PIPs do more harm than good. In my 30-year HR career, here's the best alternative I've seen.

Tue, 04/23/2024 - 05:11

Co-workers talking together at office space - stock photo — Even if an employee successfully completes a performance-improvement plan, the underlying tension and strain on the relationship often persist.
Klaus Vedfelt/Getty Images

Steve Cadigan has led HR teams at top companies for over three decades.
He has seen how performance-improvement plans (PIPs) often fracture relationships between managers and employees.
The better alternative to PIPs allows employees to mutually agree to separate from the company.

Over the past three decades, I've witnessed various approaches to performance-improvement plans (PIPs) as an HR executive across five different industries and three countries.