
   1. proactively managing the work performance and personal conduct of public sector employees
   2. constructively engaging with public sector employees to identify development and training opportunities, improve work performance, and build expertise in the public sector
   3. taking prompt and appropriate action to address any unacceptable work performance or personal conduct that arises.
7. Timely, open and regular, constructive communication is the mutual responsibility of managers and employees, who should work together to improve work performance outcomes.
8. Under the Human Rights Act 2019 (HR Act) decision makers have an obligation to:
   1. act and make decisions in a way that is compatible with human rights
   2. consider human rights when making a decision under this directive.
9. Under chapter 1, part 3 (Reframing of State’s relationship with Aboriginal peoples and Torres Strait Islander peoples) of the Act, reframing entities have a unique role in supporting the State government in reframing its relationship with Aboriginal peoples and Torres Strait Islander peoples by fulfilling certain responsibilities. Under section 21 of the Act, the chief executive of a reframing entity is responsible for ensuring the entity fulfils this role. Chief executives must act in a way which is consistent with these responsibilities when applying and making decisions under the Act and Public Sector Commissioner (Commissioner) directives.
10. Under chapter 2 (Equity, diversity, respect and inclusion) and chapter 3 (Public sector arrangements) of the Act, chief executives of public sector entities have a duty to promote equity and diversity in relation to employment matters, which includes in the application and making decisions under the Act and Commissioner directives.
11. In addition to any specific requirements in this directive, chief executives of public sector entities are required to consider ways to support accessibility and inclusion for employees when undertaking processes or applying provisions under this directive.
12. The management of public sector employees must be directed towards the positive performance management principles outlined at section 85 of the Act. These are:
    1. pro-actively managing the professional and personal development of public sector employees, with a view to continuously building expertise within the public sector
    2. ensuring regular and constructive communication between public sector managers and employees about the work performance and personal conduct principles
    3. recognising the strengths, requirements and circumstances of individual employees, and valuing their contributions
    4. recognising performance that meets or exceeds expectations
    5. providing opportunities and support to employees for improving performance
    6. continuously improving performance through the provision of training and development
    7. identifying at the earliest possible stage performance that does not meet expectations
    8. integrating the matters mentioned in paragraphs (a) to (g) into management practices and policies.
13. The management of public sector employees should also be guided by the work performance and personal conduct principles under section 40 of the Act, and the public sector principles under section 39 of the Act.

6. Interpretation of directions

6. The Act provides for the management of public sector employees to be directed towards the positive performance management principles under chapter 3, part 8, division 1 (Positive performance management).
7. These directions:
   1. provide how the positive performance management principles are to be applied
   2. detail processes for managing employee work performance and, in some circumstances, personal conduct
   3. provide for the use of performance and development agreements
   4. detail the process of managing unacceptable work performance and, in some circumstances, poor personal conduct in a supportive way
   5. should be read in conjunction with the relevant authorising provision/s of the Act.
8. The requirements set out in these directions are binding and must be followed.

7. Reframing the relationship with Aboriginal peoples and Torres Strait Islander peoples

7. Chief executives must consider their responsibilities under section 21 of the Act relating to supporting a reframed relationship with Aboriginal peoples and Torres Strait Islander peoples when taking action to implement the positive performance management principles in accordance with this directive. This includes, but is not limited to:
   1. promoting cultural safety and cultural capability at all levels of the public sector
   2. working in partnership with Aboriginal peoples and Torres Strait Islander peoples to actively promote, include and act in a way that acknowledges and respects their perspectives, in particular when making decisions directly affecting them
   3. promoting a fair and inclusive public sector that supports a sense of dignity and belonging for Aboriginal peoples and Torres Strait Islander peoples
   4. supporting the aims, aspirations and employment needs of Aboriginal peoples and Torres Strait Islander peoples and the need for their greater involvement in the public sector.
8. To promote cultural safety when taking action to implement the positive performance management principles in accordance with this directive, a chief executive of a reframing entity should:
   1. ensure managers are culturally capable, are able to communicate effectively with Aboriginal peoples and Torres Strait Islander peoples, and take active steps towards applying culturally appropriate management practices
   2. ensure managers are provided with education and training to help them manage and support employees in a culturally safe way
   3. encourage co-design of performance and development agreements with each employee to support an employee's cultural safety needs where identified
   4. ensure that management practices are considerate and supportive of cultural practices and protocols, so that employees who identify as an Aboriginal person or a Torres Strait Islander person, or both, can effectively and safely live and practice their cultural rights in a way that is compatible with human rights under section 28 of the HR Act. For example, understanding, supporting and respecting sorry business and kinship ties
   5. ensure support and communication is culturally safe during positive performance management processes, including during a performance improvement plan (PIP) process. This may include involving a cultural support person
   6. consider any elements of conscious or unconscious bias, including the use of mitigation strategies to address bias concerns.

