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I personally would provide grace and latitude as the leader of an employee who previously performed well, but is dealing with a presumably significant health issue, who received the feedback and has improved.
If the person needs an accommodation, their doctor should define what is needed. Then you can see if you have a role that will work, or they may need to move elsewhere in the company
I don’t know if you are based in the US or Europe (presumably US… ) but it would likely be considered discriminatory under EU law to dismiss this employee solely due to their declining performance if it is linked to their health condition. The ESJ has ruled that long-term or significant health issues can qualify as a disability, meaning employers must provide reasonable accommodations before considering termination.
Have you considered adjusting work conditions? I appreciate you have looked at ways of making the role less demanding and that is kind of you, but what about part time or remote work options?
An occupational health assessment delivered by a professional can also help identify other adjustments that can be offered.
If further adjustments cannot be made and continued employment isn’t feasible, explore early retirement options, voluntary redundancy with severance, or a phased exit, via mutual agreement with the employee. Either way I’d tread carefully.
I don’t mean to be harsh as I appreciate you have tried to be empathetic - but there are laws protecting individuals in these circumstances, for a reason.
This person is currently on ADA work from home full time accommodation. And this is honestly part of why I’m asking, they’re a protected class based on age and health status so I am trying to tread lightly and with empathy. The unfortunate reality is my other team members are having to cover their work when their projects aren’t finished and stressing out others on the team. We do not have the budgetary option to hire a temp to replace the 40% of decreased workload so I feel like I’m almost out of options.
The other departments who’ve interviewed don’t feel this person could do their roles and I keep striking out. The only roles we have left are of a lower pay band by a significant amount and this person keeps making it clear that is not an acceptable route. I’m spinning a little.
OP does he understand a reduction in pay is better than unemployment? Is he eligible or looked into being deemed a caretaker by social security? Then he would get paid that way (I assume she’s on SS disability)
I think that is the only route left honestly. As far as I know I believe she is on SS disability.
Figuring out compliance with the laws is the HR department's job. You need to decide if this person needs to stay or go. If HR pushes back, that is a good opening to seeking temp work or something else for your team.