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Also known as: Performance Improvement Plan, performance plan

PIP

ConceptualOperations

Definition

PIP: A Performance Improvement Plan (PIP) is a formal document outlining specific performance deficiencies and required improvements within a defined timeline. While PIPs can genuinely help struggling employees succeed, they're often perceived as termination precursors. Effective PIPs have clear, measurable goals, adequate support, and realistic timelines.

Example Usage

“Before the PIP, we tried coaching and clear feedback. The PIP gave her 60 days with specific targets and weekly check-ins. She improved and is now thriving.”

Common Misconceptions

PIPs always lead to termination. When done genuinely, 30-40% of employees successfully complete PIPs and improve.
Skip PIPs for fast termination. Documentation protects against wrongful termination claims and ensures fairness.
PIPs are only for poor performers. Sometimes role misalignment, not ability, is the issue—consider role changes first.

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