Disclaimer: This article is not intended as legal advice. Please seek counsel from an employment law attorney to understand the requirements for your specific employee disciplinary action situation.

Key takeaways

  • The employee disciplinary action process is the guideline or policy businesses follow in the event of unwanted employee behaviors or policy violations.
  • Most companies follow a progressive disciplinary process with the following steps: counseling, verbal warning, written warning, final warning, and termination.
  • Each step of the disciplinary action process requires conversations with the employee and thorough documentation, which you can manage with the recordkeeping capabilities of HR software.
TechnologyAdvice is able to offer our services for free because some vendors may pay us for web traffic or other sales opportunities. Our mission is to help technology buyers make better purchasing decisions, so we provide you with information for all vendors — even those that don’t pay us.

Featured Partners

Disciplinary action isn’t just a compliance formality. When done right, it reinforces expectations, supports individual accountability, and helps the entire team operate more effectively. When ignored or poorly handled, unresolved problems tend to grow, workplace dynamics become strained, and employees start questioning whether policies really apply to everyone.

That’s why having a structured disciplinary action process is critical. It allows you to address issues fairly and consistently while protecting both the organization and the employee.

In this guide, I’ll walk you through how to manage the process with clarity, documentation, and practical steps you can use. It also includes disciplinary action examples and a form template you can download for free. 

What is disciplinary action (and why it matters)

Disciplinary action is a formal response to workplace behavior that violates company policies or disrupts business operations. At its best, it’s a structured way to step in early to help employees course-correct before a small issue turns into a serious one.

A strong disciplinary action helps:

  • Reinforce accountability and trust across the team
  • Provide employees a fair chance to improve
  • Build documentation that protects against legal claims

Most employers use a step-based approach that usually starts with an investigation and a one-on-one meeting or coaching conversation. It progresses to verbal or written warnings, and may end in termination if things don’t improve.

However, the point isn’t to punish an employee for slipping up. It’s about showing them how to get it right, with clarity, consistency, and a plan that supports both performance and fairness.

When to use disciplinary action and when not to

It may be easy to reach for an employee disciplinary action form when someone misses the mark, but not every misstep warrants formal discipline. Sometimes what looks like misconduct is really a training gap, poor onboarding, unclear expectations, or a miscommunication.

When disciplinary action typically applies

While certainly not exhaustive, the list below includes some of the most common disciplinary action examples: 

  • General misconduct: Employee behavior that doesn’t intentionally mean to harm others or the company, such as forgetting to lock the office door at the end of the day.
  • Workplace violence or threats.*
  • Weapons or prohibited substances in the workplace.*
  • Sexual harassment.*
  • Theft of company or employee property.*
  • Time theft: Purposefully changing or misrepresenting time clock data for more take-home pay.
  • Excessive attendance violations.
  • Discrimination.*
  • Falsifying documentation.

*Some of these examples may warrant immediate termination depending on their severity.

An example:

Let’s say you have a call center business with a company policy requiring employees to shut down their computers at the end of the day. This is important because the computers include sensitive, HIPAA-protected data from clients in the medical industry and a third-party maintenance crew comes in every night after hours to clean.

If you walk in one morning and notice that one of your employees did not turn off their computer after being trained on the policy, you may need to start the employee disciplinary process with a verbal warning.

When it’s best to hold off

There are times when disciplinary action may not be the right starting point, or at least not yet. These include:

  • When the issue stems from unclear expectations, outdated SOPs, or poor communication.
  • When the employee hasn’t received proper training.
  • When the behavior may be linked to a disability, religious need, caregiving duty, or medical condition, and accommodations haven’t been addressed. 
  • When it’s a first-time offense that appears accidental, not willful.

Similarly, performance issues, like failing to meet key performance indicators (KPIs) or objectives and key results (OKRs), don’t always qualify for disciplinary action. Unless you can prove it’s intentional, addressing poor performance through focused manager-employee one-on-ones, further training, or performance improvement plans (PIPs) can be more effective. You may even learn their poor performance results from work practices that contribute to employee burnout or staff unhappiness.

