Performance and Conduct Policy (Moog)

Session: The Transformative Power of Positive Discipline

Reference No 2: Moog Policy and Procedure on Performance
and Conduct Corrective Actions
(From Moog supervisory Policy Manual)

PERFORMANCE AND CONDUCT


General Policy


Each Moog employee is expected to meet reasonable standards of work performance and
personal conduct. In an atmosphere of mutual trust and confidence such as what we have in
Moog, a heavy reliance is made upon each employee’s sense of responsibility and self-discipline.

All Moog employees are expected to be thoroughly knowledgeable of the standards of work
performance and personal conduct at Moog. Moog employs those who possess the values,
attitudes, beliefs, and the knowledge and skills consistent with these standards. From the start of
employment, Moog employees are briefed on any manner of conduct particularly important in
working at Moog and are instructed and trained on specific work standards and procedures. We
believe that bestowing the primary responsibility to maintain these standards upon the individual
employee is the most important factor in preserving and enhancing the positive quality of work
life we have at Moog even as supervisors and co-employees are expected to help the employee
succeed.

Where disciplinary action is indicated, the exercise of one’s sense of responsibility and self-
discipline is still heavily relied on. Therefore, any action is oriented towards correction more
than punishment; and the preferred method is counseling with the responsibility for problem
solving resting on the erring employee.

Dismissal is a last resort and is considered when the rights and interest of the company or its
employees may be put in jeopardy.

In any disciplinary or dismissal action, due process, fairness, and objectivity shall prevail;
ensuring protection of the rights not only of the erring employee but also of the company or its
general employee population.

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Corrective Action


Moog employees are expected to meet high standards of work performance and personal conduct.
In an atmosphere of mutual trust and confidence, we rely heavily on self-discipline and self-
responsibility to maintain these standards. However, there are times when those expectations are
not met, and a supervisor must take corrective action.

Moog’s corrective action procedure is a counseling and documentation process. It is designed to
assist supervisors in dealing with employee work performance problems. Examples of these
problems include absenteeism, tardiness, poor job performance, unsafe practices, or other form of
unacceptable behavior. Typically progressive in nature, the process is designed to correct, rather
than to punish the behavior. Although the corrective process Moog employs is generally
progressive in nature, the company retains the right to progress the severity of disciplinary action
up to and including discharge, for a single incident, depending on surrounding circumstances.

Using three (3) “key principles” in counseling (See below.), the supervisor seeks to actively
involve the employee in the problem-solving process. Working together, both employee and
supervisor attempt to resolve the problem. The process offers an employee the opportunity to
privately discuss problems with the supervisor. Employees are afforded the opportunity to clear
up any misunderstandings, while actively participating in the problem-solving process. This
process is described in more detail in this chapter.

It is essential that the supervisor maintains comprehensive documentation of any verbal or written
counseling that takes place. The supervisor’s documentation should demonstrate that Moog has a
fair, ongoing consultation process with employees while attempting to resolve problems in
accordance with established Moog policy.

The importance of this documentation cannot be overstated. The Human Resources
Department is always available to help supervisors who need assistance in writing the necessary
documentation.


General Counseling and
Documentation Guidelines


Employee Exercise of Personal Sense of Responsibility
and Self–Discipline

This principle is the foundation of our corrective procedures. Supervisors are expected to adhere
to this principle. All opportunities for employees to be fully aware of the standards of
performance and conduct are provided the employee. A supervisor provides this through
training, coaching or simple clarification. Likewise, the supervisor should provide the
opportunity for the employee to exercise his sense of responsibility and self-discipline to maintain
these standards.

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Peer Counseling

All employees are expected to help each other towards successful job performance and positive
conduct by way of training, coaching, advising, and/or counseling each other. When an
employee’s performance or conduct is observed by a co-employee as unacceptable, the co-
employee is expected to bring such to the attention of the employee and to offer any assistance.
The employee whose attention is brought is likewise expected to hear out what is being
communicated to clear up any misunderstanding and to take appropriate corrective actions.

The importance of the supervisor’s role to make this process successful cannot be
overemphasized. Coaching employees in the counseling process is an effective way to develop
the necessary skills as to encourage and recognize effort done by employees.


Personal Problems Affecting Job Performance

Moog realizes that a wide range of problems, not directly associated with one’s job, can also have
an effect on performance. When this occurs, it is the supervisor’s responsibility to discuss the
performance problem (not the personal problem) with the employee. The supervisor should not
ask or assume that the employee is having personal problems. If an employee volunteers to the
supervisor that the source of the problem is personal in nature, the supervisor may want to refer
that employee for confidential assistance. Staff in the Human Resources Function have been
trained to refer employees to professional sources of help outside Moog (e.g., the Employee
Assistance Program). Employees are assured that use of the program will not jeopardize their
current position or future career opportunities at Moog. This program is strictly confidential and
employees are encouraged to seek help voluntarily.