8. Requirement to have a positive performance management policy

8. Chief Executives must:
   1. have a stand-alone workforce policy on positive performance management
   2. ensure their entity’s stand-alone positive performance management policy reflects the positive performance management principles and has regard to the model positive performance management policy template
   3. ensure, at a minimum, that their entity’s policy:
      1. states clearly that the entity is committed to ensuring that employment is directed towards promoting best practice human resource management, including through the application of the positive performance management principles
      2. outlines the entity’s approach to how the management of employees in the entity will be directed towards the positive performance management principles
      3. describes how the entity will recognise employee performance that meets or exceeds expectations
      4. states clearly that this directive must be complied with before taking disciplinary action for work performance.
   4. promote their entity's policy and ensure their managers:
      1. are educated and trained to manage employees in a positive and culturally safe way, in accordance with the policy
      2. are aware of their obligations and responsibilities under the Act, this directive and the entity’s policy.
9. On commencement of this directive, a chief executive may decide to continue to use their entity’s existing positive performance management policy, provided the minimum requirements set out above are met.

9. Process for managing employee work performance

9. A chief executive must incorporate the positive performance management principles into their entity’s processes about managing employee work performance, to ensure that public sector managers:
   1. set clear expected outcomes linked to organisational performance objectives and plans, including through the use of performance development agreements in line with entity policies
   2. provide regular and constructive feedback on an employee’s work performance, including recognising work performance that meets and exceeds expectations, and feedback on areas of work performance that need improvement, as is appropriate in the circumstances
   3. promptly communicate and document any gaps between actual and expected work performance of an employee and allow reasonable time for the employee to self-correct
   4. undertake constructive engagement with an employee to identify development and training opportunities, to improve work performance, and to build expertise in the public sector.
10. Effective work performance management starts with appropriate induction and onboarding processes for all new employees of the entity.
11. The purpose of induction is to welcome a new employee and provide them with information and support to help them transition into their role.
12. Where the chief executive considers it appropriate, an induction may also be provided to employees returning to the workplace following leave or other absence of 12 months or more, and to employees who have been promoted, or have moved to positions with different or enhanced responsibilities.
13. An induction process must be designed to provide employees with:
    1. knowledge and understanding of the work performance and personal conduct principles
    2. an awareness of the entity’s work performance expectations for their role
    3. an understanding of how the entity will apply the positive performance management principles.
14. As soon as practical after a new employee’s commencement, the performance and development agreement process outlined below should commence, including providing the new employee with a clear statement of their work performance expectations.
15. From commencement and throughout the employment relationship, which may include any applicable probationary period, all employees must receive prompt and appropriate feedback on work performance, including recognition of acceptable and exceptional work performance and feedback on areas of work performance that need improvement.
16. Ongoing support and development should be provided to employees by using performance and development agreements, with regular reviews that promote constructive communication, reflect the positive performance management principles, and assist the employee to meet and exceed work performance expectations.
17. Where areas of work performance arise that require improvement, proactive and supportive steps that are reasonable in the circumstances and directed towards the positive performance management principles should be taken to assist the employee to improve in the identified areas.
18. These steps must account for work-related factors and non-work-related factors that may be affecting the employee’s performance, and where appropriate, supports and strategies should be put in place to further assist the employee.
19. Where unacceptable work performance issues persist that, if not resolved, may result in termination of employment during an applicable probationary period, the chief executive must ensure the employee receives structured feedback, and is afforded reasonable timeframes to respond to the feedback. This structured feedback process is not a PIP under clause 10.

