Did you know that 78% of managers admit their performance reviews are influenced by what employees did in the last month rather than their entire yearly performance? This phenomenon, known as recency bias, silently undermines fair workplace evaluations and can make or break careers.
Recency bias is a cognitive tendency where recent events disproportionately influence our judgment and decision-making. In performance reviews, this means managers unconsciously weigh the last few weeks or months more heavily than an employee’s complete annual performance record.
Consider Daniel, a top sales performer at XYZ organization. Throughout 2022, Daniel consistently exceeded targets, closing major deals and contributing significantly to team success. However, during his January-March 2023 review period, Daniel faced personal challenges that temporarily affected his performance—his quarterly revenue dropped 70% below the team average.
When performance review time arrived, Daniel’s manager Sean focused exclusively on these recent three months of underperformance. Despite Daniel’s outstanding annual track record, he received no raise or promotion. This unfair evaluation led to Daniel’s disengagement, decreased motivation, and eventual job dissatisfaction.
This real-world example illustrates how recency bias creates a distorted lens that can destroy employee morale and overlook genuine talent. Organizations lose valuable contributors when recent performance overshadows consistent excellence.
Performance reviews are meant to be a fair, evidence-based evaluation of an employee’s contributions. However, recency bias—the tendency to give more weight to recent events—often distorts the process. This bias can unintentionally reward or penalize employees based on their most recent performance, rather than their work across the full review period.
In 2025’s hybrid and fast-paced work environments, recognizing and addressing recency bias is critical for accurate evaluations, higher employee trust, and better talent retention.
Recency bias occurs in workplaces due to several psychological and cognitive factors:
To mitigate recency bias in workplaces, it’s essential for managers and decision-makers to consciously consider a broader time frame when assessing performance, utilize comprehensive performance evaluation systems, and incorporate feedback from the entire evaluation period.
Good reviews depend on the reviewer objectively reviewing an employee’s performance from the beginning of the year to the end of the year (for a 6-month period, a 3-month period, etc.). For a yearly appraisal sample that provides a balanced evaluation across the entire year, check out these performance review examples.
That means the final review is a summation of all the work that has been done, both the good and the bad, and the in-between as well. This is how a good review works.
With recency bias, however, the scenario is a little different. When reviewers suffer from recency bias, they tend to remember the most recent work the employee has done. And based on the quality of that work, they review their performance.
If a low-performing employee suddenly starts performing better just before the review, then despite their previous low performance, they are going to get a good review.
On the other hand, if an employee performs well throughout the year, but before the review, their performance drops, then despite their previous good performance, they are going to get a bad review.
Recency bias penalizes people based on factors outside of their control and rewards people for momentary bursts of effort.
Recency bias is closely tied to cognitive science principles:
The result?
Combating recency bias requires intentional systems and consistent practices:
Implement Continuous Documentation: Maintain detailed performance records throughout the review period. Note specific achievements, challenges, skill development, and feedback instances as they occur. Don’t rely on memory during review season.
Use Performance Management Technology: Digital platforms like Engagedly offer employee feedback tracking and private note features that create comprehensive performance histories. These tools eliminate guesswork and provide objective data for fair evaluations.
Establish Regular Check-ins: Schedule monthly or quarterly progress discussions instead of relying solely on annual reviews. Frequent touchpoints create multiple data points that prevent any single period from dominating the evaluation.
Create Structured Review Templates: Use standardized forms that require managers to address performance across different time periods and categories. This forces comprehensive evaluation rather than recent-event focus.
Train Management Teams: Educate supervisors about cognitive biases and their impact on performance reviews. Awareness is the first step toward making more objective, fair assessments.
While completely eliminating recency bias may be impossible due to human psychology, these strategies significantly reduce its influence. Organizations that prioritize fair performance evaluation create stronger employee engagement, better retention rates, and more accurate talent development decisions.
Remember: exceptional employees deserve recognition for their complete contribution, not just their most recent weeks. By implementing systematic approaches to performance tracking and evaluation, managers can ensure every team member receives the fair assessment they’ve earned through sustained effort and achievement.
Performance Journals – Encourage managers to keep logs throughout the year to maintain a full-cycle view.
Structured Rating Criteria – Use defined metrics and consistent scales to anchor assessments.
Regular Feedback Cadence – Hold monthly or quarterly 1:1s to ensure performance is tracked continuously.
Manager Calibration – Host review calibration meetings to align standards across teams.
360-Degree Reviews – Gather feedback from peers, reports, and cross-functional partners to provide a holistic view.
Continuous Feedback Software – Platforms like Engagedly, Lattice, or Leapsome log year-round performance notes and feedback.
Self-Assessments with Data – Employees document achievements supported by objective metrics.
Bias-Awareness Training – Equip managers to spot and counter recency bias during reviews.
Feedback Templates – Prompts for capturing progress across the entire review period, not just recent events.
Recency bias may be subtle, but its effects on employee morale, fairness, and retention are significant—especially in 2025’s evolving work environment. Organizations that measure performance continuously, train managers to spot bias, and implement structured review systems can create fairer, more accurate evaluations and retain top talent.
