What error occurs when an appraiser compares one employee against another rather than against the stated performance expectation?

What error occurs when an appraiser compares one employee against another rather than against the stated performance expectation?

• A. Halo Effect
• B. Leniency Error
• C. Contrast Error
• D. Central Tendency

Answer: (C)

This item tests how ratings can be biased when an evaluator compares one employee to others instead of to the defined performance criteria, which is known as contrast error. By focusing on how peers perform, the rater makes judgments that are relative rather than based on the employee’s actual achievement of the stated expectations. This can push ratings up or down depending on the surrounding group, distorting fairness and accuracy. To minimize this bias, anchor evaluations to clear, observable criteria and documented behaviors, and use calibration to align ratings across raters. This bias is different from the halo effect (where an overall positive impression inflates related ratings), leniency error (consistently rating too high), or central tendency (pulling ratings toward the middle).

This item tests how ratings can be biased when an evaluator compares one employee to others instead of to the defined performance criteria, which is known as contrast error. By focusing on how peers perform, the rater makes judgments that are relative rather than based on the employee’s actual achievement of the stated expectations. This can push ratings up or down depending on the surrounding group, distorting fairness and accuracy. To minimize this bias, anchor evaluations to clear, observable criteria and documented behaviors, and use calibration to align ratings across raters. This bias is different from the halo effect (where an overall positive impression inflates related ratings), leniency error (consistently rating too high), or central tendency (pulling ratings toward the middle).