Performance Improvement Plan (PIP) Template (UK)

Our template covers every stage — from setting clear, measurable objectives and documenting support, through to progress reviews and formal outcome records. ACAS-aligned structure with built-in audit trail.

When to Use a PIP:

• After informal approaches haven't worked: Performance conversations, coaching, and informal warnings have been tried but issues persist
• Before formal disciplinary action: PIPs demonstrate fair process before considering dismissal for capability reasons
• When performance is measurably below standard: Specific examples and metrics show clear performance gaps
• When improvement is genuinely achievable: With proper support and time, the employee could realistically meet standards
• For skill gaps or behavioural issues: Problems are within the employee's control to improve (not illness or disability)

Key Components:

• Clear performance concerns: Specific examples of where performance falls short with objective evidence
• Measurable objectives: SMART goals specifying exactly what improvement is required
• Support provisions: Training, mentoring, resources, adjusted workload - what will be provided to enable improvement
• Review schedule: Regular check-ins (typically weekly or fortnightly) to monitor progress
• Timeline: Usually 30-90 days depending on issues being addressed
• Consequences: Clear statement that failure to improve may result in disciplinary action

PIPs should be collaborative, not punitive - the goal is genuine improvement, not building a dismissal case.

Common Mistakes Leading to Employment Tribunal Claims:

• Unrealistic timeframes: 30-day PIPs for complex skill development may be deemed unreasonable - tribunals expect adequate time for genuine improvement
• Vague objectives: "Improve attitude" or "be more professional" are unenforceable - objectives must be specific, measurable, and achievable
• No support provided: Expecting improvement without training, mentoring, or resources demonstrates unfair process
• Moving goalposts: Changing objectives mid-PIP or adding new requirements undermines fairness
• Inconsistent application: Putting one employee on PIP while ignoring similar performance issues in others creates discrimination claims
• Using PIP as disguised disciplinary: PIPs are for capability issues, not misconduct - tribunals distinguish between "can't do" (PIP) and "won't do" (disciplinary)
• No documentation: Failing to document review meetings, support provided, and progress leaves employers vulnerable
• Disability discrimination: Using PIPs for performance affected by disability without reasonable adjustments violates Equality Act 2010
• Pregnancy discrimination: PIPs targeting pregnant employees or new mothers raise automatic discrimination concerns

Protected Characteristics Considerations:

Before implementing a PIP, consider whether performance issues could be linked to:

• Mental health conditions (stress, anxiety, depression)
• Physical disabilities or chronic illness
• Pregnancy or maternity-related factors
• Caring responsibilities

If any apply, occupational health assessment and reasonable adjustments should precede PIP implementation.

ACAS Code of Practice requires employers to act reasonably, provide adequate time for improvement, and offer appropriate support throughout the process.

Complete PIP Package:

• ✓ Employee and manager information sections
• ✓ PIP commencement date and review period
• ✓ Performance concerns summary with specific examples
• ✓ Current performance level and expected standards
• ✓ Measurable improvement objectives (SMART goals framework, up to 5 areas)
• ✓ Support and resources provisions (training, mentoring, workload adjustments)
• ✓ Review meeting schedule (weekly, fortnightly, or monthly)
• ✓ Built-in progress tracking table with 1–5 rating scale
• ✓ Final outcome record — pass / extend / fail with summary reasoning
• ✓ Employee rights section — right to be accompanied, written comments, reasonable adjustments (Equality Act 2010), EAP access
• ✓ Consequences statement (next steps if objectives not met)
• ✓ Employee acknowledgement section
• ✓ Manager signature block
• ✓ HR representative signature block
• ✓ ACAS Code of Practice alignment throughout
• ✓ Full audit trail — all meetings, outcomes, and performance data documented and retained
• ✓ Guidance notes on conducting PIP meetings

Structured in line with the ACAS Code of Practice — tribunal-ready format with complete evidence trail.

Related documents: Employers managing performance often also need Disciplinary Procedure, Grievance Procedure, or Employee Handbook.

Don't Make These Critical Errors:

• Springing PIP unexpectedly: Employees should have had prior performance conversations - PIPs shouldn't be the first time issues are raised
• Using PIP for misconduct: Lateness, policy violations, or insubordination require disciplinary procedures, not PIPs
• Impossible objectives: Setting standards the employee cannot realistically achieve with support undermines fairness
• No support budget: Promising training but refusing to fund it demonstrates bad faith
• Passive-aggressive tone: PIPs should be constructive, not hostile - tone matters in tribunal hearings
• Skipping review meetings: Scheduled progress reviews must happen - cancelling them weakens the entire process
• Not documenting meetings: Every review meeting should be documented with notes shared to the employee
• Ignoring improvement: If employee improves during PIP, acknowledge it - tribunals notice when employers dismiss improving employees anyway
• Inconsistent management: All managers in the organisation should follow similar PIP standards and processes
• Using PIP to force resignation: Making PIPs deliberately uncomfortable or impossible to pass is constructive dismissal

Our template includes guidance on avoiding these pitfalls and conducting fair, effective performance improvement processes.