@JoelEtherton Intriguing. I always viewed them as "you're fired, but HR needs some paperwork." How to tell the difference would make an interesting question for here.

It comes down to very honest conversations, and it requires significant trust on the part of the person going on the PIP. When I execute a PIP, it's with specific measurables and deliverables with checkpoints along the way. When it's successfully completed, it's delivered as a clean slate, and the importance is adhering to that. It can't be used against someone in the future (emotionally/mentally). I make my PIPs about a changing of habits rather than just a "return to productivity". It's easy to tell half way through a PIP what the end outcome is going to be.

I have a feeling that the 2 guys is just too disappointed and still not have new place to move (or maybe due to contract or something that makes them also stuck there). I think there's something missing from just the OP's story to judge the 2 devs as below average.

@JoelEtherton "It's easy to tell half way through a PIP what the end outcome is going to be" -- but the employee can work hard for 51% of the PIP and then stop, proving you wrong. I understand you're saying that doesn't tend to happen, but if someone wants to defeat your heuristic they can easily do so.

@nanoman the way I understood it, I took it to mean Joel could tell by the halfway point whether they should start preparing for a firing (and associated activities like hiring) or whether they could count on the employee to pull through. Either way the decision is made at the end, but you get additional time to prepare if you judge correctly.

A PIP that is a foregone conclusion also defeats the purpose of having evidence that "we tried to fix it, but couldn't". You want to have the occasional person pull through.

@JoelEtherton : whether PIPs can be successful depends on the company. A formal PIP can be a pain in the neck in terms of administrative overhead and paperwork. In many places you only go through this step AFTER all else has failed and there is no hope in salvaging the employee. If the situation is fixable, then just fix it and don't do a formal PIP if you can avoid it.

@encryptoferia I'm actually curious if the 2 "below average" performers are really such, or are they average, and with the "crazy hours" et. al. are being viewed as sub-par, thorough no actual fault of their own.

@Hilmar: No doubt. It's a common practice. My comment was a suggestion that it's not universal.

@JoelEtherton Its so close to universal that the difference isn't worth considering on the receiving end. If you get a PIP its in your best interest to just put all your effort into finding the next job.

@GabeSechan: That's a very cynical viewpoint. I'd love to see any case studies or metrics you could cite as evidence of your assertion. Also, nothing will change unless people act to change it. This isn't how I treat PIPs, and I would encourage anyone faced with a PIP to evaluate it fully in their own own best interest. Even if it is being used as a mechanism to put someone out of an organization, it's still an opportunity to learn and be better.

@JoelEtherton It's a realistic viewpoint. The company just said they don't think you're good enough. At best, they think you need extreme improvement. At worst, they're just documenting the reason they're going to fire you. Why would you fight an uphill battle rather than join another employer who will be more appreciative of your time and energy? If they really wanted to make the relationship work, it would have been feedback rather than a formal PIP.

@JoelEtherton The fact that they felt the need to give you a formal notice that they don't think this is working is sufficient in and of itself that your immediate priority is to find a place that respects your contributions. Move on. Because even if you get through the PIP, odds are you'll have a stigma in that company at least until you get a new manager, if not permanently.

@GabeSechan: Because uphill battles are the ones that actually grow you. Running to a new employer just drags your problems along with you. I've executed a good number of PIPs successfully, and those people still work on my teams. It doesn't always work out that way. A person gets out of it what they put into it. This is becoming a chat worthy back-and-forth. I'll gladly have a conversation with you to change your perspective on the topic.

@JoelEtherton A person's goal isn't to work at a place to "grow". It's to make money to live. If they agree that there's a failing on their part, they can address it just as easily at the next place, with lower stress, fewer risks, and a much greater chance of success without an organization biased against them. There's no conversation to be had here- it is NEVER in a person's best interest to stay once PIPed. They may have to financially if they can't find a new job quickly, but they should still leave as quickly as possible even if they make it through the process.

@JoelEtherton If I was your employee and you gave me a PIP, I'd stand up, shake your hand, and say I quit effective immediately. Of course I have significant savings. But the PIP process is NEVER a help to the employee. If you actually want to help the employee, a frank conversation and talk about how to improve works. A PIP means that their career there is as good as done. The fact you felt the need for a formal process rather than a conversation just seals the deal.

Let us continue this discussion in chat.

"Depending on how desperate you are, you might be able to offer them a percentage of the bonus for successful project completion" - it would be as realistic and convincing, as offering the extra bonus in case of the successful Mars collocation. It's quite clear, that the project is going to fail and there will be no extra bonus.