First, understand exactly what is on the table
Some employers present the PIP and a separation offer at the same time. Others offer a package partway through the plan. Before you compare anything, get both options in writing.
Ask for the offer in writing
A verbal mention of "a package" is not an offer. Ask HR for the amount, payment schedule, benefit terms, and the deadline to decide.
Ask what happens if you fail the PIP
Find out whether any severance would still be offered if you stay and the plan ends in termination. Often the answer is less, or nothing.
Confirm your decision deadline
Know how many days you have to accept. A short window is common, but you can ask for more time to review.
Write down the timeline
Note the date the PIP started, each check-in, and when the offer was made. Wrk Receipts keeps these dates in one place.
Compare both paths over the same number of weeks
Eight weeks of severance and twelve more weeks of pay are not the same comparison. Pick one time period and add up what you would actually receive on each path during it.
Staying: pay until the PIP ends
Count the paychecks you would receive through the end of the plan, then what happens after if you pass or if you do not.
Leaving: the package plus time to search
Count the severance payments and when they arrive. A lump sum and salary continuation can land very differently.
Health coverage is a value, not cash
If the company pays for COBRA, that is the value of employer-paid coverage, not money in your pocket. Count it separately from pay.
Retirement match and vesting
Check your vesting date. Leaving a few weeks early can mean forfeiting employer match you would have kept by staying.
Weigh what the numbers do not show
The bigger dollar amount is not always the better choice. Your health, your search, and your record matter too.
Your chances of passing
Be honest about whether the goals are realistic and whether your manager wants you to succeed.
Searching while employed
Some people find it easier to search while still on payroll. Others need the time and space a package gives them.
How your exit is described
Ask how the company will describe your departure to future employers and whether that can be written into the agreement.
Unemployment benefits
Eligibility rules vary by state and can depend on how you leave. Check with your state unemployment agency before you decide.
Before you accept a package
Most packages require you to sign a release. That is the trade: money and benefits in exchange for giving up certain claims.
Read the release carefully
A release usually means you agree not to sue the company over your employment. Know what you are giving up before you sign.
Ask what can be negotiated
The amount, end date, health coverage, references, and equity treatment are often open to discussion.
Have a lawyer review it
Caged Bird HR can help with the HR side, but only a licensed employment attorney can advise you on the legal terms.
Keep your own copies
Save the offer, the PIP, and every related email you are allowed to keep. Store them in Wrk Receipts so they are easy to find later.
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Caged Bird HR is not a law firm. This guide is general HR information, not legal, tax, or financial advice, and reading it does not create a consultant or attorney relationship. Laws and deadlines vary by state. For legal advice about your situation, talk to a licensed employment attorney.