Being placed on a performance improvement plan can affect an employee’s mental health. But what happens if they request stress leave immediately after being put on a performance improvement plan? Or if their performance issues overlap with another type of mental health leave under company policy or employment law?
Enforcing a performance improvement plan (PIP) while an employee is on stress leave can create legal risk if the process interferes with protected leave rights or appears retaliatory. At the same time, mental health and medical leave requests don’t invalidate legitimate performance concerns.
Here’s how performance improvement plans and stress leave intersect, and how to address an employee’s performance problems in good faith during the PIP period.
A performance improvement plan is a key part of the performance management process. It often takes the form of a 60-day period during which an underperforming employee is expected to take steps to meet performance expectations.
There’s no denying that being on a performance improvement plan can be stressful. An employee may be anxious about losing their job or facing disciplinary action. And some mental health issues, like anxiety, can be a genuine reason for stress leave under the Americans with Disabilities Act (ADA) or Family and Medical Leave Act (FMLA).
But when an employee requests stress leave during the PIP period, or when leave begins shortly before a PIP is scheduled, the timeframe can create uncertainty for HR teams or even lead them to suspect FMLA abuse. Human resources teams may need to determine whether poor performance is related to a protected medical condition without compromising employee rights and well-being.
Employees who take a leave of absence for stress-related reasons may have certain protections under the ADA, FMLA, company policies, or state leave laws. Terminating, disciplining, or interfering with an employee’s rights when on stress leave may trigger accusations of retaliation and unfair treatment.
That doesn’t mean that you have to place performance reviews and performance improvement plans on hold, but it’s important to establish that the performance improvement plan and stress leave are separate events.
HR teams can document this separation by showing that:
Ultimately, employers can raise performance issues before, during, and after ADA or FMLA leave, as long as they’re held to the same standards as other employees and aren’t penalized or retaliated against for taking stress leave.
Whenever a performance improvement plan and stress leave overlap, follow these best practices to avoid confusion, unequal treatment, and legal repercussions:
Managers play an important role in an effective performance management process. They’re often the main point of contact with an employee regarding performance issues.
By setting clear performance goals, scheduling regular check-ins, and sending supportive follow-up messages, managers can reduce confusion by helping employees understand expectations, available resources, and next steps.
When an employee’s performance overlaps with ADA or FMLA leave, medical certifications or documentation can help HR understand whether an employee has a qualifying reason for leave. It can also help them determine whether accommodations may be required and how to manage the case without requesting unnecessary medical details.
Retaliation refers to any type of “adverse action against an employee for engaging in protected activity,” such as using performance issues as a pretext to fire or discipline employees who take stress-related leave. Seek legal advice for complex cases and avoid using language that could be taken out of context or misconstrued.
Sometimes, the safest approach is to reconsider the PIP timeline. Instead of tracking missed deadlines or counting leave time against the employee’s PIP period, consider pausing or extending the timeline to give the employee a meaningful opportunity to address performance expectations upon their return.
Offer a temporary “ramp up” period when they return to work to support their transition with encouragement rather than immediate discipline.
Consistency is the HR department’s best defense against claims of retaliation. Use performance review templates to ensure that every employee is held to the same performance standards, and use employee performance metrics as proof of an employee’s poor performance or underperformance.
Leave of absence management can be complex and time-consuming, whether or not it involves a performance improvement plan and stress leave. HR software can help HR teams by automating key parts of the process, reducing the time it takes to manage simple cases, and freeing up your HR team to handle more complex ones.
Here’s how you can use leave of absence automation to improve compliance when performance management and leave obligations intersect:
Responding to leave requests promptly is important for legal compliance and employee well-being. Cloud-based HR software can store the details of each leave request, run it through an automatic eligibility checker, and track an employee’s leave balance.
When you use Pulpstream’s leave management software, employees can scan a QR code or call a number to access your self-service portal. No more tracking down leave requests in text messages or emails, or wondering exactly when you received them. Use Pulpstream to manage all requests from a centralized location.
Accurate record-keeping protects you from compliance issues and serves as a paper trail in the event of an audit. From medical certifications to ADA accommodations, use leave management software to generate key forms and documents, pre-fill them with existing data, and send them to employees and managers for electronic signing.
Pulpstream’s document management tools securely store leave-related records in the cloud, improving accessibility while supporting confidentiality requirements under the ADA, FMLA, and other employment laws.
Both performance improvement plans and stress leave requests come with deadlines: whether it’s 60 days to address performance issues or 15 days to provide a medical certification under FMLA. Use leave management software to track deadlines, with automatic reminders for missed deadlines and recertification requirements.
Deadlines hold both you and your employee to reasonable timeframes, helping you meet your obligations under company policy and employment law.
Clear communication in the workplace can improve transparency and reduce performance issues that lead to stress-related leave. From performance reviews to regular check-ins, open communication reduces stress and workplace conflict, and gives employees access to resources beyond requesting leave.
When stress leave is the appropriate solution, automatic email and SMS notifications keep everyone on the same page and facilitate the return-to-work process.
Performance issues may not end when an employee concludes their performance improvement plan or returns from stress leave. If you suspect a disability is at play, engage in the ADA interactive process to identify a reasonable accommodation.
In cases of FMLA fraud or abuse, seek legal advice to determine whether there are grounds for disciplinary action or termination.
Performance improvement plan stress leave situations require careful documentation, consistent communication, and a clear separation between legitimate performance concerns and protected leave rights. An employee may request leave due to performance-related stress, or an employee’s leave of absence may coincide with ongoing underperformance.
HR teams need to avoid punishing an employee for taking stress leave and take action only based on documented performance expectations, company policy, and applicable employment laws.
Pulpstream’s all-in-one automation platform can help HR teams centralize leave requests, documentation, communications, and compliance workflows when performance issues and leave obligations overlap. Request a demo today to see how Pulpstream can help you save time, improve visibility, and manage complex leave cases more consistently.