If the employee accepts the confidential assistance and job performance improves to a
satisfactory level, no further action will be taken. However, a continuation of poor job
performance will be handled through the counseling procedure outlined in this section.

Sending An Employee Home

Sending an employee home is not part of the normal Moog Counseling and Documentation
Procedure. The action of sending an employee home is done for safety reasons, or in order to
conduct an appropriate investigation, not for discipline. Moog does not endorse a policy of
giving employees unpaid days off as a form of punishment.

However, a supervisor may send an employee home when there is a concern for safety (i.e., a
person’s behavior threatens harm to himself/herself, to others, or to property). Examples of
situations when it would be appropriate to send an employee home include positive alcoholic
breath, intoxication, verbal threats of violence, or use of personal or company equipment in a
dangerous manner. If an employee is sent home for safety reasons, his/her future employment
status must be determined prior to returning to work.

If an employee is sent home because the problem appears to be alcohol-related or drug-related,
the following steps should be taken:

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1.
If possible, the employee should be observed by at least two supervisors to determine
whether there is a reasonable suspicion to believe that the employee is potentially or
actually impaired.

2.
Inform the employee that he/she is impaired and unable to perform his/her duties or that
his condition is such that the company cannot put at risk the safety of others, company
property or his own safety.

3.
Make arrangements for the employee to be taken home or picked up by a relative or
friend.


Flagrant Acts

An employee should be sent home immediately if he/she commits a flagrant act, such as striking
another employee, brandishing a weapon, or stealing company property. These situations
ordinarily warrant immediate dismissal. After sending the employee home, the supervisor should
immediately discuss the circumstances of the incident with both management and the Human
Resources. During that discussion, a decision will be made regarding the employee’s continued
employment with Moog. (See also “serious misconduct,” under “Grave Infractions” at the end
portion of this section.)

Fairness

Before counseling an employee for not meeting expectations, the supervisor must be sure that
other employees under his/her supervision who are not meeting the same expectations are also
counseled. For example, a supervisor may need to counsel an employee for excessive
absenteeism or excessive breaks. Before counseling, the supervisor should check to see that other
employees in the department with similar or worse records are also being counseled.


Key Principles in the Counseling Process

Throughout the counseling process (and during any discussion with the employees), supervisors
are encouraged to use the following three Key Principles. These “Key Principles” are taken from
a supervisory training program called Interaction Management. These three basic communication
skills serve as the backbone of the program, and are important part of successful discussions with
employees.


Key Principle #1

MAINTAIN OR ENHANCE THE EMPLOYEE’S SELF-ESTEEM

When counseling an employee, the supervisor should keep in mind that these discussions
have the potential to be difficult, even awkward, for the employee. As such, if the
employee can be made to feel good about himself/herself during the process, he/she is

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more likely to be committed to working with the supervisor to solve the problem. One
way to accomplish this is by maintaining or enhancing the employee’s self-esteem.
While the supervisor should approach the counseling in such a manner, the supervisor
must also accurately communicate the nature of the employee’s performance problems
and the supervisor’s expectations for how the employee must improve.

Maintaining self-esteem can be as easy as letting the employee know that you, the
supervisor, are aware that he/she wants to do a good job. It also means not saying
anything to demean him/her during the discussion, expressing confidence in his/her
abilities, and perhaps even praising those areas where the employee’s performance is
above average.

Maintaining or enhancing self-esteem also means not placing blame, or pointing a finger
at the employee as the “cause” of the problem. When maintaining or enhancing self-
esteem, it is very helpful to remember that your comments should be sincere and specific.
Praise is much more believable, and will have a greater impact, when it is specific rather
than general.

Maintaining or enhancing an employee’s self-esteem during a counseling session goes a
long way toward encouraging open communication. It minimizes the chances that an
employee will feel “under attack,” become defensive, or withdraw altogether from the
discussion.


Key Principle #2

LISTEN AND RESPOND WITH EMPATHY

Whenever a supervisor interacts with an employee, listening skill is of the utmost
importance. Never are they more critical though, than trying to resolve problems and
correct behavior. By practicing good listening skills during these discussions, a
supervisor will dramatically increase his/her chances of successfully resolving the
problem.

Listening with empathy means that during the discussion, the supervisor pays extra
attention and listens not only to the words, but also to the emotions and the feelings
behind those words. By doing so, a supervisor is often able to better diagnose the real
problem or cause.

