From Harvard Business Review · Kathryn Landis · · 4m
Managing the employee you cannot fire
When a high-performing leader inherits an underperforming team member protected by organizational ties, they face an accountability gap. Here's how to manage around the problem.
In brief
When a high-performing leader inherits an underperforming team member protected by organizational ties, they face an accountability gap. Here's how to manage around the problem. Leaders stuck with underperforming employees they cannot remove must identify what protects them, test whether leadership will enforce any…
The untouchable employee
Some leaders inherit team members in critical roles who underperform but cannot be removed.Maybe they have close ties to senior leadership, decades of tenure, or deep client relationships.
Alex and Jerry's problem
Alex, a chief revenue officer two years into her role, could not rely on her VP of sales Jerry to operate at the level required.
Why Jerry stayed
Despite repeated performance discussions, Jerry remained in place. He had deep ties to the CEO Anjali, who protected him. Alex took full responsibility for results she did not have the resources to deliver.
The accountability gap
When a leader cannot remove or fully hold accountable an underperforming employee, they manage around the problem instead of solving it.
Identify the real constraint
Before labeling someone untouchable, verify that is truly the constraint. Look at what the organization has already shown you. Have you clearly raised the broader pattern with your boss, or only flagged isolated issues?
Signs of protection
If leadership understands the pattern but enforcement remains uneven, speaking up has backfired for others, or someone influential benefits from the status quo, you are likely dealing with someone who is protected by the organization.
Three sources of protection
Untouchable team members are typically protected by nepotism or close personal relationships with senior leaders, a halo from past performance, or perceived embeddedness in the business whose knowledge and relationships would be difficult to replace.
Jerry's two protections
Jerry had a twenty-five-year relationship with CEO Anjali and status as one of a small number of founding employees.
Test what leadership will support
Before deciding what to do next, find out whether the CEO will back one specific expectation.
Alex's single request
Alex asked Anjali to back one expectation: that Jerry join reps on key sales calls for the new product launch and meet monthly with both Anjali and herself to discuss progress and risks.
When support fails
The meeting kept getting pushed back until Anjali's assistant relayed they should handle it by email instead. Jerry never sent the email. That told Alex she could not rely on Anjali's reinforcement.
Paul's written agreement
Paul, leader of distribution at a boutique investment firm, asked co-founders to agree in writing that if a sales rep missed his goal again, he would have time to improve and his bonus would be…
Redistribute critical work
Identify where the protected team member's role gives them too much control: decisions only they can make, information only they can access, priorities they set alone. Then reduce the organization's dependence on them.
Andrew's cross-functional committee
Andrew, a newly-hired chief operating officer, could not remove his direct report John, a long-tenured leader with significant CEO influence.
Decide what you will carry
Not every gap deserves your time. Before stepping in, get clear on which ones do. Some issues carry real financial, legal, reputational, or operational consequences. Cases like these genuinely require your involvement.
Set limits on your involvement
When you do decide to step in, put limits around your involvement and be clear with your own manager, ideally in writing.
Alex's shift in approach
Alex realized her reliability had become a liability because it made Jerry's underperformance easier for Anjali to tolerate.
Hold the line with your team
Address the inconsistency with your team directly.Do not let them guess why the rules seem to bend for one person.Fair process matters more than a fair outcome.
Jerry moves to individual contributor
Eventually, Jerry was moved into an individual contributor role, with the same pay and title as a legacy benefit, but in a position where he could do little damage.
In short
Leaders stuck with underperforming employees they cannot remove must identify what protects them, test whether leadership will enforce any standards, redistribute critical work, and decide what gaps they will personally cover.