An example:

Let’s say you’re a foreperson at a manufacturing plant, and your team’s goal is to assemble 50 products a day. Each of your team members must first fabricate several smaller parts to produce the larger product.

One of your team members consistently fails to meet this daily goal compared to the rest of their teammates. Instead of immediately disciplining them for their failure to meet objectives, consider the resources you can provide the employee to get them to where they need to be, such as extra training or more frequent check-ins to address concerns or questions.

Disciplinary models and sanctions

Most employee disciplinary action plans take one of three models: positive, progressive, or hybrid, which is a combination of both. You should choose a model and stick to it. Inconsistency in how policies or rules are followed, especially between departments, is where most HR headaches begin.

  • Positive discipline: Positive discipline highlights the employee’s positive behaviors during disciplinary conversations instead of reprimanding them. Managers balance this with employee feedback and constructive criticism to change behaviors. Employees also take part in selecting or creating any corrective actions. If their behavior improves, employees receive positive reinforcement through recognition and rewards.

Best for: Coaching cultures, flat organizations, or teams where psychological safety is a top priority.

  • Progressive discipline: This is the most common model. It has a rigid set of steps that HR departments and managers follow, where disciplinary actions become more severe as employees continue the unwanted behavior.

Best for: Large teams, compliance-driven work environments, and roles with high liability.

  • Hybrid model: Combining positive and progressive disciplinary techniques allows employers to take a more nuanced approach to employee misconduct or behavioral issues. For example, positive discipline can inform disciplinary conversations and strategies for recognizing employees as they improve. Meanwhile, progressive discipline tactics ensure discipline remains fair and consistent across employees in the same or similar situations in the workplace.

Best for: Companies with mixed workforces or evolving needs.

Common sanctions

There are various types of disciplinary sanctions or employee corrective actions, and these should scale based on the severity of the issue. The goal is to apply a response that fits the situation, not underreacting to serious problems or overcorrecting minor ones.

Whatever action you take, document the rationale behind it. Clear documentation helps ensure consistency, transparency, and legal defensibility. 

Below are some of the most common disciplinary sanctions:*

Managers or HR representatives hold one-on-one conversations with employees to clarify expectations and correct the infraction or behavior before it worsens. This is your early-stage intervention, informal yet documented, and is typically used to address minor issues, such as incomplete work or a missed deadline.

A verbal warning is a formal part of the disciplinary process, even if it doesn’t involve written consequences yet. The process is similar to an informal counseling session. But, despite the name, managers or HR staff should document the conversation, get signatures from meeting participants, and add it to the employee’s personnel file.

A written warning is similar to a verbal warning but more serious. Managers, HR staff, or both have a conversation with the employee about the continued infractions and provide clear and time-bound expectations for improvement. All parties sign the warning to acknowledge it and place it in the employee’s personnel file.

Retraining can happen at any time in the disciplinary process and involves training the employee again on proper procedures, processes, or policies.

A more severe disciplinary action in which managers or HR teams move the employee into a lower position, typically a step below their current role. This is usually a result of poor employee performance and usually involves the loss of title and pay.

Loss of privileges involves taking away particular freedoms due to an employee’s behavior. The best are tied directly to the employee’s misconduct. For example, you may take a company credit card away from an employee who consistently turns in expense reports late. Or, you may revoke the employee’s flex time benefit if the employee fails to work the minimum number of hours each week.

Last-chance agreements are contracts with employees outlining the steps employees must take to correct their behaviors or face termination. As the name suggests, this is typically the “last chance” employees have to save their jobs. Many collective bargaining agreements (CBAs) include last-chance agreements as a step in the disciplinary action procedure for union employees.

