Performance reviews have long been a fixture of corporate life, yet many employees and managers alike feel the traditional annual review falls short. Too often, these reviews become stressful rituals that leave employees discouraged or confused rather than motivated. In fact, research by Gallup found that only 14% of employees strongly agree their performance appraisal inspires them to improve. It’s clear that the conventional approach is not delivering the value it should, for employees or for the business.
If performance reviews are to fulfill their purpose as a tool for growth and engagement, leaders must realign the process with what employees really want. When done right, a performance review can be a constructive conversation that boosts clarity, morale, and development. This article explores the key elements that HR professionals and business leaders should incorporate to transform reviews into a positive, productive experience for their teams.
One of the biggest complaints employees have about performance reviews is leaving the meeting more confused than when they entered. Unclear or vague feedback can cause anxiety and frustration. Employees truly desire clarity, they want to clearly understand what is expected of them, how their performance is being evaluated, and where they stand. This means managers must communicate goals, roles, and evaluation criteria in a straightforward way.
If an employee has areas to improve, the review should pinpoint specific behaviors or outcomes rather than using nebulous terms. For example, instead of saying “Improve your communication skills,” a manager could explain, “In team meetings, I’ve noticed you often don’t share updates. Let’s work on speaking up in at least one meeting per week so your work is visible to the team.” This level of specificity gives the employee a clear picture of the issue and how to address it.
Clarity also involves ensuring employees know how their work aligns with company values and objectives. They want to see the link between their contributions and the bigger picture. A transparent review builds trust, there should be no mystery about how ratings were determined or why certain feedback is given. When expectations and evaluations are crystal clear, the performance review becomes a roadmap instead of a riddle.
Employees are not opposed to receiving feedback, in fact, most crave feedback as long as it is constructive and fair. What people don’t want is a one-sided critique that feels like a laundry list of what they did wrong. Unfortunately, in poorly executed reviews, that’s often the case. A survey by Reflektive (a performance management platform) found that 85% of workers would consider quitting if they received an “unfair” performance review. The takeaway is that feedback needs to be focused on helping the employee grow, not on punishing them.
To give growth-oriented feedback, managers should approach the review as a coaching session rather than a verdict. This means highlighting strengths as well as discussing areas for improvement. A balanced review might sound like: “You did an excellent job handling client X’s project, your attention to detail kept everything on track. One area to develop is your delegation skills. I noticed you took on every task yourself and ended up overwhelmed. Let’s find one or two tasks on the next project that you can delegate to a team member, so you can focus on higher-level oversight.” In this approach, the feedback acknowledges positive performance and frames any shortcomings in terms of actionable improvement steps.
Another important aspect is fairness and accuracy. Feedback should be based on observable evidence (data, examples, outcomes) rather than subjective opinions or vague impressions. When criticism is needed, it must be delivered with tact and empathy. For instance, instead of saying “Your work has been unsatisfactory lately,” a manager could say, “The last two reports missed their deadlines, which impacted our marketing timeline. How can I support you in managing workload to prevent delays on the next report?” This invites problem-solving and shows the manager’s support for improvement.
Ultimately, employees want feedback that fuels improvement, not frustration. When they leave a review conversation, they should feel clear about what they’re doing well, what could be better, and confident that they have their manager’s support to develop. Constructive feedback, delivered regularly and with care, helps employees stay engaged and motivated to perform at their best.
A performance review should never be a monologue from manager to employee. What employees really want is a two-way dialogue, a conversation where their own voice is heard. In practice, this means encouraging employees to share their self-assessment, perspectives on challenges, and ideas for improvement or career aspirations during the review. If the review is a mere top-down evaluation, employers miss out on valuable context and employees feel disempowered.
Start the review meeting with open-ended questions to set a collaborative tone. For example, a manager might begin by asking, “How do you feel about your performance this quarter? What achievements are you proud of, and what challenges did you encounter?” This invitation allows the employee to highlight accomplishments the manager might overlook and to bring up difficulties or support needed. It shows respect for the employee’s perspective and creates a more balanced conversation.
Listening is a critical part of this dialogue. Managers should practice active listening, truly concentrating on what the employee says, asking follow-up questions, and paraphrasing to ensure understanding. If an employee shares that they struggled with a certain project due to unclear instructions or conflicting priorities, the manager should acknowledge that insight and discuss how to address it moving forward. These discussions can uncover systemic issues or resource gaps that, once resolved, will help both the employee and the team perform better.
Making the review a dialogue also means employees can ask questions and give feedback upward. Great managers will invite input like, “Is there anything you need from me or the company to perform at your best?” or “How can I better support you in your role?” When employees feel safe to express concerns or request support, it strengthens the manager-employee relationship. It transforms the review from a judgment to a mutual problem-solving session.
