Atlassian, Canva crackdown on underperforming staff with tougher rating systems: report

'It further clarifies the high bar we hold at Atlassian for the important work we do for our customers'

Atlassian, Canva crackdown on underperforming staff with tougher rating systems: report

Tech companies Atlassian and Canva are reportedly using "tougher performance metrics" in a bid to identify and reform underperforming staff.

The Australian Financial Review (AFR) reported that Atlassian is scrapping its previous three-point system and will be rolling out a performance ranking structure that will classify employees under:

  • Greatly exceeded expectations
  • Exceeded expectations
  • Met expectations
  • Met most expectations
  • Did not meet expectations

The report said those in the higher tiers will be getting more financial rewards, those who "met expectations" will get full contracted bonus, while those on the lowest grade risk won't likely receive any bonus or share grant for that year.

"Moving to a more differentiated system not only means better rewarding a larger group of people for exceptional performance, but it further clarifies the high bar we hold at Atlassian for the important work we do for our customers," Avani Prabhakar, Atlassian's global human resources boss, told the AFR.

Canva's performance system

Canva, similarly, has a five-tier performance ranking system, where employees are categorised under:

  • Redefining
  • Excelling
  • Thriving
  • Approaching
  • Missing

According to the AFR's report, employees in the lower tiers will be put into internal coaching programmes for several months. They will also be monitored by management and will be laid off if they continue to underperform.

Canva, however, refuted this and stressed that a lower ranking does not mean an employee will automatically be exited.

One Atlassian employee told the AFR that the change in performance evaluation was a "really uncharacteristic move," adding that it was becoming similar to Facebook, Google, or Microsoft

HRD previously reported about that employees should always be involved in performance management to ensure that they are working efficiently.

Canva was named as The Best HR Teams for Innovation in Australia. Read the report here.