Pay cuts result in a compensation reduction due to employee misconduct. A word of caution: although pay cuts are legal, watch the timing of when they go into effect. You should have a conversation with the employee outlining the reason for the pay cut, note when it will go into effect, and document it. This allows employees to agree or disagree to work at this new rate and avoid violations of federal and state labor laws, like the Fair Labor Standards Act (FLSA).

Suspension involves removing the employee from the workplace for a period of time. Depending on the seriousness of the infraction, suspensions may be paid or unpaid. You can use suspensions during investigations to keep the workplace safe as you understand the facts of the incident.

As the last step of any disciplinary action process, termination is the permanent dismissal of the employee from the workplace. In some cases, the employee’s behavior may be severe enough that termination occurs immediately following the behavior.

*Note: Be careful if you have an employment contract with the employee or a collective bargaining agreement (CBA). You may be unable to take particular disciplinary action under these contracts.

Before you start: What to have in place (and what to watch for)

Don’t move into a formal discipline process without making sure your foundation is solid. You need a process that protects the employee’s rights and the company’s interests, in addition to manager training and legal and HR compliance checks. 

Here’s what to put in place and what to verify.

Most states, except for Montana, are at-will. At-will means you can fire an employee with or without reason, as long as it is not illegal. Disciplinary action is the same unless you have a CBA or employment contract that prevents you from taking specific steps.

However, you should be familiar with the laws of the states where your employees work. For example, most states prevent you from disciplining or firing employees for refusing to violate state law. Some examples include disciplining an employee for filing for workers’ compensation or refusing to come to work because of jury duty obligations.

Federal laws on disciplinary action

Federal laws do not prevent you from taking employee disciplinary action. However, you cannot discipline employees for situations outlined by the following laws.

  • Anti-discrimination laws: Laws that protect fairness and equality in hiring, employment decisions, and benefits access. Examples include Title VII of the Civil Rights Act, ADA, FMLA, PWFA, ADEA, GINA, and USERRA.
  • Whistleblowing laws: Laws that protect workers from adverse employment actions should they notify regulatory agencies of workplace health or safety violations, discriminatory practices, or the use of lie detectors. The OSH Act of 1970 is one example.
  • Unionizing: The National Labor Relations Act (NLRA) protects employees who collectively bargain or support a union from adverse employment actions.

Note: Some states include equivalent laws to the above. As a rule, always follow the law that provides more employee rights and protections.

You will need to align with all relevant stakeholders when creating your disciplinary action policy. Because it affects employees’ tenure with the company, your executive teams must agree on the policy’s approach, scope, and list of progressive discipline steps. Once finalized, you should add this policy to your employee handbook for easy access.

At a minimum, your policy should include the following elements.

These statements clarify the relationship between you and your employee. For example, if your employee works in an at-will state, you should note that their employment is at-will, and either you or the employee can terminate the relationship at any time, with or without reason. Or, note the terms of their employment relationship based on any contracts or CBAs.

These are the stages of your disciplinary action process, starting from the least severe to the most severe consequences. Each step should include the manager’s, HR staff’s, and employee’s responsibilities and include examples of behaviors that might warrant starting at a particular step.

You may need to investigate incidents, behaviors, offenses, or complaints before taking disciplinary action to understand the best course of action. Detail this process, including who is involved in the investigation and response turnaround times.

This details how employees can report a workplace concern or complaint to management. Like with the investigation process, explain who employees should contact, what they need to provide, and response turnaround times. You should also include language noting that employees can report these concerns without fear of retaliation.

With each step, make clear what managers or HR staff need to document for the worker’s employment file. For example, typical documentation practices include:

  • Basic employee information (e.g., name, title/role, department, manager name, and effective dates)
  • Description of the infraction, including supporting evidence
  • Clear, relevant, and time-bound goals to correct the behavior
  • Resources to help the employee succeed
  • Next steps in the disciplinary process should the behavior continue
  • Areas for employees, managers, and reliable witnesses to sign in acknowledgment
  • Space for employees to provide feedback if they disagree with the disciplinary action

Although you might indicate what offenses warrant starting at various steps in the disciplinary process, it’s impossible to predict every situation or behavior. To show this, include a statement that you hold the right to skip or combine steps in the disciplinary process based on the seriousness of the infraction.

