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Does a performance improvement plan mean you’re getting fired? What employees need to know

Employment agreements create an understanding that an employee will perform their duties, and in exchange the employer will pay them. If an employee fails to perform as expected, a company may choose to place them on a performance improvement plan.

What is a performance improvement plan? 

A performance improvement plan is a tool to address and correct deficiencies in an employee’s performance. The plan usually includes an outline of the employee’s shortcomings at work, the company’s reasons for implementing the plan, and a description of the goals and objectives.

It should also specify how the employer will support the worker to achieve the desired results through additional training, scheduled meetings and feedback, and set a timeline for the employee to meet the goals and objectives by a specific date.

READ MORE: The top 5 termination myths — and what you need to know about being fired from a job

What should I do if I disagree with the performance improvement plan?

If an employee agrees with certain aspects of the performance improvement plan, they can acknowledge what they have done wrong and identify what they would like to improve on.

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If your employer tries to put you on a corrective plan for reasons that are unwarranted, unfair or inaccurate, you should immediately respond to the allegations in writing, such as by sending an email. Otherwise, it will appear as though you have accepted your employer’s claim as fact and potentially leave you vulnerable to being fired for cause.

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What happens if I’m on a medical leave?

A medical condition such as physical impairment, stress, anxiety or depression may impact an employee’s performance at work. In some situations, stress may be triggered by the performance improvement plan itself.

If you are struggling with a medical condition, it is important to immediately seek medical advice from your physician before taking a leave.

If your doctor recommends that you take a medical leave from work, you must share appropriate medical documentation with your employer. You’re not required to provide your company with your diagnosis, but you do need to give them information about the potential outcome of your condition.

READ MORE: Can your long-term disability insurer force you back to work?

It is illegal for an employer to terminate an employee as punishment for taking time off work during a performance improvement plan. Any corrective program should be put on hold until the employee returns from their leave.

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Can I be fired for failing a performance improvement plan?

In my experience, employers will often attempt to fire employees for cause — or without a severance package — if they fail to successfully complete a performance improvement plan.

But that doesn’t mean the firing for cause is justified, or that the employee isn’t owed severance. To justify a termination for cause, an employer must prove real incompetence or misconduct, not just dissatisfaction with performance or concern about potential misconduct.

Employers are also obligated to provide support under the performance improvement plan. If they don’t follow through and try to fire the employee without severance, the employee can legally challenge the decision. I recommend that employees on performance improvement plans who don’t receive appropriate support and feedback note this in writing, and then show this documentation to an employment lawyer if they’re fired.

Even if an employer has provided extra assistance throughout the process, they still may not be able to meet the extremely high standard to establish firing for cause. This means that the employee is owed full severance, which can be as much as 24 months’ pay.

This is where an employment lawyer, like the team at Samfiru Tumarkin LLP, can play a vital role. A member of our firm can review your situation, determine if your employer’s actions were justified and assess how much compensation you should receive.

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READ MORE: 5 ways to determine if your severance package is fair


Have you been placed on a program to correct your performance in the workplace? Have you been let go without proper severance? 

Contact the firm or call 1-855-821-5900 to secure assistance from an employment lawyer in Ontario, British Columbia or Alberta. Get the advice you need — and the compensation you deserve.

Brock Ouellet is an employment lawyer at Samfiru Tumarkin LLP, Canada’s most positively reviewed law firm specializing in employment law and long-term disability claims. The firm provides free advice on Canada’s only Employment Law Show on TV and radio.

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