Definition
Performance Improvement Plan—often the final step before termination disguised as developmental support. Plural form emphasizes that these are being distributed liberally, usually during reorganizations.
Example Usage
Management started issuing PIPs to half the team, which is HR code for 'we're building documentation to fire you legally.'
Origin
Formalized in the 1980s-90s as companies sought to document performance issues for legal protection
Fun Fact
Studies suggest fewer than 5% of employees placed on PIPs actually improve and remain with the company, making it essentially a bureaucratic firing process.
Source: Performance management and employment termination terminology
Related Terms
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See “PIPs” in Corporate Speak, Gen-Z Slang, Pirate Speak, and more.
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