Not only does a two-way review improve the quality of information exchanged, but it also increases buy-in. Employees are far more likely to accept and act on feedback when they have participated in the discussion. They feel respected and understood, rather than judged. This collaborative approach turns the performance review into an opportunity to boost engagement. In fact, employees are generally more engaged and willing to improve when they feel their opinions count and their managers listen, a key pillar of building trust in the workplace.
Another thing employees really want from performance reviews: recognition for their hard work. All too often, reviews focus disproportionately on negatives, what wasn’t done, targets missed, or mistakes made, while glossing over achievements. This imbalance can demoralize employees. While it’s important to discuss shortcomings, a review should also celebrate successes. Employees need to hear what they are doing well and how those contributions matter to the organization.
However, effective recognition is more than a perfunctory “Good job on last year.” Vague or generic praise (“You’re doing great, keep it up!”) is nice to hear but doesn’t have a lasting impact. Meaningful recognition is specific and sincere. For example: “Your analysis in the Q3 report was excellent. You identified key market trends that we hadn’t considered, and that insight helped us adjust our sales strategy. That kind of thorough work really drives our team forward, thank you.” In this feedback, the manager names exactly what the employee did, why it was valuable, and expresses genuine appreciation.
Including this kind of positive feedback in a performance review boosts morale and reinforces the behaviors you want to see repeated. It also helps employees understand their unique strengths. Perhaps an employee consistently excels at turning around troubled client relationships, acknowledging this pattern in a review not only makes them feel valued, it also guides them to leverage that strength even more (and maybe mentor others in the same skill).
Recognition in reviews isn’t just “nice to have”, it has real effects on engagement and performance. Surveys consistently show that when employees feel appreciated, they are more motivated. In one recent study, 91% of employees said that receiving recognition for their work motivates them to put in extra effort. In other words, a little praise can go a long way toward encouraging great performance. Moreover, employees who feel valued are far less likely to be looking for a new job; lack of recognition is often cited as a top reason people quit.
For managers conducting reviews, the lesson is clear: make sure to shine a light on the positives. Even if an employee has had a difficult year, find genuine accomplishments or improvements to acknowledge. Recognize not just the what (results achieved) but also the how, their attitude, collaboration, creativity, or other qualities they brought to the table. When employees see that their hard work is noticed and appreciated, they walk out of the review with their heads held high, re-energized to tackle the next goals.
Employees don’t just want to know how they performed in the past, they want to know how they can grow in the future. One of the most powerful outcomes of a performance review is a development plan that charts a path forward. If a review ends with “try to do better next year” and nothing more, it’s a huge missed opportunity. Employees are looking for guidance on how to reach the next level, learn new skills, and advance their careers. In fact, opportunities for growth are a major factor in retention: LinkedIn’s Workplace Learning Report found that 94% of employees would stay at a company longer if it invested in their career development.
What does a good growth plan look like in a review context? First, it should be specific and personalized. Generic advice like “improve your leadership skills” is too vague. Instead, a manager might say, “I’d like to help you develop your leadership skills. This year, how about you take the lead on at least one team project to gain experience? We can also enroll you in that project management workshop we discussed. Let’s set a goal that by year-end, you’ll be comfortable leading a project from kickoff to close.” Now the employee has a concrete development goal, an action (leading a project), and support (training) to achieve it.
The plan should also consider the employee’s own career aspirations. A collaborative discussion is useful here: ask the employee about their short- and long-term career interests. Some may aspire to management, others may want to deepen expertise in a technical area, and some may be unsure and open to exploring different paths. Tailor the development plan accordingly. For example, if someone is interested in management, their plan might involve mentorship opportunities or a stretch assignment to supervise an intern. If another employee wants to become a better technical expert, their plan could include advanced training courses or a complex project that pushes their skills.
Crucially, the development plan signals to the employee that the company is invested in their growth. It turns the review from a backward-looking critique into a forward-looking promise. Even if the review contains some tough feedback, ending with a positive plan for growth leaves the employee feeling hopeful and supported. It answers the question every employee secretly ponders: “Is there a future for me here?” By showing them a path and offering help to walk it, you give them a reason to stay and commit their best efforts. This is especially important for high performers, if they don’t see growth opportunities, they will quickly seek them elsewhere.
In summary, to meet employee expectations, performance reviews should always include a developmental component. Discuss skills to build, experiences to seek, and resources the company will provide (such as training, coaching, or new responsibilities). When employees exit the review with a clear development plan in hand, they understand that their growth is a priority. That inspires loyalty and drives continuous improvement, benefiting both the individual and the organization.
