Hiring today isn’t what it used to be. In 2025, businesses—especially in fast-paced hubs like Dubai—are facing a talent market that’s faster, more competitive, and more unpredictable than ever. With AI-driven recruitment, remote work, and a shift toward skill-based hiring, companies are rethinking how they attract, retain, and develop talent.
But here’s the hard truth: not every hire will be a perfect fit. Studies show that nearly half of all new hires fail within the first 18 months, and a bad hire can cost companies thousands in lost productivity, rehiring, and training. However, smart businesses aren’t just cutting their losses—they’re learning how to turn struggling employees into success stories.
In this guide, we’ll dive into why hiring mistakes happen, what they cost, and—most importantly—how companies in Dubai (and beyond) can recover from them. Because sometimes, the key to building a high-performing team isn’t replacing people—it’s helping them reach their full potential.
What Defines a Bad Hire?
Let’s be real—not every ‘bad hire’ is actually bad. Some people are just set up to fail from the start. In Dubai’s fast-moving job market, where companies are hiring from all over the world, it’s easy to mistake an underperforming employee for a lost cause. But before slapping the “bad hire” label on someone, it’s important to ask: Is this person truly a bad fit, or do they just need better support?
A bad hire isn’t just someone who struggles in their role. It’s someone whose attitude, work ethic, or skills actively disrupt the team and don’t align with the company’s values—think consistently missed deadlines, refusal to take feedback, or toxic behavior that drags down morale.
And the cost? Huge. The U.S. Department of Labor estimates that a bad hire can cost up to 30% of their first-year salary. Imagine hiring someone for AED 20,000 a month, only to waste AED 72,000+ when they don’t work out. Ouch.
But here’s the flip side—some people just need a little guidance to thrive. In Dubai, where the workforce is a mix of expats from different cultures, language barriers, unfamiliar work styles, and adjustment periods can make even the most talented hires struggle at first.
These employees aren’t bad hires—they just need clearer expectations, training, and a chance to prove themselves. Companies that invest in mentorship and skill development save money and build a loyal workforce.
Root Causes in Modern Workplaces
Because let’s be honest, no one sets out to make one, yet they still happen way too often. The real question is: why?
One of the biggest culprits is poor onboarding. Imagine starting a new job and feeling completely lost—no proper training, clear expectations, or real sense of how you fit into the bigger picture. No surprise that 28% of new employees quit within the first 90 days, often because they were thrown into the deep end with zero support.
Then there’s the classic issue of misaligned expectations—a fancy way of saying the job turned out to be nothing like what was promised. Maybe the role was oversold in the interview, or the employee misunderstood what they signed up for. Either way, it leads to frustration on both sides. In fact, 61% of businesses admit that hiring someone whose skills didn’t match the job was a key reason for bad hires.
And let’s not forget lack of training—one of the fastest ways to turn a promising new hire into a struggling one. If someone isn’t given the tools to succeed, how can they be expected to perform well? Research shows that 63% of employees feel overwhelmed and unable to keep up after training, proving that just throwing an onboarding manual at someone isn’t enough.
Lastly, there’s the cultural mismatch problem. Dubai’s workforce is incredibly diverse, which is excellent—but it also means companies need to be extra mindful of how well new hires fit into their work culture. If someone’s values or work style clash with the company’s ethos, it’s a recipe for disaster.
The good news? All of these issues can be fixed. With clearer job descriptions, better onboarding, ongoing training, and a focus on cultural fit, companies can reduce bad hires and create an environment where employees actually want to stay and thrive.
The Impact on Business and Team Dynamics
Hiring the wrong person can be a disaster. It’s not just about one underperforming employee; a bad hire can drag down productivity, kill morale, and cost the company a fortune. Here’s how it happens:
1. Productivity Takes a Big Hit
When someone isn’t pulling their weight, the whole team slows down. Deadlines get pushed, work gets redone, and instead of focusing on growth, managers spend time fixing mistakes. A bad hire doesn’t just affect their own performance—it affects everyone’s.
2. Morale Starts to Crumble
Ever worked with someone who just doesn’t fit the team? Maybe they can’t collaborate, constantly complain, or make others pick up their slack. It’s frustrating. In fact, 60% of employers say bad hires create tension among colleagues. And let’s be honest—when a team is frustrated, motivation drops, people disengage, and top performers start thinking about leaving.
3. The Financial Damage is HUGE
Between recruitment, training, lost productivity, and possible turnover, the financial impact is no joke. And if a bad hire interacts with customers? That damage could be even worse.
