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When to Let Go: Knowing When a New Hire Isn’t Working Out

July 14th, 2025

4 min read

By John Gave

When to Let Go: Knowing When a New Hire Isn’t Working Out
8:15

Even the most well-executed hiring process can result in a mismatch. Despite structured interviews, validated assessments, and thoughtful onboarding, not every new hire meets the mark. When a new employee struggles, leaders often delay taking action. Sunk cost bias, emotional discomfort, or arbitrary timelines hold them back. That hesitation can undermine team performance, morale, and culture without anyone noticing.

At The Metiss Group, we’ve guided countless organizations through the full arc of hiring, from strategic talent selection to performance management and leadership development. We understand that hiring isn’t about choosing the right candidate; it’s also about recognizing when someone isn’t the right fit and knowing how to respond with clarity and care.

In this article, you will learn:

Female team leader being angry on her co-workers

Signs It's Time to Let a New Hire Go

Most hiring teams operate under the influence of what economists call sunk cost bias. After investing considerable time and resources into recruitment, there’s a natural reluctance to admit the mistake. But hoping things will improve without evidence is a costly gamble.

That delay can damage far more than performance metrics. Poor hires degrade team morale, misalign cultural standards, and drain leadership energy. Here’s how to spot the red flags early, and why acting decisively protects the long-term health of your team.

1. Consistent Negative Impact on Team Morale

A bad hire can silently erode the team’s spirit, even if they’re not openly disruptive.

Specific signs:

  • Other team members avoid collaboration with the new hire or express frustration in 1:1s or team meetings.
  • Increased conflict or passive resistance—such as team members becoming more guarded or territorial.
  • Declining performance or disengagement among high performers, who may feel demotivated carrying extra weight.

Example: A new team member regularly misses deadlines and provides excuses instead of solutions. Others begin working around them, taking on extra tasks to ensure delivery. Resentment builds. Eventually, your top performers feel their efforts go unrecognized and may even start exploring other job opportunities.

team of successful business people having a meeting in executive sunlit office-1

2. Misalignment with Cultural Standards

Cultural fit doesn’t mean hiring clones. But it does mean aligning with the organization’s values, norms, and behaviors.

Specific signs of misalignment:

  • Dismissive attitude toward company values. They roll their eyes at core principles like integrity, transparency, or teamwork.
  • Inappropriate communication. This includes speaking over others, sarcasm, or overly transactional language that contradicts a collaborative culture.
  • Resistance to feedback. Rather than being coachable, they become defensive or avoid accountability.

Example: In a culture that emphasizes open communication and psychological safety, the new hire frequently interrupts others, disregards peer input, and criticizes team processes before understanding them. Despite feedback, their tone remains condescending. Over time, others withdraw and stop offering ideas.

An innocent lawyer and an angry client blaming him

3. Blaming and Excuse-Making Behavior

Instead of learning from early missteps, a poor-fit hire often externalizes blame.

Watch for:

  • Excuses over ownership. Every mistake has an external cause—unclear instructions, lack of resources, someone else’s fault.
  • No discernible improvement over time, even with coaching.
  • Undermining leadership. They gossip or subtly question your decisions to others.

Example: After missing a major deliverable, the new hire blames another department for unclear inputs. Yet, they never asked clarifying questions or documented what they needed. When confronted, they double down instead of reflecting.

Business man having concerns about work

4. Drag on Leadership Time and Energy

Every new hire requires onboarding and guidance—but when a disproportionate amount of leadership bandwidth is spent on damage control, that’s a signal.

Indicators:

  • You find yourself coaching basic expectations repeatedly with no signs of application.
  • You're spending more time fixing or mediating their interactions than developing the rest of the team.
  • They drain your energy. If you're constantly worried about their performance, communication, or behavior, it's costing you more than you realize.

Example: In a given week, you spend four hours redoing or reviewing their work, fielding team complaints, and having difficult conversations. That’s four hours not spent on strategy, growth, or your high-potential team members.

Setting Early Performance Indicators for New Employees

The most reliable way to make an early and objective judgment on a new hire’s trajectory is to build structure into the onboarding process. That starts with a job scorecard.

A job scorecard clearly defines the success factors for the role, not just in abstract terms but in measurable, observable behaviors and results. It should be presented to the new hire at the very beginning of the selection process, early in the onboarding, and referenced frequently during their first six months.

This document should not sit in a drawer. The hiring manager should meet with the new employee every month to review progress against the scorecard. These discussions provide a structured way to track results, identify gaps, and either support course correction or surface deeper issues.

When a hire consistently misses the same key outcomes over multiple months despite clear feedback and reasonable support, the conclusion becomes increasingly hard to ignore.

How to Assess New Hire Performance Without Relying on 90-Day Rules

Many organizations default to the 90 day mark as a trial period. While this timeframe can serve as a useful checkpoint, it is not a reliable indicator for every role or individual. Some issues emerge early. Others take time to manifest. 

This 90 day probation actually morphed out of early day union contracts but in most states there is no legal rule around this and organizations operating in at-will employment states would be unwise to adopt such a limiting employment arrangement - talk to your legal counsel.

Performance shortfalls, repeated missed targets, or inability to integrate into the team often become apparent before or after that three month window. In some cases, the employee may come to their own conclusion and exit voluntarily. In others, misalignment on culture or leadership expectations only becomes evident after several months of day to day collaboration.

The key is not to fixate on the calendar, but to remain attentive to patterns of behavior and results. A new hire who consistently under-delivers on clear success criteria is unlikely to reverse course. Waiting for a turnaround that never comes only prolongs the damage.

Unposed group of creative business people in an open concept office brainstorming their next project.

A Healthier Way to Move Forward

Ending an employment relationship is always difficult. It represents a shared disappointment and a disruption to momentum. However, the cost of continuing with a poor fit, especially when warning signs have been clear, is far greater.

The healthiest path forward is one grounded in objectivity, transparency, and timeliness. When hiring teams create systems that clarify expectations and measure outcomes early, they position themselves to make better decisions faster. The goal is not to accelerate failure, but to surface it in time to minimize impact.

Effective leaders recognize not every hire will work out. What distinguishes resilient organizations is their willingness to act decisively and compassionately when it becomes clear a different person is needed to move the team forward.

If you're ready to strengthen your hiring systems and gain the confidence to make tough calls sooner, The Metiss Group’s Hiring Process Coach can guide you step-by-step. From selection strategy to structured onboarding and performance checkpoints, it’s a hands-on way to build clarity into every hiring decision.