A PIP is a formal document used when an employee's performance falls below the required standard. It must set clear, measurable targets, provide adequate support, and allow a reasonable time frame. Following a fair PIP process is critical before any capability dismissal.

• Must set SMART targets — vague targets are unenforceable
• Adequate support and training must be provided
• Review meetings must be documented
• Employee should be given copies of all PIP documents
• Right to be accompanied: employee can bring a colleague or trade union rep to PIP meetings

Legal reference: ACAS Code of Practice on Disciplinary and Grievance Procedures; Employment Rights Act 1996