Performance Review Anxiety: A Guide for Managers and HR

Why does performance review season cause anxiety? Tips for HR and managers on running a fair, transparent appraisal process that reduces employee stress.

As the end of the year or the half-year approaches, you can feel the atmosphere change in many organisations. In the corridors, conversations multiply: "When do the forms open?", "Is there a forced distribution this year?", "Apparently the bonus depends on it." Some employees have sleepless nights, while others quietly start updating their CVs. When it is designed well, the performance review process is a powerful tool for employee development and the organisation's goals. When it is designed badly, it can turn into a source of intense anxiety, a loss of trust and even the departure of talented employees. In this article, for HR managers, team leaders and employers, I look at why the review period causes so much anxiety, how that anxiety shows up at work, and the steps that can make the process fairer, more transparent and psychologically healthier.

Why Does a Performance Review Cause Anxiety?

Being evaluated is naturally a sensitive experience for people. Since our school exams, for most of us "getting a grade" has felt like more than a measurement; it has felt like a judgement on our worth. The review period can bring these old feelings back to life. The main factors that increase anxiety are these:

• Uncertainty: When it is unclear what the criteria are, who is scoring on the basis of which data and what the results will affect, the mind fills the gaps with worst-case scenarios.
• High stakes: When bonuses, pay rises, promotions and even dismissal decisions hang on a single score, the review stops being an "exam" and becomes a matter of "survival".
• Surprise feedback: Hearing nothing all year and then facing a low score at year-end is one of the hardest situations for an employee.
• Loss of control: When targets depend on factors the employee cannot influence (supply problems, market conditions, delays in other departments), it creates a sense of helplessness.
• Comparison and forced distribution: A rule that "only a certain proportion of the team can reach the top band" can turn colleagues into rivals.
• Personal beliefs: People who carry deep beliefs such as "If I make a mistake, I'm inadequate" or "If I'm not perfect, I'm worthless" may experience even an average review with an intense sense of failure.

Say a procurement specialist has put in a great deal of overtime solving supplier problems all year, but most of that effort does not appear in any target table. The review form has only a "cost reduction" target, and because of exchange-rate rises it was not met. The more the specialist thinks about the week the forms will open, the more they worry, "All my effort will go to waste"; they build scenarios at night and find it hard to concentrate on their work during the day. The source of this anxiety is less the specialist's personality than the mismatch between the work done and the work measured. In a case like this, even a manager saying before the review, "Let's talk about the important work you've done that doesn't show up in the target table" can ease the anxiety noticeably.

Hybrid and remote working arrangements have also created a new source of anxiety. Employees who are less visible in the office may carry the worry that "What I do goes unnoticed because I'm not seen." When the measures rely on visibility rather than output, this worry becomes justified, and it damages both the perception of fairness and commitment.

Some of this anxiety is normal and can push a person to prepare. When anxiety intensifies, however, the employee's thinking, decision-making and communication skills suffer.

Effects of Review Anxiety on Work and Employees

Anxiety that intensifies during the review period leaves traces at both the individual and organisational level. The signs most often seen in employees are these:

• Difficulty falling asleep, waking early in the morning and tiredness throughout the day.
• Distraction, and checking work again and again for fear of making mistakes.
• Tension, irritability and needless arguments with colleagues.
• Physical symptoms such as headaches, stomach complaints and muscle tension.
• Going quiet in meetings or, conversely, making excessive efforts to be visible.

These signs do not on their own mean a diagnosis; but if they continue for a long time or markedly affect a person's daily life, a specialist assessment may be needed. For more information on the physical and mental signs of anxiety, you can read the article on anxiety symptoms.

The organisational picture runs parallel to this individual experience. According to Gallup's 2026 report, 66% of employees in Turkey say they experienced stress during much of the previous day; this is far above the global average of 40%. The proportion of employees who are truly engaged with their work is only 8% (Gallup, 2026; 2025 data). When a review process perceived as unfair or unclear is added to this already high level of stress, engagement can be expected to fall further and intention to leave to rise. An analysis in the UK states that around 40% of the costs of employee turnover are attributable to mental health problems (Deloitte UK, 2022). This figure is specific to the UK, but it shows the importance of the link between employee wellbeing and staff turnover.

Another consequence of anxiety is presenteeism: the employee comes to work, but their mind is on the outcome of the review. In the UK, the largest item in the annual cost of poor mental health to employers has been reported to be presenteeism, meaning coming to work but being unable to work at full productivity (Deloitte UK, 2024).

Common Mistakes in the Performance Review Process

A significant part of the anxiety stems not from the employee's personal characteristics but from the design of the process. The mistakes most often encountered in the field are these:

• A single meeting a year: Squeezing the whole year into one meeting increases the pressure on both manager and employee.
• Focusing on the recent period: When a manager remembers only the last few months, the successes or problems from the start of the year remain invisible.
• Scoring based on personal impressions: When vague headings such as "attitude" and "fit" carry more weight than measurable criteria, the perception of unfairness grows.
• Targets changing during the year but the form not changing: The employee is assessed against old targets even though their priorities have changed mid-year.
• Discussing development and pay in the same meeting: When the employee's whole attention is locked on the size of the rise, the development conversation loses its meaning.
• Announcing results without explanation: An approach of "Your score is a 3, there's nothing more to say" damages trust.

One point that should not be forgotten is that the review period is also a heavy burden for managers. Filling in dozens of forms in the same weeks, proposing pay rises within budget limits and talking to employees who will be disappointed all add to the manager's own stress. According to Gallup, managers' engagement at work stands at 22% and has fallen 9 points since 2022 (Gallup, 2026). Managers not being prepared for this process with enough time, training and support is one of the most frequent reasons for review meetings being rushed and careless.

