PIP vs. Progressive Discipline
When an employee’s performance is not meeting expectations, employers often turn to performance management strategies to clarify expectations and support improvement. Two common approaches are performance improvement plans (PIPs) and progressive discipline. If you’re unsure whether to use a PIP or progressive discipline, this post can help. Plus, there’s a link to our free guide that highlights the key differences between them, explains when each might be suitable, and outlines what employers should consider before making a choice. While both aim to address workplace concerns and support improvement, they’re distinct processes with different purposes for different circumstances.
Key takeaways
- PIPs typically outline expectations, support resources, and a timeline for improvement.
- Progressive discipline is typically used to address misconduct, depending on the workplace and circumstances.
- A PIP is not automatically disciplinary; context and policy matter.
- Document concerns, support provided, check-ins, and next steps.
What is a performance improvement plan?
A performance improvement plan (PIP) is a tool used to address poor performance, which might involve an inability to complete tasks, meet expectations, or fulfil the essential duties of their role. Essentially, it’s a structured approach to help employees get back on track.
A PIP outlines specific areas where improvement is needed and provides clear guidelines, strategies, and a timeline for achieving those improvements. This typically involves setting measurable goals and offering support and resources to help the employee succeed. After all, the goal is to give the employee a fair, practical path for meeting the required standard.
PIPs are usually implemented for a set period, with the timeline based on the role, the performance gap, and a reasonable opportunity to improve. Regular check-ins help monitor progress, provide feedback, and keep communication open.
At the end of the PIP period, employers evaluate the employee’s progress. If performance has significantly improved, the PIP may be concluded. However, if performance does not improve, employers might consider extending the PIP, creating a new plan, or considering other steps, which may include termination in some circumstances.
It’s important to remember that PIPs should be viewed as supportive tools to help employees grow and develop, rather than disciplinary measures.
Is a PIP disciplinary?
Not automatically. A PIP is generally a performance management tool used to identify gaps, set measurable expectations, and provide support. Whether it forms part of the progressive discipline process depends on the employer’s policies, any applicable collective agreement, and how the PIP is used.
What’s included in a performance improvement plan?
A well-structured performance improvement plan typically has four key components.
- An explanation of the poor performance that the plan addresses. This step clearly outlines the specific performance issues that you plan to address with the PIP. Provide examples of the performance issues, with measurable data where possible. This helps the employee clearly understand what they need to improve.
- What actions can the employee take to improve their performance? Set clear goals and explain how the employee can work towards them. This might include attending training sessions, mentorship, or changing how they approach their work.
- What tools, training, or other support the employee can expect to receive. Outline all the support systems available to your employee throughout their improvement plan. It’s important to show your commitment to their success and that you’re giving them the support they need to improve.
- The consequence of not successfully attaining the desired performance expectations. Clearly state the consequences of failing to meet the performance expectations in the plan. This keeps expectations clear for both the employee and the employer.
Performance improvement plans in Canada
There is no single mandatory template or fixed duration. The plan should reflect the employee’s role, the performance gap, workplace policies, any collective agreement, and any requirements that apply in the employee’s jurisdiction. Before treating an issue as a straightforward performance problem, consider whether additional training, clearer expectations, resources, or a workplace accommodation may be relevant.
When should I use a performance improvement plan?
A PIP is best suited for performance issues, such as regularly missing required sales goals, missing project deadlines, or producing work below the expected standard.
A PIP might be necessary when an employee’s productivity, performance, or leadership abilities are causing concern. However, it’s important to remember that PIPs are generally designed to address performance-related issues rather than misconduct or behavioural problems.
If you notice an underperforming employee, start by identifying the issue. Is it a lack of skills, knowledge, or resources? It could even be related to motivation or external factors. Once you’ve identified the issue, inform the employee by having an honest conversation to explain the concerns and expectations.
Providing additional support, such as online staff training or mentorship, can help the employee improve. You should create an action plan to address the performance issues. Give the employee a fair opportunity to improve to the required standard.
What if an employee was previously placed on a performance improvement plan?
It may happen that an employee successfully completes a PIP for one issue, only to encounter another later. In such situations, it’s important to assess the root cause of the recurring performance gap.
If the root cause of the new issue is different from the root cause identified for the last one, it may be appropriate to initiate a new PIP. However, if the root cause remains the same, it may signal a recurring issue. In cases of repeated performance failures with the same root cause, you might need to consider other performance management steps, progressive discipline where appropriate or, in some cases, termination of employment.
Progressive discipline
While performance improvement plans typically address performance gaps, progressive discipline is typically used for employee misconduct. This misconduct generally involves an employee’s knowing or wilful failure to meet workplace expectations. Examples can include repeated tardiness or unauthorized absences without a valid reason, or violations of company policies and procedures. Depending on circumstances, serious or reckless negligence may also constitute misconduct.
Serious misconduct generally refers to conduct serious enough to significantly undermine the employment relationship or create serious workplace, safety, or trust concerns. The assessment depends on the facts and surrounding circumstances. Workplace violence, theft, and assault are examples of serious misconduct and may warrant more serious discipline, including termination in some circumstances.
Progressive discipline follows a structured approach, typically escalating in severity based on the frequency and seriousness of the misconduct. It typically starts with a verbal warning, then progresses to written warnings, possible suspensions, and sometimes termination of employment.
When should I use progressive discipline?
