What is Up or Out ?
‘Up or Out’ refers to a practice in some companies where the employees are required by contract to achieve a certain level of progression within a stipulated time, failing which the employee is required to leave.
It is common in law firms as it was developed by the law firm ‘Cravath, Swaine and Moore’ in the 1800s. It is also a part of the Cravath system that outlines management guidelines in law firms.
Critics of the system point out that it is not applicable in every industry as some industries like medicine require you to have a minimum tenurity to proceed further no matter how good you are at your current position.