The acronym PIP has been in the news a lot recently, as a result of the Government’s proposed changes to the benefits system.
But it’s a different PIP I want to talk to you about today – the Performance Improvement Plan, which is used to help employees address problems in their performance
When to Use a PIP
A PIP can be useful, but it should not be used for every minor workplace issue or more behaviour-related issues.
If your employee is struggling with aspects of their role that are essential to their job performance, a PIP may be the appropriate next step. This may include:
- Consistently failing to meet key performance targets – e.g., missing deadlines, producing substandard work, or struggling with core responsibilities.
- Repeated errors despite training and feedback – if an employee has been given guidance but still fails to improve, a PIP provides a structured way to track progress.
- Ongoing behavioural issues that impact work quality – such as poor communication and failure to collaborate that affect performance.
A PIP should always be used as a supportive measure rather than a punishment, helping employees understand expectations and giving them a fair opportunity to improve.
When NOT to Use a PIP
Some workplace issues are more about conduct or minor offences rather than genuine issues with performance. In these cases, it’s usually better to consider alternative action. For example:
- Fake Nails in the Workplace – If an employee wears fake nails against a health and safety policy (e.g., in food handling or medical roles), this is a H&S compliance issue rather than a performance concern. A disciplinary process culminating in a formal warning would be a more suitable response.
- Not Filling Out a Timesheet – Again, if an employee fails to submit their timesheet, this is likely a process or compliance issue rather than a performance problem.
The way you should deal with it is contextual – was it an isolated mistake, or a pattern of non-compliance? Generally speaking, a disciplinary process resulting in a formal warning would be make more sense.
- Not Wearing PPE – Refusing to wear PPE (Personal Protective Equipment) is a serious health and safety violation, and if an employee keeps refusing, it’s a disciplinary matter rather than a performance issue, again leading to a disciplinary process.
- Swearing at colleagues and managers – This is a conduct issue and should immediately, at the first time it happens, be referred to the disciplinary process.
Hopefully these examples help – the bottom line is that PIP is a valuable tool for addressing genuine performance concerns but should not be misused for conduct issues, minor infractions or process violations.
And repeated instances of poor performance would invoke the capability/disciplinary process – do not let performance issues go on for more than three months without taking more formal steps to document them.