10. Decision to commence a structured process to manage unacceptable work performance or poor personal conduct in a supportive way

10. The process for managing unacceptable work performance or poor personal conduct must be supportive, directed to the positive performance management principles, and consider work-related factors and non-work-related factors that may be affecting the employee.
11. A chief executive may initiate a PIP as a structured process to address unacceptable work performance where the chief executive considers it fair and reasonable in the circumstances.
12. Where a chief executive holds a view that an employee’s behaviour is not consistent with policies, expectations or an applicable code of conduct, and that the behaviour is not sufficiently serious to warrant disciplinary action but is impacting on the employee’s work performance or workplace, the chief executive may also initiate a PIP in relation to the poor personal conduct, or deal with that poor personal conduct as part of a PIP. This can only occur where the chief executive considers it fair and reasonable in the circumstances. Examples of poor personal conduct for this purpose may include, for example, absenteeism or not treating other employees with courtesy or respect.
13. For clarity:
    1. a PIP is not required, and may not be appropriate, for an employee’s poor personal conduct
    2. where a PIP is being undertaken in accordance with clause 10.3 if, at any stage, the chief executive believes the employee’s poor personal conduct means that they may be liable to discipline, for a reason other than unsatisfactory work performance, then chapter 3, part 8, division 3 (Disciplinary action) of the Act may be applied and no further action is required to be taken under this directive.
14. Prior to determining whether it is fair and reasonable to initiate a PIP, the chief executive must:
    1. ensure that they have acted in accordance with the Act and this directive, followed the steps outlined in their stand-alone positive performance management policy, and determined that support and management action has not brought about improvement to the employee’s work performance or personal conduct to the required standard
    2. consider whether there are any work-related factors and non work-related factors that may be affecting the employee’s performance and, if so, whether it is more appropriate to put in place relevant supports and strategies that are reasonable in the circumstances to further assist the employee, rather than commence a PIP
    3. ensure the following conditions have been met:
       1. the expected level of work performance or personal conduct for the role was documented and provided to the employee and the employee had a reasonable opportunity to demonstrate the expected level of work performance or personal conduct
       2. the expected level of work performance or personal conduct was relevant and appropriate to the role
       3. the unacceptable work performance or personal conduct, or the gap between actual and expected work performance or personal conduct, was previously raised, discussed with the employee and documented
       4. the employee was offered support that was reasonable in the circumstances and allowed a reasonable period of time to self-correct.
15. Employees who are subject to a PIP should be offered support options appropriate to their circumstances, including referral to any formal employee assistance programs, and allowing the employee to bring a support person and/or industrial representative of a union to accompany them to discussions advising of the intention to implement a PIP and for the duration of the PIP.
16. A PIP must clearly state:
    1. the areas of work performance or personal conduct for the role that the employee is required to improve
    2. the actions previously taken to date to address the performance concerns
    3. the expected work performance or personal conduct with outcomes that are reasonable and measurable
    4. any gaps between actual and expected work performance or personal conduct
    5. the support to be offered to the employee
    6. the frequency of feedback meetings
    7. how additional feedback will be provided
    8. its duration, including a start and an end date. A 12-week PIP is standard, however this can be shortened or extended depending on the circumstances
    9. specific strategies on how to address and achieve the expected work performance or personal conduct
    10. the potential consequences of the expected work performance or personal conduct not being met, including that the chief executive may commence a disciplinary process under the directive relating to discipline.
17. A PIP must also detail what must occur to support the employee for the duration of the PIP, including, but not limited to:
    1. scheduling review meetings between the manager and the employee
    2. the manager providing feedback to the employee
    3. the employee being given the opportunity to raise any issues
    4. the manager advising the employee whether their work performance is satisfactory for each area of identified improvement
    5. if the employee has not achieved what is required, clearly articulating the reasons why
    6. providing the employee with a detailed record of the meeting and its outcomes.
18. A PIP must include an evaluation at its conclusion that considers the employee’s progress throughout the duration of the PIP, including but not limited to:
    1. details about the final review meeting scheduled and held between the manager and the employee (with support person if relevant), according to the agreed upon schedule
    2. a comprehensive summary from the manager of the overall assessment of the employee’s work performance or personal conduct against the required tasks and expectations, including an overall finding of whether the employee’s work performance or personal conduct in each area of improvement is satisfactory or not.
19. The process for managing unacceptable work performance or personal conduct could lead to:
    1. the employee meeting the work performance or personal conduct expectations for the role and completing the PIP and reverting to ongoing performance development agreements and regular reviews as outlined under this directive
    2. the employee meeting some or none of the agreed expectations for the role, and the chief executive extending the PIP for a further specified period
    3. the employee failing to meet the work performance or personal conduct expectations set out in the role and the PIP and the chief executive considering management action or commencing a disciplinary process under the directive relating to discipline.
20. In accordance with section 86 of the Act, a chief executive must not take disciplinary action against an employee for a matter relating to the employee’s performance until the chief executive has complied with this directive, including the PIP requirements outlined above.

