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In this tutorial, Erin from Time Saving Templates introduces the newly added Employee Performance Review Template. This template is designed to facilitate the copying and pasting of employee performance ratings, which are essential for various related templates. Specifically, it integrates with the variable compensation bonus calculation worksheet and the annual merit increase template, allowing users to create bonus matrices and determine base pay increases based on performance ratings. Erin presents a blank version of the template that accommodates up to 20 employees, indicating that each employee has a dedicated tab or page for their details.