Can an Employer Put Me on a Performance Improvement Plan?

Employees are often alarmed when they are told they are being placed on a performance improvement plan, commonly called a PIP. The immediate reaction is usually to ask whether the employer is allowed to do this, what can a lawyer do for me about this, and whether it means termination is inevitable. The short answer is that an employer can usually put an employee on a performance improvement plan. The more important question is whether the plan is justified and how the employee responds once it is given.

If there are legitimate performance concerns and the employee agrees that improvement is needed, the practical approach is to take the plan seriously and make a genuine effort to meet the stated expectations. A PIP is often framed as an opportunity to improve, and in some cases it truly is – though in the experience of the author (having been involved in literally tens of thousands of legal claims), these PIPS are usually just an attempt by an employer to set up an employee for an upcoming termination. Ignoring it or refusing to engage can make matters worse and may later be used by the employer to justify termination. A north york employment lawyer can also help you decide how to engage with the plan without unintentionally conceding points that can later be used against you, or providing details that can serve to protect you.

Even if the performance improvement plan is unfair, exaggerated, or based on incorrect assumptions, the employee generally cannot stop the employer from implementing a PIP. What the employee can and should do is respond thoughtfully and put their position on the record (ie. in writing). Remaining silent or passively accepting the plan can later be interpreted as agreement that the performance issues were real and justified. We always recommend that our clients write their response not thinking that they will change the mind of the employer, but rather focusing on what a judge might think years down the road. They do not want to appear aggressive or argumentative, but rather polite, reasonable, and reliant on facts. This is often where guidance from a north york employment lawyer is most useful, because the goal is to create a clear record without escalating the conflict.

A written response is often critical. Do not assume anything you say in person or over the phone will be acknowledged by the employer. Put your position in writing (email is usually fine). This does not mean being confrontational or hostile. Instead, it means calmly and professionally identifying where the employer’s assumptions may be incomplete or inaccurate. For example, if an employee is placed on a PIP due to declining sales numbers, it can be important to point out contributing factors outside the employee’s control. If sales territories were reduced, key accounts were reassigned, marketing support was withdrawn, or market conditions changed, those facts should be clearly documented. Doing so helps demonstrate that the alleged performance deficiency may not fairly reflect the employee’s efforts or abilities.

Similarly, if expectations have shifted without clear communication, or if performance targets are inconsistent with historical benchmarks or the performance of peers, those issues should be raised. The goal is not to refuse the plan outright, but to create a written record that shows the employee does not agree with the employer’s characterization of their performance.

It is also often helpful for an employee to expressly confirm their willingness to improve and to ask for support. Putting in writing that you are open to additional training, coaching, clearer metrics, or additional resources can be strategically important. If an employee signals a genuine desire to improve and the employer later fails to provide meaningful support, that can weaken an employer’s position if it later claims termination for cause based on performance. Even if an employee thinks that they are doing a wonderful job, by indicating an interest or willingness to engage in coaching or training, this creates a huge obstacle or impediment for an employer attempting to rely on performance as cause for termination if they fail to then provide the coaching/training suggested by the employee.

In some cases, employers rely on a performance improvement plan as groundwork for a future termination for cause. Termination for cause carries a very high legal threshold, and employers must generally show that the employee was given clear notice of deficiencies, a reasonable opportunity to improve, and appropriate support. An employee who documents objections, explains external factors, and requests training or coaching helps create a record that the employer may struggle to overcome. A employment lawyer can also help you assess whether the employer’s process meets the legal standard they would need to justify a “for cause” termination.

In summary, an employer can place an employee on a performance improvement plan, even if the employee disagrees with it. What matters most is how the employee responds. A careful, professional written response that challenges incorrect assumptions, explains relevant context, and confirms a willingness to engage in improvement can be critical. It may not prevent termination, but it can significantly affect the legal consequences if the employment relationship later ends.