Responding with empathy involves a restatement of what the employee said in a way that
conveys that the supervisor heard and understood both the content and the feelings.
Responding with empathy does not necessarily mean the supervisor agreed with the
employee, only that the supervisor understood what the employee said and felt.

By practicing these listening skills during counseling sessions, supervisors will greatly
increase their chances of having an open, productive discussion, and ultimately resolving
the problem.

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Key Principle #3

ASK THE EMPLOYEE FOR HELP IN SOLVING THE PROBLEM

When trying to resolve problems with an employee, always ask for his/her help in
generating potential solutions. This is a good way to get him/her involved in the problem
solving process, and increase the likelihood that he/she will “buy into” the solution.
Once a potential solution has been agreed upon, an employee will be more likely to work
towards resolving a problem by using a solution he/she suggested, rather than one that
was imposed on him/her.



Multiple Counseling Sessions

The counseling procedure presented below covers typical steps required before discharging an
employee. It emphasizes the necessity for written summaries of each meeting, along with other
supporting documents. It is meant only as an example; individual cases may vary. Some
disciplinary cases may require more or fewer than the number of counseling sessions described
here. Although the corrective process Moog employs is generally progressive in nature, the
company retains the right to progress the severity of disciplinary action up to and including
discharge, for a single incident, depending on surrounding circumstances. Supervisors who have
any questions should contact a Human Resources representative.

Counseling Steps

The following outline represents the major steps of the Counseling and Documentation Process as
well as the key elements of each step. Keep in mind that each of these steps may occur several
times before moving on to the next phase.

Step 1: Documented Counseling

The supervisor meets with the employee and conducts a counseling and problem-solving
session with him/her. At this session, the problem is clarified, its seriousness and impact
explained, and specific corrective actions arrived at. The employee is expected to
participate in the problem solving process, discharging his obligation and responsibility
to see to it that the problem is resolved.

The session is documented by the supervisor; signed by the employee, supervisor, and the
department manager; copy furnished the signatories plus one (1) for the Human
Resources Manager (Exhibit 18).

Any particular disciplinary case may require more than a single counseling session. In
this case each of such meetings is similarly documented.

The following outline represents the typical procedure in this step:

1.
Describe the problem in a friendly manner. Clearly state the level of
performance or desired behavior expected of the employee. Explain how the

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current level of performance or behavior(s) deviated from the desired level.
Be specific and use data (if available) for support.

2.
Explain the impact and the seriousness of the situation.

3.
Ask the employee for help in solving the problem. Generate a list of possible
causes of the problem. Discuss each cause.

4.
For each cause identified, ask the employee for a potential solution. Record
each solution suggested by both employee and supervisor. Use as many of
the employee’s ideas as possible.


5.
Decide on specific actions to be taken by the employee and the supervisor.

6.
Agree on a specific follow-up date. Express confidence in the employee’s
ability to solve the problem.

7.
After meeting, document the session in writing using the Counseling Session
Documentation Form. Include information on what the problem is, what
caused it, corrective action to be taken, what the supervisor and the
employee said and agreed to. Attach any relevant paperwork such as
attendance records, time cards, work instructions, notes, etc.



Step 2: Documented Counseling with Warning


If the problem recurs or no improvement is noted, the supervisor meets with the
employee to re-examine the problem, the problem solving process, and why the problem
still remains. A specific corrective action strategy is agreed upon, and specific maximum
time allocated for the problem to be corrected.


As in all disciplinary actions, the employee is given the opportunity to explain his/her
side or to state any circumstance and not be denied his/her right to due process.


As warranted, the supervisor may revoke or suspend the stamp or certification of the
employee.



This meeting is documented in writing similar to the first meeting (Step 1).


During the period agreed upon, the supervisor will continually review the employee’s
conduct and/or performance; rendering guidance as necessary. This period may be
extended once only. When the period is over and the deficiency is corrected, and the
action has served its purpose, the employee is advised and encouraged to keep up the
improved performance or conduct. Appropriate written notation is also furnished to the
Human Resources Manager.

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The following outline represents the typical procedure in this step:

1. Meet with the employee again. Review previous discussion(s) and action(s)
agreed upon. Note insufficient improvement and ask the employee for reason(s)
why.

2. Inform the employee that “continuation of the problem/situation simply cannot
be tolerated by Moog.” Indicate to the employee that if improvement is not
made he/she could be discharged. This warning must be given in very specific
terms, no beating around the bush; be firm.

3. Discuss alternative solutions with the employee (once again using as many of the
employee’s ideas as possible).

4. Agree to specific corrective actions and the maximum allowable time for the
problem to be corrected (state this time specifically and clearly to the employee).
Inform the employee that even after this time period has passed, relapses will
not be tolerated.

