If they're underperforming and not living up to what you want from them, fire them and find someone else who will.
I don't understand why employees are expected to just act helpless and be held hostage because someone gave them a job. If you're good in your field (especially in an area like tech), you should have no trouble finding other jobs at your fair market value and keeping your employer honest.
This is how I view just about any business relationship. They are not hiring me, I am giving them something in exchange for them giving me something. If the arrangement is not beneficial to either of us, it should be renegotiated. I have no problem finding someone else to enter an arrangement with (including contract work).
If I need something I don't go on my knees with my hand out. I understand that in the current economy, the balance of power has shifted towards employers, but it's times like these that the above attitude can make all the difference (for the better).
I also take every job I do very seriously and never abuse the responsibility I'm given. People appreciate those who can get the job done, a lot of which I can attribute to my success. If you do have a cocky attitude, it helps to be able to back it up ;).
If they're underperforming and not living up to what you want from them, fire them and find someone else who will.
I don't understand why employees are expected to just act helpless and be held hostage because someone gave them a job. If you're good in your field (especially in an area like tech), you should have no trouble finding other jobs at your fair market value and keeping your employer honest.