Identifying Signs of a Bad Hire
Spotting a bad hire early can save you a ton of stress, lost productivity, and awkward conversations down the line. But how do you know if someone just needs a little extra support or is truly not the right fit? Here are some major red flags to watch out for:
1. Productivity is in Freefall
If an employee constantly misses deadlines, turns in subpar work, or needs constant supervision, it’s a sign something isn’t clicking. Sure, everyone has a learning curve, but if weeks go by with no improvement, you might have a problem.
Studies show that over 50% of employees feel unproductive at work, so companies need to be proactive in spotting and addressing performance dips.
2. They Can’t (or Won’t) Work With Others
A bad hire isn’t just someone who struggles with their own work—it’s also someone who brings down the team. Maybe they ignore feedback, refuse to collaborate, or create unnecessary tension.
In fact, 86% of employees and executives say poor communication is the number one cause of workplace failures. A great hire adds to the team’s success—they don’t make others’ jobs harder.
3. They Resist Change & Struggle to Adapt
The modern workplace is constantly evolving. Employees need to be flexible, open to learning, and willing to adjust when things shift. If someone pushes back on new processes, refuses to learn new tools, or struggles with change, that’s a red flag.
Research shows that a positive work environment improves employee commitment and performance, so if someone resists adapting to the culture, it might not be the right fit.
Behavioral Red Flags to Watch Out For
Hiring the wrong person doesn’t just affect their own performance—it can drag down the entire team. If you’re noticing certain behavioral red flags, it might be time to reassess whether they’re the right fit. Here are some of the biggest warning signs to watch for:
1. They Show No Initiative
A great hire doesn’t wait around to be told what to do—they take ownership of their work. If someone avoids responsibility, constantly asks what’s next, or never takes extra steps to solve problems, they’re likely not engaged. A lack of initiative means others must pick up the slack, which slows down the whole team.
2. They Resist Feedback
No one loves criticism, but growth comes from learning and adapting. If an employee gets defensive, makes excuses, or refuses to adjust after multiple conversations, that’s a major red flag. Successful employees take feedback as a chance to improve, not as a personal attack.
3. They Don’t Fit the Company’s Culture
A poor cultural fit can create tension and disrupt teamwork even if someone has the right skills. If your company values collaboration and prefers to work in isolation, or if the work environment is fast-paced but they struggle with change, it can lead to frustration on both sides. Employees thrive when they align with the company’s mission, values, and work style.
How to Identify Turnaround Potential
Not every struggling employee is a lost cause. Sometimes, all they need is the right guidance and support to turn things around. The key is to spot early warning signs before small issues turn into big problems.
Here are some key performance indicators (KPIs) that can help you assess whether an employee has turnaround potential or if it’s time to reconsider their fit.
1. Are They Completing Tasks on Time?
One of the first signs of trouble is missed deadlines or slow task completion. If an employee consistently struggles to keep up, it might be a sign of poor time management, lack of role clarity, or overwhelm. But if they are willing to improve with better time management strategies or extra support, they may be worth investing in.
2. Is Their Work Quality Slipping?
When mistakes pile up, attention to detail drops, or output feels rushed, it’s time to investigate. Sometimes, this is a training issue—a skill gap that can be filled with coaching or development programs. Other times, it’s a sign of disengagement, which is harder to fix.
3. Are They Still Engaged with the Team?
Disengagement is often the precursor to a bigger performance issue. Employees who avoid meetings, shy away from collaboration, or seem uninterested in their work may be checking out mentally. But if they’re open to feedback and re-engagement, they can realign them with the team’s goals.
Psychological and Cultural Considerations in Dubai
Dubai’s work culture is one of the most unique in the world—a fast-paced, diverse, and highly competitive environment that brings together professionals from over 200 nationalities. While this creates an exciting workplace, it also means employees must adapt quickly to different expectations, communication styles, and work ethics. If an employee is struggling, it’s important to ask: Is it really a performance issue, or are they just having a hard time adjusting to Dubai’s work culture?
1. Communication Differences Can Lead to Misunderstandings
Dubai’s workplaces often lean towards high-context communication, meaning a lot is implied rather than directly stated. For employees coming from Western countries, where feedback is often straightforward and blunt, this can lead to confusion or misinterpretation.
They might not even realize they’re missing key messages. Companies should provide cultural training and encourage open discussions to help employees navigate workplace communication better.
2. Long Working Hours Can Lead to Burnout
The UAE has one of the highest average working hours in the world, with employees averaging 50.9 hours per week—much higher than in Europe or North America. Some professionals thrive in this fast-moving environment, while others struggle with work-life balance.