Explain the termination process should the employee’s behavior result in dismissal, including who approves the decision. You should also disclose relevant offboarding processes, such as benefits termination, last check procedures, severance pay, filing for unemployment, and returning company equipment.

Following any disciplinary action, detail how long employees have to submit an appeal. The appeal process should outline what should be included in the appeal, how long after the disciplinary action they have to submit any appeal (usually five business days), who should receive the appeal, and the response turnaround time.

Visit SixFifty

Clarify who’s responsible for what. Generally:

  • Managers initiate and document early steps (e.g., coaching, verbal warnings)
  • HR reviews written warnings, ensures compliance, and leads serious actions (e.g., suspensions, terminations)

Using an online platform to train managers and even HR teams is a good strategy. Learning management systems (LMSs), like Coassemble, allow you to create courses for teaching leaders about the disciplinary process, including how to complete the necessary documentation. As a result, you can prepare your managers to handle situations, improve policy consistency, and foster more effective and constructive conversations with direct reports.

Coassemble displays a slide about written warnings from a management training course about a company's disciplinary action process.
Coassemble offers a disciplinary action template to train your people managers on effective disciplinary techniques and policy processes. Source: Coassemble
Visit Coassemble

Disciplinary action form template

Documentation is key, so it’s helpful to prepare an employee disciplinary action form and disciplinary write ups examples. Add these to your policy and employee handbook, including a guide on how to fill it out.

If you’re looking for a form, our template contains the essential data items needed.

Download our employee disciplinary action template for free:

Download as PDF Download as Google Doc Download as Google Sheet

Employee disciplinary process steps

Each step of the disciplinary process should be documented and tied to specific policies. Here’s a breakdown of what each step typically involves:

Step 1: Identify the problem and investigate

Before taking any action, you need a clear, fact-based understanding of the issue at hand. That’s where a workplace investigation comes in. Use it to determine what happened, when the incident occurred, who was involved, and whether any policies were violated. 

You should review and collect any relevant documentation, such as attendance logs, performance records, complaint reports, previous warnings, emails, and text messages from relevant company sources. Talk to those involved and gather written statements if needed. Your goal is to confirm whether this was an isolated incident or part of a pattern. 

If the incident or allegations are serious, such as sexual harassment, you may need to place the accused on a temporary suspension or leave of absence to look further. The length of time should be reasonable and follow what you outlined in your policy. 

During this time, learn as much about the incident as you can. Consulting with employment law attorneys is also helpful for more complicated or sensitive situations.

With evidence in hand, you will need to decide where to start in your disciplinary action process. If the investigation reveals that the employee’s behavior was a minor infraction, you might start from step one in your disciplinary action plan. On the other hand, gross misconduct may mean you skip your usual steps and go straight for termination.

Step 2: Have a one-on-one meeting

Most disciplinary action plans start with a one-on-one meeting between the employee and their manager. Often called counseling or coaching sessions, this informal meeting gives the manager a chance to address minor issues early, before they turn into a serious problem. 

The goal is to inform employees of the unwanted behavior and quickly course-correct. It is also an opportunity to explain the negative effects of their behavior on the company, other employees, or the workplace.

These meetings should be a two-way conversation, not a lecture, and should follow constructive feedback best practices. They should also occur as soon as reasonably possible after the incident so that the employee can associate their actions with the feedback.

Use this time to ask the employee questions and understand the reasoning for their actions—you might even realize your implicit biases are clouding your judgment. 

For example, during a coaching conversation about excessive tardiness, you might learn the employee’s lateness resulted from taking multiple kids to school on time in the morning. This challenges your prior belief that all tardy employees are “lazy.” With this knowledge, you can work with the employee to help them get to work on time, such as highlighting your commuter benefits or adjusting their start and end times.