Progressive discipline is a common approach to addressing violations of workplace policies and procedures. It addresses situations where an employee’s behaviour is deliberate and deviates from expected workplace standards of conduct.
Failing to follow procedures
This involves neglecting to adhere to set procedures and protocols. This could compromise employee safety or the quality of work. It could include anything from ignoring safety regulations to failing to follow proper data entry procedures.
Unauthorized absences from work
This refers to taking time off without approval or authorization. Unauthorized absences can disrupt workflow and may be addressed through progressive discipline depending on the circumstances. Before taking disciplinary action, consider whether the absence may be connected to a protected leave or a need for workplace accommodation. Documentation requirements for illness-related absences vary by jurisdiction and workplace policy, so check what you are permitted to request.
Tardiness
This involves regularly arriving late to work, meetings, or other scheduled commitments. Again, this shows a lack of professionalism and can damage productivity. It can disrupt other people’s schedules and create a negative impression on colleagues and even clients.
Workplace harassment
This can be in the form of behaviour that creates a hostile or intimidating work environment. Harassment can take different forms, including verbal, physical, or sexual conduct, depending on the circumstances and applicable law. Where an investigation or other appropriate process substantiates workplace harassment, disciplinary action may be appropriate.
Wilful neglect of duty
This refers to when someone wilfully neglects tasks assigned to them. It involves deliberately failing to carry out assigned duties. This can create safety risks in safety-sensitive roles and affect client service or the business’s reputation.
Misuse of company equipment
This involves using company equipment or property without prior authorization. This can include misuse of company vehicles, computers, or funds.
What is the progressive discipline process?
- Verbal warning: This is the initial formal conversation between the employer and employee. Address the specific conduct, explain what needs to change, and review any relevant workplace policy or procedure.
- Written warning: A written warning is given if the employee’s conduct doesn’t improve after a verbal warning or if the misconduct warrants immediate progression to this step. It should identify the issue, explain what must change, and outline the consequences if the behaviour continues.
- Final written warning and possible suspension: If the employee’s conduct doesn’t improve after a written warning, or if the misconduct warrants immediate progression to this stage, a final written warning is the next step. Depending on the workplace and applicable rules, a final written warning may also be accompanied by a suspension. This emphasizes the seriousness of the situation and provides a final opportunity for the employee to demonstrate a commitment to change.
- Termination of employment: If the employee continues to demonstrate unacceptable conduct, or if the employee’s misconduct warrants immediate progression to this stage, termination of employment may be the final step. This decision is typically made after careful consideration and documentation of the progressive disciplinary measures taken. Keeping records of all prior warnings is very important because clear records help show the process followed if the decision is later challenged.
A conventional progressive discipline policy may include four steps. The sequence is not always linear. The response should be proportionate to the seriousness and circumstances of the conduct, and some situations may justify moving to a later step.
What is the difference between a PIP and progressive discipline?
Understanding the difference between a performance improvement plan and progressive discipline can help employers determine the appropriate approach.
| Question | Performance improvement plan (PIP) | Progressive discipline |
| Primary purpose | Improve measurable performance gaps | Correct misconduct or other issues addressed through a formal corrective process |
| Typical approach | Goals, support, resources, and check-ins | Warnings or other proportionate corrective steps |
| Common outcome | Successful completion, extension, or another performance management step | Issue corrected, further discipline, or possible termination |
A PIP addresses performance problems, which are often a result of a lack of training, skills, or understanding. Poor performance may sometimes improve through coaching and mentoring, which is the primary goal of a PIP.
A PIP is generally intended as performance management, not automatic disciplinary action or a predetermined path to terminate an employee with cause. Instead, it’s an opportunity to work with an employee to address concerns about their performance.
Progressive discipline, on the other hand, deals with employee conduct where the issue results from a wilful or deliberate action or choice of the employee. For example, failing to follow company policies, practices, or procedures, misconduct that affects performance, substantiated workplace harassment, or other serious offences.
A practical approach to understanding the difference
Sometimes it can be difficult to distinguish between underperformance and misconduct. Here’s a simple way to spot the difference: performance gaps may improve with clearer expectations, training, or coaching, while misconduct involves conduct or choices that require a different response. For example, repeated lateness or dishonesty is not simply a skills gap.
In essence, PIPs give employees a structured opportunity to improve their performance. Progressive discipline, on the other hand, addresses behavioural issues and aims to ensure compliance with workplace standards.
If your concerns are not about performance, employers should avoid using a PIP as a stepping stone towards termination and seek appropriate guidance from an HR expert on the available options.
Frequently asked questions
Is a performance improvement plan a disciplinary action?
Not automatically. A PIP is generally used to manage performance, but it may sit within a broader corrective or disciplinary process depending on the employer’s policies, applicable collective agreement, and how the plan is used.
How long should a PIP last in Canada?
There is no single performance improvement plan Canada-wide with a fixed duration that applies to every employer. Set a timeline that is reasonable for the role, the performance gap, and the improvement expected, then schedule regular check-ins.
Can progressive discipline be used for performance problems?
Yes, but it depends on the situation. Although performance improvement plans are typically used for performance problems, progressive discipline may be used in some circumstances. For example, misconduct that affects performance may be addressed through the progressive discipline process. Federal labour standards guidance also describes progressive discipline as a process that can be used for work performance concerns. Employers should consider the nature of the issue and follow the laws, workplace policies, employment contracts, and any collective agreements that apply to their workplace.
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