If an employee is showing signs of disengagement or exhaustion, it might not be a skills issue—it could be burnout. Companies should consider offering flexible hours or well-being initiatives to support their workforce.
3. Traditional Hierarchies Can Be a Shock to Some
Many companies in Dubai still follow hierarchical structures, meaning decision-making is often top-down rather than collaborative. Employees coming from more flexible, startup-style workplaces might find it frustrating if they’re expected to follow a rigid chain of command.
Helping them understand company structure, role expectations, and decision-making processes can make a big difference in their ability to adapt.
Bad hire recovery strategies in Dubai

most employees don’t wake up wanting to fail at their jobs. If someone isn’t performing well, there’s usually a reason behind it. Instead of jumping to conclusions or writing them off, the best approach is to have a real, judgment-free conversation to figure out what’s going on.
Companies that foster open communication are 4.5 times more likely to retain employees. That’s a stat worth paying attention to.
So, how do you turn a difficult conversation into a productive one?
1. Pick the Right Time and Place
No one likes being blindsided. Schedule a private, relaxed conversation where the employee feels comfortable. Make it clear that this isn’t a disciplinary meeting—it’s a chance to understand what’s going wrong and how to fix it together.
2. Listen More Than You Talk
A lot of managers go into these conversations with assumptions already made. Don’t do that. Instead, ask open-ended questions like: “I’ve noticed you’ve been struggling with deadlines lately—can you tell me what’s been happening?” Then, actually, listen. Maybe they’re overwhelmed, unclear about expectations, or dealing with personal challenges. You won’t know unless you ask.
3. Give Honest but Supportive Feedback
Feedback works best when it’s specific and solution-oriented. Instead of saying, “You need to be better,” try: “I noticed you’ve been missing deadlines. Let’s figure out what’s holding you back and how we can improve the situation.” This shifts the focus from blame to improvement.
4. Work Together on a Solution
Once you understand the root cause, collaborate on a plan. Do they need extra training? A lighter workload? More structured deadlines? Set clear goals and schedule follow-ups to track progress. This way, they know they’re not alone in the process.
Realignment of Expectations
Not every underperforming employee is a lost cause—sometimes, they’re just in the wrong role. Instead of assuming they’re incapable, the smarter move is to revisit their job description and realign their responsibilities based on what they do best.
Why This Matters
Most performance issues don’t come from laziness or lack of effort—they happen because the job doesn’t match the employee’s strengths. Maybe their role has shifted since they were hired, or maybe their real skills are being underused. Studies show that employees who feel their strengths are recognized are more engaged and productive.
How to Adjust the Role Without Losing the Employee
1. Take a Step Back and Assess: Look at their current tasks. Are they struggling because they lack skills, or because the role isn’t the right fit? Sometimes, the original job description doesn’t match what’s actually happening day to day.
2. Find Out What They’re Good At: Instead of focusing on what’s going wrong, figure out where they naturally excel. Are they detail-oriented but stuck in a creative role? Do they thrive in team settings but spend most of their time working alone? Have a conversation—they might already know what they need.
3. Shift Responsibilities to Play to Their Strengths: If they’re great at big-picture strategy but struggle with execution, they might do better in a planning or leadership role. If they’re drowning in administrative tasks but thrive in client interactions, moving them into a customer-facing role could be the answer. Small changes can make a huge difference in engagement and output.
4. Set Clear Expectations: Once adjustments are made, make sure both you and the employee are on the same page about their new role. Set clear goals, timelines, and success metrics to track progress.
5. Offer Support and Training: If they need new skills to thrive in their adjusted role, provide training, mentorship, or extra guidance to set them up for success.
Performance Improvement Plans (PIP)
So, you’ve been put on a Performance Improvement Plan (PIP). First things first—don’t panic. A PIP isn’t an automatic ticket out the door, but it is a serious sign that your job is at risk. In Dubai, where your job is often tied to your residency visa, the stakes are even higher. That’s why you need a clear game plan to either turn things around or make a smooth exit on your terms.
What’s a PIP Really About?
On paper, a PIP is meant to help employees improve by setting specific, measurable goals with clear deadlines. In reality? It can go one of two ways:
- It’s a real opportunity to improve and keep your job.
- It’s a soft exit strategy where the company is documenting “underperformance” before letting you go.
Studies show that many employees don’t survive a PIP because by the time they’re placed on one, their employer has already lost confidence in them (BBC). But that doesn’t mean you should give up. Instead, you need a smart strategy.
How to Handle a PIP the Right Way
1. Clarify the Expectations Immediately: Before you sign anything, make sure the goals are realistic and measurable. If anything seems vague or impossible, push back politely and ask for adjustments. You need to know exactly what success looks like.