Although these initial conversations are more informal, you should still document them, such as a quick note in the employee’s personnel file. Most HR software lets you upload documentation directly into employees’ electronic profiles. Other platforms, like Bob, let you schedule impromptu or regular meetings and create agendas, which help streamline and document disciplinary conversations for reference later.

Bob displays tools for managers to keep track of 1:1 meetings with employees.
Bob includes one-on-one meeting management features to help you structure and record disciplinary conversations with your employees for more effective constructive feedback. Source: Bob
Visit Bob

Step 3: Issue a formal warning

The next step is issuing a formal warning if the employee’s unwanted behavior escalates after two to three informal conversations. Formal warnings are official records of the employee’s infraction placed in their personnel file.

Formal warnings consist of both a meeting with the employee plus written documentation. Because this is the first official record of disciplinary action, it’s a good idea to include a reliable witness in the meeting with the manager and employee. Usually, that’s someone from the HR department, but it can also be another manager or administrator willing to bear witness.

The conversation should cover the following:

  • A detailed description of the offenses, including dates and any supporting evidence (such as time cards, handbook policies, videos, or emails).
  • An explanation of how this behavior affects the company or coworkers.
  • The steps you have already taken to correct the behavior.
  • Attainable and measurable objectives to fix the behavior.
  • Resources to help the employee succeed, such as additional training or policy reviews.
  • Future disciplinary steps should the behavior continue.
  • Time for questions and feedback from the employee.
  • Explanation of your appeal process.

Documentation of the warning should include these same elements, plus an area for the manager, witness, and employee to sign and date.

You should also add a refusal acknowledgment section of the form should employees disagree with the warning. Employees can sign here to acknowledge they received the warning but disagree with it. You can also offer space for employees to explain why they disagree.

Remember to provide ample time for the employee to dispute or explain their side of the issue as you would during regular manager-employee conversations. Actively listen to their concerns and outline your appeal process every step of the way. Although some employees may offer excuses, others may have a legitimate need for accommodation, requiring follow-up conversations with HR or the legal team to resolve.

Most disciplinary action plans require two to three formal warnings before progressing to the next step. Some companies also distinguish between verbal and written warnings, with verbal warnings a less severe first step.

Despite the name, verbal warnings should follow the same process as written warnings, including thorough documentation. Besides helping you in the event of a lawsuit, employees can reference it to understand their expectations going forward.

Disciplinary action form 1.
Describe the issue, detail past corrective actions, and note the disciplinary action you will take now. Source: TechnologyAdvice
Disciplinary action form 2.
Provide goals and resources for the employee and detail the next steps should the employee continue with their unsatisfactory conduct. Source; TechnologyAdvice

Step 4: Take last-chance actions

A last-chance action is the step in your disciplinary policy before termination. It occurs if the employee continues exhibiting behavior or performance issues after prior conversations and formal warnings.

Depending on your disciplinary action policy, what you decide to take as your last-chance action can differ. Some of the most common include:

  • Final written warning
  • Paid or unpaid suspension
  • Loss of privileges
  • Pay decrease or demotion (in line with state and federal laws)
  • Last-chance agreement

Like formal warnings, document whatever last-chance action you take, including what led to the decision. Hold a conversation with the employee along with a reliable witness. Stress to the employee that this is their last chance to improve and that further infractions could lead to termination.

Step 5: Recommend for termination

Termination is the last step in your disciplinary process. It occurs if the employee continues the same offenses after you’ve followed all prior disciplinary steps and provided ample resources and support to help the employee improve.

Because termination comes with several legal consequences, it’s always wise to consult with your HR department or employment law attorney before you have the termination conversation with the employee. If you have employment practices liability insurance (EPLI), check if you have access to an employer hotline to review the facts of your case and ensure termination is warranted.

Although unfortunate, remember that termination may be the best option if you followed the steps in your disciplinary action policy and did everything in your power to help the employee improve. Termination allows you to find a more effective team player and may even improve team morale.