5. Assure the employee that Moog wants to help, but it is a 50-50 deal. He/she
needs to cooperate to improve the situation. Once again express confidence in
the employee’s capabilities to solve the problem.

6. Document this meeting in writing, using the Counseling Session Documentation
form. Attach any supporting documents such as absenteeism records, etc.

Note: Be sure to follow-up with the employee at the end of the specified period of
time. Let the employee know whether or not his/her behavior has improved
sufficiently since the last counseling session. This follow-up meeting must be
documented as in all the previous counseling sessions.



Step 3: Documented Counseling with Disciplinary Probation


The seriousness of this step must be fully appreciated as this may lead to termination of
employment. This action is taken if:

1. Step 2, “Documented Counseling with Warning” does not result in the desired
correction; or

2. Step 2 does result in the desired correction but the same problem, a similar one, or a
different one but from the same cause happens within a twelve (12) month period
from end of the period for “Step 2”; or

3. A grave infraction is committed but where outright dismissal is not warranted.

Before any employee is placed on disciplinary probation, the supervisor must review the
circumstances of the case with his department manager and the Human Resources
Manager. If they concur that disciplinary probation is warranted, the supervisor will then
meet with the employee in private. In this meeting, as with all disciplinary meetings, the
employee has the opportunity to explain his/her side or to state any circumstances and not

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be denied his/her right to due process. The Human Resources Manager and the
department manager may be requested by either party to be present. A fellow Moog
employee may also be requested by the employee to accompany him/her at the meeting
provided the co-employee is:

1. a witness,

2. specially knowledgeable of the issues, or

3. a trusted employee who is sympathetic, supportive, and a good problem solver and
communicator.

The supervisor will set specific objectives or goals to be met by the employee as well as
specific support needed for the employee to meet these goals. Disciplinary probation
period is normally for a specific period of time typically not exceeding twelve (12)
months. This period should be sufficient for the employee to meet the stated objectives.
During the period, the supervisor shall closely monitor the employee’s performance and
conduct on specific points in time within the probation period to summarize evaluations.
During the disciplinary probation, the supervisor shall provide guidance and other
support necessary to help the employee. As warranted, the disciplinary probation period
may be shortened.

As in any counseling situation, it is still the responsibility and accountability of the
employee to attain the specific goals set by his supervisor.

While on disciplinary probation, the stamps and certifications of the employee shall be
revoked; he shall not be eligible for any pay increase, developmental training, or
promotional bidding. These measures are consistent with the seriousness of the problem
warranting disciplinary probation.

The initial meeting and any and all succeeding meetings and discussions up to the end of
the probation period are documented in the same manner as in other steps of the
Progressive Disciplinary Action Procedure.

The following outline represents the typical procedure in this step:

1.
Meet with the employee again. Review the previous discussion(s) and
action(s) agreed upon. Note the insufficient improvement and ask the
employee for reasons why.

2.
Barring any mitigating reason, inform the employee that the continuation of
the problem/situation cannot simply be tolerated by Moog and, therefore,
he/she is being placed on disciplinary probation.

3.
Explain the nature of the disciplinary probation as the last and final chance
for the employee to correct his/her unacceptable performance and conduct.
Failure to correct the deficiency as required will result into the termination
of his employment.

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4.
Set and communicate clearly the specific objectives that the employee should
meet. Specify time allowance clearly. Clearly specify the indicators of
successful objectives accomplishment.

5.
Document the meeting in writing using the Counseling Session
Documentation Form. Attach any supporting document.

NOTE: Be sure to follow-up with the employee at least midway of the
specified period. This follow-up meeting must be documented as
in all previous sessions.




Dismissal

Dismissal from employment is recoursed to, when:

1.
Further misconduct, non-performance of work of the same or different nature is
committed during a disciplinary probation period;

2.
No improvement towards resolving a performance or conduct problem is shown during a
disciplinary probation period; or

3.
A grave infraction is committed.

In any dismissal case, the employee is always afforded the opportunity to explain or present his
side.



Regulatory/Legal Compliance

In today’s complex legal and regulatory environment, it is extremely important that Moog
thoroughly reviews all termination proceedings. Supervisors, managers and Human Resources
representatives must all work as a team to insure that Moog makes appropriate employment
decisions. The Human Resources Function plays an important role in advising and assisting the
supervisors during these difficult times.

Grave Infractions

A grave infraction is any act or acts resulting into serious harm - actual or imminent - to the
interests of the company or its employees. It is of such serious nature that it will ordinarily
preclude any chance of it being committed again.

Illustrations of grave infractions can be derived from the just causes for dismissal enumerated by
Philippine laws and jurisprudence, some of these are:

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