2. Document Everything: From now on, keep records of everything you do—emails, completed tasks, and any positive feedback you receive. If things don’t go in your favor, having proof of your work can help if you need to negotiate severance or dispute unfair treatment.
3. Check In Regularly: Don’t wait until the end of the PIP period for a verdict. Schedule weekly check-ins with your manager to show progress and get direct feedback. This makes it harder for them to claim you didn’t improve.
4. Invest in Your Skills: If a lack of skills is part of the issue, take immediate action. Sign up for an online course, attend industry events, or ask for mentorship. Showing initiative can sometimes shift your manager’s perception and buy you more time.
5. Start Preparing for the Worst: Even if you’re giving it your all, have a backup plan. Update your CV, start discreetly networking, and explore other job options. In Dubai, losing your job can mean losing your visa, so don’t wait until the last minute to figure out your next move.
Is Your PIP Genuine or a Setup?
Not all PIPs are designed to help you succeed. Some companies use them as a formality before termination. If you notice:
- The goals are impossible to achieve
- Your manager avoids giving direct answers
- There’s no real support or guidance being offered
Then, you’re probably being pushed out, and your best move is to focus on finding your next opportunity.
Real-World Case Studies and Success Stories
Local Success Stories in Dubai
In Dubai, where the workforce is highly diverse and the professional landscape is fast-paced, HR leaders have had to be particularly innovative when addressing underperformance. Mouza Al Suwaidi, a prominent HR leader in Dubai, shared how she led an initiative at a large multinational in the region. By implementing a three-phase employee development program, she focused on performance diagnostics, tailored coaching, and continuous feedback.
In this case, employees struggling with their roles were given specific developmental training, and their job responsibilities were realigned to match their strengths. As a result, many employees who had initially been placed on performance improvement plans (PIPs) started showing marked improvement within months.
This success was attributed to early intervention, clear communication, and a real commitment to investing in the people.
Global Examples from 2025
Globally, several companies have also tackled underperformance through innovative, targeted strategies. One standout example is Blackstone, a global investment firm that launched its Career Pathways Program in 2024.
With a focus on reskilling and internal mobility, Blackstone identified employees who had the potential to contribute but were underperforming due to gaps in certain technical skills. Through mentorship, training, and job rotation, employees could acquire the necessary competencies to shift into more suitable roles within the company.
This program saw an incredible 85% success rate in improving the performance of employees who initially struggled to meet expectations. Blackstone retained talent that would have otherwise been lost and fostered a deeper sense of loyalty among employees by showing a long-term investment in their growth. What made the program particularly effective was the individualized coaching focused on empowering employees rather than focusing solely on fixing their mistakes.
Another interesting case comes from IBM, which has long been known for its commitment to employee development. IBM introduced an initiative where underperforming employees were paired with mentors from different departments to help them gain cross-functional insights and better understand the company’s broader goals.
Over time, this led to more engaged, adaptable employees better equipped to meet business needs. The key to IBM’s success was its ability to turn underperformance into an opportunity for both personal and professional growth by fostering an environment of continuous learning and collaborative support.
Tools and Techniques to Drive Employee Transformation
Transforming underperforming employees into valuable team members is a challenge that many organizations face. However, with strategic interventions and a commitment to development, success stories emerge locally and globally in Dubai.
Local Success Stories in Dubai
In Dubai, several HR leaders have effectively turned around the performance of struggling employees. For instance, Sara Boueri, Chief Human Resources Officer at Future Pipe Industries, emphasizes aligning HR strategies with business objectives. She has successfully transformed underperforming team members into valuable contributors by focusing on performance management and employee engagement.
Global Examples from 2025
Globally, companies have adopted innovative strategies to revitalize underperforming hires. A notable example is Blackstone’s Career Pathways program, which addresses talent shortages by investing in internal training and development.
By focusing on skill enhancement and providing clear career progression paths, Blackstone has successfully integrated employees who initially faced performance challenges, turning them into valuable assets within their data centers and other portfolio companies.
These cases underscore the importance of targeted development programs, open communication, and a commitment to employee growth. Organizations can improve individual performance, strengthen overall team dynamics, and achieve long-term success by implementing such strategies.
When to Let Go: Recognizing Unsalvageable Situations
Deciding to let an employee go is never easy, but sometimes, it’s the most practical step for both the individual and the organization. Recognizing the signs that indicate an employee may not be salvageable is crucial.