11. Appeals

11. An employee may appeal a decision to take, or not take, action under this directive under section 131(1)(b) of the Act.
12. Under section 132(4) of the Act, an employee may not appeal against a fair treatment decision relating to a person’s work performance, other than a decision about the person’s work performance that is recorded in a formal way as part of a periodic performance review.
13. Appeals by public sector employees are heard and decided by the Queensland Industrial Relations Commission (QIRC) under chapter 11 of the Industrial Relations Act 2016 (IR Act).
14. The directive relating to appeals should be referenced for information regarding appeal rights and associated timeframes.

12. Records

12. Information about management action, performance development agreements, and PIPs must be managed in accordance with:
    1. chapter 8, part 3 (Confidentiality) of the Act
    2. provisions of the Public Sector Regulation 2023 in relation to employee records
    3. relevant legislation governing information privacy.

13. Transitional provisions

13. This directive applies to management action, performance development agreements and PIPs initiated after the   commencement of this directive. A PIP initiated after the commencement of this directive includes a PIP being contemplated, but not commenced, prior to the commencement of this directive.
14. To allow time for staff consultation and implementation, a chief executive must ensure that a stand-alone workforce policy on positive performance management is in place by 23 September 2024 in their entity. In exceptional circumstances, the Commissioner may grant additional time for this to occur.

Unless otherwise provided, the terms in this directive have the meaning prescribed in the Act.

Chief executive in the context of exercising a decision-making power, includes a person to whom the chief executive has delegated the decision-making power under section 282 of the Act.

Management action is a course of local action that is reasonably open to a manager to support and correct situations of employee conflict, unsatisfactory work performance or unacceptable behaviours at the earliest possible opportunity.

Model positive performance policy template means the model policy template on implementing the positive performance management principles made by the Public Sector Commissioner.

Non work-related factors that may be affecting an employee could include personal circumstances that may be impacting their work performance. For example, domestic and family violence, family caring responsibilities, cultural obligations or a medical condition.

Performance development agreement means the agreement, however named in an entity (e.g. expectation agreement or a performance agreement), between an employee and the manager regarding the employee’s expected work performance and any agreed development during the course of their employment, but normally entered into and reviewed at least annually, in line with any relevant entity policies.

Performance improvement plan (PIP) means a structured process, however named in an entity, undertaken to address an employee’s unsatisfactory work performance and/or, in some circumstances, poor personal conduct.

Positive performance management principles has the meaning provided for in section 85 of the Act.

Public sector manager has the meaning provided for in schedule 2 (Dictionary) of the Act.

Reframing entity has the meaning provided for in section 20 of the Act.

Union, for the purpose of this directive, means an employee organisation registered under chapter 12 of the Industrial Relations Act 2016 or under the Fair Work (Registered Organisations) Act 2009 (Cth).

Work performance includes, but is not limited to, matters relating to an employee’s:

• quality of work (accuracy, thoroughness, competence, including professional competency)
• quantity of work and diligence (productivity level, time management, ability to meet deadlines)
• job knowledge (skills and understanding of the work)
• working relationships (ability to work with others, including communication skills).

Work-related factors that may be affecting an employee could include workload issues, workplace conflict or poor communication.