Thread regarding ExxonMobil Corp. layoffs

Is PIP a “Low-Fire” Tool in Today’s Job Market?

With all the discussion lately about the “low-hire, low-fire” labor market, I’m curious whether PIPs are effectively being used as a low-fire tool at Exxon.

Hypothetical example:

John Smith is in his mid-30s, has been with the company 5+ years, has consistently been above NI throughout his career (not OWD, but not NI either).

A few questions for those familiar with how things work in practice:

  • What are his chances of making it to retirement age (say, 55+) if he continues performing at roughly the same level?
  • If he ends up on a PIP, is a single PIP typically enough to result in termination, or are there usually multiple opportunities to improve?
  • If someone successfully completes a first PIP, what happens if they are placed on a second PIP later in their career? Is termination effectively inevitable at that point, or can people recover and continue progressing?

Not asking about any specific individual—just trying to better understand how the process works in reality versus on paper.


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| 4 views | | 11 replies (last 5 days ago) | Reply
Post ID: @OP+1kttbcx24

11 replies (most recent on top)

Unless you are in a particularly elephant-ish part of the company, people forget pips after 2-3 years of good performance. But you have to put it behind you too. If you hold a grudge that seeps in your day-to-day, it will just poison future relationships.

The pip/pil decision is financial….but also mental. Can you forgive the company and move on? If you cannot, taking the pil is probably the better course.

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Post ID: @dh+1kttbcx24

Microsoft CoPilot Summary

Are PIPs a “Low-Fire” Tool in Today’s Job Market?

Performance Improvement Plans (PIPs) are increasingly used in today’s job market as a way for companies to address underperformance while avoiding the legal and political risks of outright termination. This has led to the term “low-fire” — meaning they’re a softer, more discreet way to remove employees without a public firing.

How PIPs work in practice
A PIP typically sets specific, measurable goals for an employee to meet within a set timeframe, with the threat of termination if those goals aren’t met. In theory, it’s a growth tool: it gives employees feedback, a chance to improve, and a documented record of effort The Economic Times. In reality, many employees report that PIPs are more about quiet firing — creating a paper trail to justify dismissal without the overt action amazingworkplaces.co+1.

Evidence of “low-fire” use

Documentation for exit: Some companies use PIPs to build a record of performance issues before making a termination decision, reducing legal risk amazingworkplaces.co+1.

Realistic or unrealistic goals: Employees have described PIPs with goals that are unattainable or change mid-plan, making success unlikely amazingworkplaces.co.

Career impact: Surviving a PIP doesn’t always lead to promotions or raises; some see it as a “paid interview period” before moving on The Economic Times.

Frequency: The percentage of workers subject to performance actions has risen from 33.4 per 1,000 in 2020 to 43.6 in 2023, reflecting a broader trend of using PIPs to manage workforce changes LinkedIn.

When PIPs can still be a growth tool
Not all PIPs are “low-fire.” In some cases, they’re genuinely designed to help employees improve, especially if they’re close to meeting expectations but need targeted support The Economic Times. However, the dual nature of PIPs — both as a support mechanism and a removal tool — means employees must be cautious.

Key takeaways

PIPs are more common and more aggressively used today, especially in “low-hire, low-fire” labor markets LinkedIn.

They can be a legitimate performance management tool, but in many organizations they’re also a quiet firing mechanism amazingworkplaces.co+1.

Employees should assess whether the goals are realistic, the support is available, and whether the plan is genuinely aimed at improvement or just documentation for exit.

If a PIP feels like a setup for dismissal, some choose to resign early to avoid the legal and reputational risks of being let go.

In short, yes — in many modern workplaces, PIPs are increasingly used as a “low-fire” tool, but their intent can vary widely. Awareness of this duality is important for both employers and employees navigating them.

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Post ID: @d7+1kttbcx24

@OP People fantasize the version of work that once existed (the stability, the paycheck, the health insurance, the routine). That is survival but here is the danger:
While you are trying to preserve the relationship at the exact same time, they are building the record to justify why it ended. No matter what, never get too comfortable at ExxonMobil. I have seen people ranked at the very top suddenly get labeled NSI without warning.