Nervous about conducting the termination conversation? Learn tips and strategies to prepare for the conversation and hold an effective meeting in How to Fire an Employee (and Stay Out of Trouble).

Step 6: Record your decisions and maintain consistency

Every disciplinary action or termination decision you make sets a precedent. Following your policy allows you to remain consistent with all employees in the same or similar situations. Record any deviations from policy and your reasoning for future reference.

Beyond that, a standardized disciplinary procedure you follow demonstrates your commitment to treating all employees fairly and consistently according to their circumstances.

Common mistakes to avoid

Even with a solid process in place, it’s easy to make mistakes that weaken your disciplinary action plan, or cause confusion for the employee. Here are some of the pitfalls I see most often, and how to steer clear of them.

  • Using vague terms like “bad attitude”: Words like this don’t explain the issue or hold up well in documentation. Be specific about what happened and describe the behavior, not the emotion behind it.
  • Not checking for legal or accommodation issues first: You should pause if there’s a chance the behavior is linked to a medical condition, family leave, or other protected reason. Talk to legal before moving forward. 
  • Forgetting to follow up after warnings: If you don’t check in after a warning, the employee may think it wasn’t that serious. Set a timeline and stick to it. Follow-through shows that expectations matter.
  • Skipping early documentation: Don’t wait until you’re writing a warning to start keeping records. A quick note about an earlier coaching conversation can help show you gave the employee a fair chance to improve.
  • Applying different standards to different employees: Holding one employee accountable while giving another one a pass, especially for the same issue, can lead to trust issues and even legal problems. Discipline needs to be fair and consistent.

Managing the employee disciplinary action policy can be stressful. It becomes even more so as your company grows and segments into different departments, divisions, and locations. Despite this, you must maintain and follow the same disciplinary procedures for all your employees.

Investing in effective HR software can simplify disciplinary management as you expand. Most platforms include a centralized human resources information system (HRIS) for tracking and storing personnel data and monitoring employment changes. Other features include policy templates, automated workflows, and e-signature capabilities for efficient document retention. 

Employee disciplinary action FAQs 

The employee’s manager usually leads the disciplinary process from start to finish. HR may also be involved to offer guidance, document meetings, or handle investigations. Typically, you will see more HR or executive team involvement as discipline steps progress, especially if you require approval from upper management for each step.

With serious or sensitive situations, such as discrimination or sexual harassment allegations, it’s best to involve HR, legal counsel, or your PEO or EOR from the start to avoid legal risk. If the issue involves an employment contract or union agreement, you may also need to loop in a lawyer or union rep before any disciplinary action.

Disciplinary action should occur as soon as reasonably possible following the behavior or incident. Generally, the earlier you see and correct the employee’s behavior, the less likely it is to become a bad habit. So, you should wait no longer than a day or two after the observed behavior to confront the employee.

However, more severe incidents, such as reports of an employee stealing company property, may require a thorough investigation before taking action. During this time, you might notify a suspected employee they are under investigation and place them on a temporary suspension. Depending on the results of your investigation, it may take a week or two before you take any action.

Technically, yes, as long as your employee works in an at-will state. But just because you can doesn’t mean you should. Written warnings demonstrate the reasons that led to termination, the steps you took to correct or help the employee change course, and that the employee was aware of their misconduct. They are crucial documents that can help you in the event of a lawsuit. 

Firing an employee with a written warning also makes remembering the reasons that led to termination easier as time passes.

You should document the refusal by writing “employee refused to sign” on the form. Add the date and have another manager present as a witness. Make sure the witness also signs the form. Then, give a copy of the form to the employee.

Robie Ann Ferrer Avatar
Robie Ann Ferrer
linkedin
Robie Ann Ferrer is a human resources professional with a decade of experience helping companies manage their workforce and optimize HR processes. Her background includes roles as an HR Specialist and HR Business Partner, where she handled various facets of HR, such as payroll, benefits administration, employee services, compensation management, and HR systems.