Finally, one of the clearest desires employees have about performance management is more frequent and consistent feedback, not just a once-a-year review. Nothing in a formal review should come as a complete surprise to the employee. If an issue is brewing, it should be addressed when it happens, not saved up for months. Consistency in monitoring performance and providing feedback throughout the year ensures fairness and keeps employees on track. It also relieves the pressure that builds up around the annual review, since both parties already have a shared understanding of progress and challenges.
Regular check-ins and coaching conversations make the formal review more of a recap than a revelation. When feedback is continuous, the annual or quarterly review becomes a summary of themes you’ve been discussing all along, coupled with bigger-picture career planning. This approach greatly reduces anxiety, the employee isn’t walking in blind, and the manager isn’t dredging up year-old issues.
Employees today are actively asking for more frequent feedback. In one survey, 49% of employees said they would like to receive feedback from their manager at least weekly, and about 72% wanted feedback at least monthly. Compare that to the status quo in many organizations: nearly half of employees report getting feedback only a few times a year or even less. Clearly, there is a gap between the feedback employees want and what they often receive. Bridging this gap can lead to dramatic improvements in engagement and performance. According to research by Gallup, employees who receive meaningful feedback on a regular basis are far more engaged, one analysis found workers were 3.6 times more likely to be motivated to do outstanding work when their manager provided daily feedback as opposed to only annual feedback. The message is evident: frequent, timely feedback boosts morale, alignment, and productivity.
Consistency also means documenting performance milestones and issues as they occur. Managers should keep track of accomplishments, improvements, and setbacks for each team member throughout the year. Not only does this practice help in providing balanced and evidence-based feedback, but it also combats recency bias (the tendency to overweight the most recent events). An employee’s performance review should reflect their performance across the entire period, not just what happened in the last few weeks. By keeping consistent records and having ongoing dialogues, managers can ensure the review is fair and comprehensive.
Another benefit of continuous feedback is that it enables course correction and development in real time. If an employee is veering off track, immediate coaching can help them improve before a minor issue becomes a major problem. On the flip side, if an employee achieves something great, acknowledging it right away reinforces the behavior. This creates a culture of feedback where employees know where they stand at all times, eliminating the dreaded “review season surprises” and reducing uncertainty.
In practical terms, managers might implement brief monthly one-on-one meetings dedicated to performance feedback, separate from day-to-day task discussions. These check-ins don’t have to be long, even 15 minutes to discuss what went well recently, what could be better, and how the employee is feeling can be invaluable. The key is consistency. When employees see that feedback is a normal and regular part of work life, they become more comfortable with it and more responsive to guidance. Over time, this continuous approach turns performance management into an ongoing conversation rather than a high-stakes event.
Traditional performance reviews have earned a bad reputation for good reasons, too infrequent, too one-sided, and often not very useful. But by understanding what employees really want from the process, HR professionals and leaders can reinvent performance reviews into something far more effective. Employees want clarity instead of ambiguity, coaching instead of criticism, a voice in the conversation, and acknowledgment of their contributions. They want to leave a review meeting feeling recognized and motivated, with a clear plan to grow, rather than feeling defensive or confused. And they don’t want this to happen only once a year, they flourish when feedback and communication are part of the culture year-round.
Aligning performance reviews with these expectations isn’t just about keeping employees happy (though it certainly helps morale); it’s also smart business. When reviews provide clarity, employees can focus their efforts on what matters most. When feedback is constructive and fair, employees improve faster. When they feel heard and valued, engagement and retention soar, you’re far less likely to lose talent due to a demoralizing review experience. And when development is emphasized, you build a stronger pipeline of future leaders and high performers within the organization.
In essence, what employees really want from performance reviews is what any of us would want from an important conversation about our work: honesty, respect, and a sense of forward momentum. By delivering on these needs with intention, managers can transform the review from a dreaded formality into a powerful tool for employee growth and organizational success. It’s time to move away from the old “review-as-report-card” model and embrace a more human-centered approach, one that treats performance management as an ongoing partnership. Both employees and employers stand to gain when performance reviews become a dialogue focused on growing together.
Employees want clarity on expectations, constructive feedback, meaningful recognition, a growth plan, and ongoing, consistent communication.
Specific feedback helps employees understand exactly what they did well or need to improve, providing actionable steps for growth.
Managers should foster a two-way dialogue, listen actively, recognize achievements, and develop personalized growth plans.
Regular feedback reduces surprises, allows for real-time adjustments, boosts engagement, and fosters a culture of ongoing improvement.
Meaningful, specific recognition increases morale, motivation, and helps employees feel valued, which can improve performance and retention.
A growth-oriented development plan provides clear, personalized goals and resources, encouraging career advancement and organizational loyalty.