Here’s how to recognize unsalvageable Situations:
- Persistent Underperformance: If an employee consistently fails to meet performance standards despite receiving feedback and support, it may be time to consider termination.
- Disregard for Company Values: Employees who consistently violates company policies or disregard core values can disrupt the workplace culture.
- Negative Attitude: A consistently negative attitude can affect team morale and productivity.
Legal Considerations in Dubai
In Dubai, it’s essential to adhere to the UAE Labor Law when terminating an employee:
- Valid Reasons: Ensure the termination is based on legitimate reasons, such as those outlined above.
- Proper Procedure: Conduct a written investigation and allow the employee to respond before making a termination decision.
- Notice Period: Unless the termination is for gross misconduct, a notice period is typically required, as specified in the employment contract.
- End-of-Service Benefits: Employees are entitled to end-of-service benefits, which the law should calculate and provide.
Expert Insights and Pro Tips for Employers and Employees
Creating a team that aligns with your company’s culture and values isn’t just a nice-to-have—it’s critical for long-term success. Whether you’re an employer or an employee, understanding how to make that alignment happen can truly make or break your business.
Let’s dive into how you can match expectations with company culture, overcome resistance to change, and future-proof your workforce.
Aligning Expectations with Company Culture:
When hiring or managing your team, it’s not just about skills—it’s about making sure those skills, personalities, and work ethics fit well with the company’s vibe. Employees who align well with the company culture are far more likely to stay engaged and productive.
In fact, companies that are in tune with their culture see up to 72% higher engagement than those that aren’t.
Overcoming Resistance to Change
Change is tough—no one likes it, whether you’re a manager or an employee. But here’s the thing: understanding the reasons behind the resistance can help you handle it. Studies show that 39% of change efforts fail due to resistance.
It could be fear of the unknown, lack of trust, or just plain comfort with the way things were. Communication is key here—make sure your team understands why the change is necessary and how it will benefit them in the long run.
Future-Proofing Your Workforce
Proactive hiring isn’t just about filling positions today—it’s about building a team that’s ready for tomorrow. Look for skills that are adaptable to future roles and utilize tools like AI to predict and prevent bad hires.
With the right proactive approach, you can create a resilient, adaptable workforce that’s not only prepared for changes in the market but also able to thrive in the face of it.
How To Measure Success Metrics, KPIs, and ROI
When you’re investing time and resources into developing your employees, you need to know if it’s actually paying off. Let’s talk about how to measure the success of your employee turnaround efforts, set clear success metrics, and calculate the ROI of your investment in employee development.
Key Performance Indicators (KPIs) to Watch
To truly assess whether your employee development programs are making an impact, keep an eye on these KPIs:
- Task Completion Rate: This straightforward metric shows how much of the assigned work an employee completes on time. If this rate is consistently low, it could point to issues like lack of clarity, time management struggles, or skill gaps.
- Quality of Work: You want to ensure your employees aren’t just meeting deadlines—they need to deliver high-quality, accurate, thorough, and high-quality. If the quality is slipping, that’s a sign that further training or a shift in role responsibilities may be needed.
- Employee Engagement: Engagement is a huge factor in how well employees perform. If they’re not emotionally invested in their work, it can lead to a dip in productivity and overall job satisfaction. Tracking engagement levels can show you how well your employees connect with their roles and the company.
- Revenue per Employee: This metric measures how much revenue each employee generates, giving insight into individual and team productivity. If you see a low number here, it could be time to rethink your team’s roles and responsibilities.
Quantifying the ROI of Employee Development
Now, let’s talk about ROI. How do you measure if your training or development efforts are truly worth the money spent? Here’s how you can calculate it:
- Determine the Costs: Start by adding up all the costs associated with the development program. This includes training materials, facilitator fees, and the hours employees spend attending training sessions.
- Calculate the Gains: After the program, measure improvements in productivity, work quality, and any other relevant metrics. You want to see these gains as a return on your investment.
For example, if you spent $10,000 on training and the improvements resulted in $30,000 worth of productivity, your ROI would be 200%.
Conclusion
We’ve covered a lot in this guide—from spotting struggling employees early to turning things around with smart strategies like performance improvement plans, cultural alignment, and proactive hiring. The bottom line?
A struggling employee isn’t always a lost cause, but knowing when to invest in development and when to move on is key to keeping your business running smoothly.
If you’re looking to build a strong, high-performing team in Dubai, you don’t have to figure it out alone. Check out our ultimate guide on Hiring New Startup Employees in Dubai for expert tips on hiring, onboarding, and setting up your team for success.
Building a great workforce starts with smart decisions today—and we’re here to help you make them.
Let’s get to work!