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Navigating Performance Improvement Plans Successfully

Received a PIP and don’t know what to do? 

A Performance Improvement Plan (PIP) is a structured process used by employers to address an employee’s performance concerns, while providing them with an opportunity to improve.  

PIPs must be implemented fairly and in line with employment laws. Understanding your rights and responsibilities can help you navigate a PIP successfully, protect your employment, and help you become more efficient at work.  

 

Understanding Performance Improvement Plans 

A PIP is typically introduced when an employer identifies performance issues that need to be addressed formally.  

The plan outlines specific areas for improvement, performance expectations, support measures, and a timeframe for assessment. The aim is to help employees meet job requirements, rather than initiate termination proceedings. 

Common Reasons for a PIP 

  • Failure to meet performance targets or key performance indicators (KPIs) 

  • Consistent errors or lack of attention to detail 

  • Poor time management or productivity concerns 

  • Failure to follow workplace policies or procedures 

  • Interpersonal conflicts affecting work performance 

 

Your Rights and Responsibilities 

1. Right to Fair Process – Under New Zealand employment law, employers must act in good faith and follow a fair process when placing an employee on a PIP. This includes: 

  • Providing clear and documented reasons for the PIP 

  • Giving the employee a reasonable opportunity to improve 

  • Offering support, such as additional training or mentoring 

2. Right to Representation – Employees have the right to bring a support person, such as a union representative, employment advocate, or lawyer, to any PIP-related meetings. 

3. Right to Respond – Employees should be given the chance to respond to the PIP before it is finalised, including discussing whether the expectations and timeframes are reasonable. 

4. Right to Challenge an Unfair PIP – If an employee believes the PIP is unfair or being used as a pretext for dismissal, they may: 

  • Raise concerns with HR or management 

  • Lodge a personal grievance claim within 90 days.

 

How to Succeed in a PIP 

1. Understand the Expectations – Carefully review the performance concerns and expected improvements outlined in the PIP. Ask for clarification if any points are unclear. 

2. Communicate Proactively – Keep open communication with your employer, provide updates on your progress, and raise any challenges you are facing. 

3. Seek Support – Utilise training, mentoring, or any other support offered by your employer. Consider seeking advice from a legal expert or employment advocate for extra support and consultation. 

4. Track Your Progress – Document your efforts to meet the PIP requirements, including completed tasks, feedback received, and any obstacles encountered. 

5. Maintain a Professional Attitude – Stay positive and professional throughout the process. Demonstrating a willingness to improve can increase your likelihood of a successful outcome. 

 

What Happens After the PIP? 

At the end of the PIP period, your employer will review your progress and decide whether: 

  • You have met the expectations, and no further action is needed 

  • The PIP will be extended with additional support 

  • Disciplinary action or termination may be considered if improvements were not made 

If you disagree with the outcome, you are able to seek mediation through Employment New Zealand, or advice from employment relations specialists. 

 

Conclusion 

Navigating a PIP requires understanding your rights, actively engaging with the process, and seeking support where necessary. By approaching the PIP with a constructive mindset and commitment to improvement, you’ll increase your chances of successfully meeting performance expectations, and continuing your employment. 

Mahi Law can Help! 

Our expert team will help you understand your employment rights, and pursue resolution (including compensation) through various channels, such as: Without prejudice negotiations, mediation, the Employment Relations Authority, or Employment Court if required. 

We also work on a no-win, no-fee basis – if we win your case, your employer covers the costs. 

Get in touch for a free consultation! You can fill out this form – or contact us at [email protected], or 0800 450 032. 

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