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Post ID: @d4+1kttbcx24

@bq Exactly. EM was not my first job but noticed that so much energy and focus goes to office politics.

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Post ID: @cv+1kttbcx24

@bp a person with more than 5 years experience, if they are assessed as NSI twice in a 5 year period, they do not get the PIP option, and are forced to take the PIL.

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Post ID: @cg+1kttbcx24

Off topic question- who can see your CL ? Admin supervisor or func. Supervisor ? Also why it’s not visible by employee ?

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Post ID: @c0+1kttbcx24

Previous ranking data in cc will anchor your new boss's assessment of your performance. Or at least they will think that's what others thought of you so why would I have a different opinion.

I suppose it's not impossible to rise in the rankings but it's much easier to slide downward.

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Post ID: @bz+1kttbcx24

It is much easier to keep people who are assessed low assessed low and people who are assessed high high. Your last five years of assessments are visible in career connect. Supervisors and D&S still openly talk about needing to bring in a mix of low and high ranked people into each group to maintain balance. The talk of past assessments not being considered in future assessments is just talk. It is 100% considered. If you are ranked low you are marked as a low performer and it is almost impossible to change that.

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Post ID: @bx+1kttbcx24

Most people mean MLRP or NSI when they say PIP, there is a difference, PIP is once potential option if you are MLRP, PIL (separation from the company) is the other option.
New policy this year is that two assessments with MLRP outcome within a 5 year period means automatic PIL.
Selecting the PIP option doesn’t guarantee success or failure, but I have seen cases where the outcome was clearly predetermined, positive or negative.
If I, personally, am ever assessed MLRP I will leave the company and never look back. If you want to try to save your career you need to opt for the PIP and pass it (good luck if your supervisor wants you out), and I would suggest trying to move to a new role in a new group to try to reset your trajectory.

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Post ID: @bs+1kttbcx24

One thing I’ve noticed is that many employees seem to spend more time thinking about rankings, visibility, and organizational changes than long-term development.

When people are worried about where they stand every year, it can be difficult to focus on innovation, technical growth, or taking smart risks. A culture that emphasizes competition can drive performance, but it can also create anxiety and short-term thinking.

Just my observation. Curious whether others have had the same experience.

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Post ID: @bq+1kttbcx24

My personal opinion based on what I’ve seen, heard, and read over the years. Not claiming any inside knowledge.

  • Chances of making it to 55?

Much lower than they were for people hired in the 1990s and early 2000s. Back then, it seemed like if you were reasonably competent, stayed out of trouble, and delivered decent work, you had a realistic shot at a full career. Today, it feels like you’re competing in a never-ending tournament. Every year brings another ranking cycle, another reorg, another manager, another opportunity to end up on the wrong side of the spreadsheet.

Honestly, I don’t view Exxon as a traditional long-term career anymore. It feels more like a one-year contract that gets renewed annually. Every year you’re effectively reapplying for your job.

  • How many PIPs before termination?

Officially, a PIP is supposed to be an improvement tool. The perception among many employees is very different. Most people I know would immediately start updating their resume if they got one.

Whether that’s fair or not, a PIP is generally viewed as a giant flashing warning sign. If I received one, I would assume my job was at risk and act accordingly.

  • What happens after a second PIP?

This is where things get really fuzzy. I’ve heard every version of the story. Some people claim a second PIP is essentially career-ending. Others say it depends on timing, business needs, management, and whether enough time has passed.

My suspicion is that once someone has been through the process, they’re never viewed exactly the same again. Whether that’s officially true or not, I don’t know.

The bigger issue is perception. When employees start viewing every ranking cycle as a survival exercise and every year as a contract renewal, something has fundamentally changed from the old “career company” model.

Just my opinion. Curious to hear from people who have actually been through the process and made it all the way to retirement.

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Post ID: @bp+1kttbcx24

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