Does your employer pay severance to people who are let go after failing a PIP?

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We offer a choice between a package or for them to go on a PIP. However, if they pick the PIP and fail, no severance is offered and it’s a unilateral termination.

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yes

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We do the same.

Never saw it. Ever.

Employers just pay outgoing employees what is directly owed, such as hours-worked and accrued vacation.

Some employers pay out on paid sick leave (in CA); otherwise, on a for-cause separation, you’re lucky to get what you can get without going through the protracted hell of labor board complaints and administrative court processes (even small claims court).

Usually, severance pay is given in reduction-in-force (RIF) scenarios that have agreement-based legal conditions attached.

Company leadership generally exercises their will on subordinate HR and business office staff to carry out draconian directives. And the idea is to dispose of outgoing employees as cheaply and safely as possible.

It’s the truth.

Oh, yeah—and BTW—most of the HR bloggers and labor law attorneys will tell you that the vast majority of employees who go on PIPs never recover. In fact, there is a tacit implication that problematic or undesirable employees are intentionally put on a PIP to later position them for a for-cause, justifiable termination.

The situation has at least two components: 1) that the employee is “damaged goods” and may likely never climb out of their performance “hole”; and 2) that the psychological stress of being singled-out is such a demotivating factor that the employee will self-select and drop out voluntarily. The latter act not being a justifiable position to get anything other than what is owed in hours-worked and vacation hours accrued.

Did I miss any major stuff? Unlikely.

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