HR-201: Code of Conduct and Disciplinary Action Policy

LeanTech IT Solutions — Human Resources

Document ID: HR-201

Effective Date: January 5, 2020

Last Reviewed: March 1, 2025

Classification: Internal — All Staff

1. Purpose

This document outlines the standards of professional conduct expected of all LeanTech IT Solutions employees and the progressive disciplinary actions that may be taken when these standards are not met. All employees are expected to read, understand, and comply with this policy as a condition of employment.

2. Scope

This policy applies to all full-time, part-time, and contractual employees of LeanTech IT Solutions, including but not limited to Tier 1 Support Engineers, Tier 2 Engineers, Team Leaders, Operations Managers, and administrative staff.

3. Standards of Professional Conduct

All employees are expected to:

  • Perform assigned duties with diligence, accuracy, and professionalism

  • Adhere to all company policies, standard operating procedures (SOPs), and knowledge base guidelines

  • Treat clients, colleagues, and supervisors with courtesy and respect at all times

  • Protect confidential company and client information (refer to KB-450)

  • Report for scheduled shifts on time and follow proper absence notification procedures

  • Use company tools, systems, and resources only for authorized business purposes

  • Accurately document all work performed, including incident tickets and resolution notes

4. Categories of Infractions

4.1 Minor Infractions

Infraction

Examples

Tardiness

Reporting to shift more than 5 minutes late without prior notice

Incomplete documentation

Failing to fully document an incident ticket (missing resolution steps, root cause, or follow-up)

Unprofessional communication

Using informal or inappropriate language in client-facing interactions

Failure to follow SOP

Deviating from established call flow (SOP-7005) without justification

Unauthorized break extension

Exceeding scheduled break times by more than 5 minutes

4.2 Major Infractions

Infraction

Examples

False or unnecessary escalation

Escalating an incident to Tier 2 or Tier 3 that does not meet the escalation criteria defined in KB-155. This wastes senior engineering resources and delays resolution of genuine critical incidents.

Failure to resolve within SLA

Exceeding the target resolution time for a Tier 1 incident without documented reason or approved escalation

Repeated minor infractions

Accumulating 3 or more minor infractions within a 90-day rolling period

Unauthorized system changes

Making changes to client servers that are not within the scope of the assigned incident

Negligent data handling

Mishandling or failing to protect confidential client data

Insubordination

Refusal to follow a reasonable directive from a Team Leader or Operations Manager

4.3 Critical Infractions (Grounds for Immediate Termination)

Infraction

Examples

Data breach or theft

Unauthorized access, copying, or distribution of client or company data

Intentional sabotage

Deliberately causing harm to client systems, company infrastructure, or operations

Fraud or falsification

Falsifying incident tickets, timesheets, performance data, or credentials

Workplace harassment

Any form of harassment, discrimination, or bullying toward colleagues or clients

Gross negligence

Actions that result in significant client impact due to willful disregard of procedures

5. Notice to Explain (NTE)

Before any formal disciplinary action is taken (Step 2 and above), the employee will be issued a Notice to Explain (NTE) — a written document requiring the employee to provide a formal explanation of the conduct or action that led to the reported infraction.

5.1 NTE Process

  1. Issuance — The Team Leader or HR department issues the NTE in writing (email or printed letter). The NTE must include:

    • Date and time of the reported infraction

    • Specific policy, SOP, or KB article that was violated

    • A factual description of what occurred

    • A request for the employee’s written explanation

  2. Response Period — The employee has 48 hours (2 business days) from receipt of the NTE to submit a written explanation to their Team Leader or directly to HR. The explanation should include:

    • The employee’s account of what happened

    • Any context, mitigating circumstances, or justification for the action taken

    • Supporting evidence, if applicable (e.g., ticket logs, screenshots, chat transcripts)

  3. Administrative Hearing — If the written explanation does not sufficiently resolve the matter, an administrative hearing will be scheduled within 5 business days of receiving the employee’s response. The hearing panel will consist of:

    • The employee’s Team Leader

    • A representative from Human Resources

    • The Operations Manager (for Major and Critical infractions)

    During the hearing, the employee may present their case, provide additional evidence, and respond to questions. The employee may bring a colleague as a support person, but external legal representation is not permitted at this stage.

  4. Decision — After reviewing the employee’s explanation and/or conducting the hearing, the panel will issue a written decision within 3 business days. The decision will include:

    • Whether the infraction is sustained or dismissed

    • The specific disciplinary action to be imposed (if any)

    • The basis for the decision

5.2 NTE Exemptions

  • Verbal Warnings (Step 1): An NTE is not required for verbal warnings. The Team Leader will conduct a documented coaching conversation directly.

  • Critical Infractions (Section 4.3): An NTE will still be issued, but the employee may be placed on preventive suspension (with pay) during the response and hearing period to protect company and client interests.

Note

Note: Failure to respond to an NTE within the 48-hour response period will be treated as a waiver of the right to explain. The disciplinary process will proceed based on available evidence.

6. Progressive Discipline Process

LeanTech IT Solutions follows a progressive discipline model. The level of action taken depends on the severity and frequency of the infraction.

Step

Action

Applies To

Duration on Record

1

Verbal Warning — Documented conversation with the Team Leader. The employee is informed of the infraction and expected corrective behavior.

Minor infractions (1st occurrence)

60 days

2

Written Warning — NTE issued first (Section 5). Formal written notice issued by the Team Leader and acknowledged by the employee. A copy is placed in the employee’s HR file.

Minor infractions (2nd occurrence) or Major infractions (1st occurrence)

90 days

3

Final Written Warning with Performance Improvement Plan (PIP) — NTE issued first. A formal PIP is created outlining specific targets the employee must meet within a defined period (typically 30 days). Failure to meet PIP targets proceeds to Step 4.

Major infractions (2nd occurrence) or continued minor infractions after Step 2

180 days

4

Suspension or Termination — NTE issued first. Depending on the nature and severity of the infraction, the employee may be suspended without pay (3–5 business days) or have their employment terminated.

Failure to meet PIP, repeated major infractions, or any critical infraction

Permanent

Note

Note: Critical infractions (Section 4.3) bypass the progressive steps but still require an NTE and may result in immediate preventive suspension pending investigation, followed by termination.

1. False Escalation Policy

Given the operational impact of unnecessary escalations, the following specific guidelines apply:

Occurrence (within 90-day period)

Action

1st false escalation

Verbal warning + mandatory review of KB-155 with Team Leader

2nd false escalation

Written warning

3rd false escalation

Final written warning with PIP

4th false escalation

Suspension or termination
An escalation is classified as “false” when:

  • The incident clearly met Tier 1 criteria as defined in KB-155

  • The engineer did not complete reasonable diagnostic steps before escalating

  • No documented justification was provided for the escalation decision

If investigation shows a repeated team-wide pattern (for example, multiple members from the same team making the same false escalation error within the same review period), management may initiate a team-level corrective review. Team coaching may be applied to the whole team, while formal disciplinary action remains evidence-based per individual involvement.

Note

Important: If you are unsure whether to escalate, consult with a peer on #tier1-support or contact your Team Leader before escalating. Seeking guidance is not penalized — unnecessary escalation is.

8. Employee Acknowledgment

All employees are required to sign an acknowledgment form confirming they have read and understood this policy during onboarding. A copy of the signed acknowledgment is retained in the employee’s HR file.

9. Appeals Process

Employees who wish to dispute a disciplinary action may submit a written appeal to the Human Resources department within 5 business days of receiving the notice. Appeals will be reviewed by HR in coordination with the employee’s Operations Manager. The employee will be notified of the outcome within 10 business days.