Employee Fails Performance Plan, Gets New Role and Raise Request

An employee, referred to as Sally, has failed a 60-day performance improvement plan (PIP) at a professional services firm but was not terminated. Instead, she has been moved to a newly created, less demanding position and has requested a pay raise.

Sally was initially hired for a role that proved to be beyond her capabilities. Despite significant support and efforts from her manager, she was unable to perform basic functions of the job without consistent errors. The manager documented repeated problems and a lack of progress over nearly a year.

Following the documented struggles, a 60-day PIP was implemented. The process, which involved substantial management effort, did not result in Sally meeting the required performance standards. Despite acknowledging the extent of the performance issues, company owners opted not to terminate her employment.

Instead, the owners created a new role for Sally, citing her positive impact on company culture and a reluctance to let her go. Her manager has been tasked with assigning her simple, low-risk tasks. This decision necessitates other employees taking on Sally's more complex responsibilities, increasing their workload.

Upon learning of the outcome of the PIP and her reassignment, Sally's immediate response was to inquire about a salary increase based on her tenure. The situation leaves the manager in a challenging position, impacting team morale and productivity while failing to address the root cause of the performance deficit.