Dear Priya, do you have a policy on Performance Appraisal? If not, first, you need to create that policy. If yes, you need to include the clause on PIP. In the policy, you need to define PIP, specify its duration, outline the responsibilities of managers or HOD for subordinates under PIP, describe the outcomes for those who improve performance and exit PIP, and address what happens if performance does not improve.
Regarding issuing letters to employees placed under PIP
I have two recommendations. First, consider including a draft of the policy letter as an appendix to the policy. Second, instead of creating a separate letter, incorporate the provision in the Performance Appraisal (PA) form. If an employee's scores fall below a certain level, have them sign an undertaking during the PA review.
While dealing with forms is necessary, it's important to minimize unnecessary paperwork for the HR department when formulating policies.
Quantification of Performance
Defining PIP is crucial to prevent misuse. There have been instances where employees felt unfairly targeted through PIP, such as women being put on PIP after announcing their pregnancy. To prevent misuse, quantifying and accurately measuring performance is essential. Objectivity is key in performance appraisals.
Thank you,
Dinesh Divekar