The Review Process from an OHS Perspective and Under the Legislation

The words "stress" and "anxiety" do not appear in Occupational Health and Safety Law No. 6331. However, Article 5 of the law requires the employer to develop a coherent and general prevention policy covering the effects of factors related to work organisation, working conditions and social relationships (Law No. 6331, Art. 5/f). Article 8 of the Occupational Health and Safety Risk Assessment Regulation also provides for psychosocial sources of hazard to be identified and recorded.

Among the hazard categories listed in the Ministry of Labour and Social Security's 2024 Psychosocial Factors Information Guide are control, organisational culture, career development and interpersonal relationships (ÇSGB, 2024). A performance system perceived as unclear, unfair or punitive is directly linked to many of these categories. For this reason, the review process should be thought of not only as an HR practice but also as part of psychosocial risk management. Where decisions affecting pay, bonuses and employment contracts are concerned, it is appropriate to consult an employment law specialist for the legal dimension.

How Can Managers and HR Reduce Review Anxiety?

It is not possible to eliminate anxiety entirely, and it is not necessary. The aim is to strip anxiety of the unnecessary burdens that come from the design of the process. The steps that can be put into practice are these:

In process design:

• Share the criteria, the scoring scale and what the results will affect in writing at the start of the year.
• Instead of once a year, hold short interim reviews every three months, so that the year-end meeting is no longer a surprise.
• Set targets together with the employee, and note separately the factors outside the employee's control.
• If possible, hold the development conversation and the pay conversation at different times.
• Check the consistency of scoring through "calibration" meetings between managers.

In the meeting itself:

• Give notice of the meeting date and agenda in advance, and give the employee the chance to prepare their own self-assessment.
• Talk with concrete examples; deal with strengths with the same concreteness as problems.
• Listen to the employee's perspective and state clearly that there is a way for them to object.
• End the meeting with a few clear targets for the coming period, set together.

I discuss in detail how these conversations can be sustained throughout the year in the article on feedback culture.

In supporting the employee:

• During the review period, make sure managers are alert to signs of strain in the team. In the WHO's guidelines on mental health at work, the recommendation with the strongest evidence is mental health training for managers (WHO, 2022).
• If there is confidential individual counselling or an employee assistance programme, remind people of it before the review period.
• For employees who receive a low score, prepare a supportive rather than punitive development plan.

As an employee leaves the review room, they should know why they received their score, and what they will do in the coming period, more than they care about the score itself.

Brief Tips for Employees During the Review Period

Managers can share these suggestions with their employees to help them cope with anxiety during this period:

• Keep short notes on the work you have done through the year, the positive feedback you have received and the obstacles you have faced.
• Write your own assessment before the meeting; clarify your strengths and the areas you would like to develop.
• When you notice thoughts such as "I'm definitely going to get a low score" or "They don't like me anyway", try writing down the evidence for and against them. This method, one of the basic techniques of the cognitive behavioural approach, can help move catastrophic thinking to a more realistic place.
• Try to protect your sleep routine; avoid checking emails and forms until late at night. For practical suggestions on sleep, you can look at the article on how to overcome insomnia.
• Do not hesitate to ask about anything you do not understand in the meeting; use your right to object calmly and with concrete examples.

How to Start in Your Organisation

For organisations that want to make their performance review process psychologically healthier, a three-stage roadmap can be suggested:

Needs analysis: Assess the current system through the employees' eyes. With a survey that protects confidentiality, measure items such as "The criteria are clear to me", "I think the review is fair" and "I receive regular feedback during the year". Look at absence, sick leave and resignation data that coincide with the review period. Identify in which departments the perception of unfairness is concentrated.

Programme: According to the results of the analysis, make changes to the process design, and train managers in conducting review meetings and noticing employees who are struggling. Stress management workshops for employees, based on cognitive behavioural principles, can also be part of the programme. A meta-analysis examining workplace stress management programmes found that cognitive behavioural programmes consistently showed a larger effect than other types (Richardson and Rothstein, 2008). You can look at these kinds of programme models on the corporate services page.

Measurement: Repeat the survey after the next review period, monitor the number of objections and their grounds, and compare turnover trends with previous years. The results show which change worked and where correction is needed.

Frequently Asked Questions

Should performance reviews be abolished altogether?

This is not the right solution for every organisation. For many organisations, the real need is not to abolish the review but to turn it into a transparent, development-focused process that runs throughout the year. Which model is suitable varies according to the organisation's size, sector and culture.

Does forced distribution (the bell curve) increase anxiety?

Forced distribution can increase competition within the team and the worry of "who will get the low score", and can create a perception of unfairness, especially in small teams. If this method is to be used, it is important that its rationale is explained clearly and that calibration between managers is done carefully.

What should I do if an employee is very upset after the review?

Hold a short follow-up meeting within a few days, answer the employee's questions and clarify the development plan together. If you observe marked low mood, long-lasting insomnia or a drop in functioning, direct the employee to sources of support. If there are thoughts of self-harm, professional support is necessary; in an emergency, 112 (emergency services) should be called.

Is a formal review system necessary in a small business?

Detailed forms are not essential in small businesses, but regular, structured meetings are still important. Short meetings held several times a year, in which expectations and areas for development are discussed, let the employee know where they stand and reduce the anxiety that comes from uncertainty.

• #performance management
• #work stress
• #human resources
• #employee anxiety

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Eda Erkan Alapala

Klinik Psikolog. İstanbul Kent Üniversitesi Klinik Psikoloji Tezli Yüksek Lisans mezunu; bilişsel davranışçı terapi, çocuk merkezli oyun terapisi ve çocuk-ergen psikoterapisi alanlarında eğitimlerini tamamlamıştır.

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