When and How to Implement a Performance Improvement Plan

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By: Rebecca Meharchand

Performance management can be a tricky subject for employers to raise with their employees. However, just because these conversations may be uncomfortable for both parties does not mean they should not be had. For both employers and employees, it is important for employees to be given the opportunity to demonstrate their ability to perform their duties.

An employer should implement a performance improvement plan (PIP) when an employee’s performance is not meeting the expected standards or is not up to the mark. There are several circumstances in which an employer may consider implementing a PIP, including the following:

Decline in performance: If an employee’s performance has declined over time, it may be necessary to implement a PIP to identify the cause and help the employee improve their performance.

Specific performance issues: If an employee is struggling with a specific aspect of their job, such as meeting deadlines, communication skills, or teamwork, a PIP can help address these issues.

Complaints from colleagues or customers: If an employee’s behavior or performance is negatively affecting colleagues or customers, a PIP may be necessary to address the situation and prevent further issues.

Having a PIP can help ensure that everyone is on the same page in terms of expectations. It helps both parties understand exactly what needs to be improved and can help set concrete benchmarks for success. 

When implementing a PIP, it’s important for the employer to follow a structured process to ensure the PIP is effective and fair. Some steps an employer can take when implementing a PIP include the following:

  1. Identify the performance issue

An employer should clearly identify the performance issue and explain to the employee what specific areas need improvement. The employer should provide specific examples and data to support their assessment.

  1. Set clear goals and expectations 

An employer should establish clear goals and expectations for the employee to achieve within a specific timeframe. The goals should be specific, measurable, achievable, relevant, and time-bound.

  1. Provide support and resources 

An employer should provide the necessary support and resources to help the employee improve their performance. This could include additional training, coaching, mentoring, or other forms of support.

  1. Monitor progress and provide feedback 

An employer should monitor the employee’s progress regularly and provide feedback on their performance. The feedback should be constructive and provide specific examples of what the employee is doing well and what needs improvement.

  1. Evaluate and adjust the PIP

At the end of the PIP, the employer should evaluate the employee’s performance and determine whether the goals were met. If the employee has not met the goals, the employer should determine whether to extend the PIP. If an extension is warranted, the employer should clearly communicate to the employee what outcomes might occur if they are not able to achieve the appropriate level of performance by the time the extension expires.

It’s important for the employer to document the PIP process and communicate clearly with the employee throughout the process. The employer should also ensure that the PIP is consistent with company policies and applicable laws.

For more information on how to draft an effective PIP, or to implement one in your workplace, please contact your Seabrook Workplace Law lawyer.

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