Benefits of Outplacement Services

Outplacement is a benefit that serves. It is a benefit that companies offer their displaced workers, as a stand-alone benefit or part of a separation package that includes severance pay, vacation pay, health insurance coverage and other benefits. Outplacement essentially means, “placed out of the organization." Companies hire an outside firm like Interior Talent to work with the displaced employees to help them become employed again quickly. Outplacement specialists are an external neutral force during an emotional time, when the displaced employee may feel anger and resentment toward their former employer. The outplacement professional's neutrality, compassion and expertise assist the employee in shifting their focus forward.

The value of providing an outplacement benefit can be directly measured. It can impact the following areas:

The Bottom Line
Budgeting for outplacement as part of the separation package makes good business sense. It is as essential as offering some form of severance, and can directly impact the bottom line. It decreases the amount of time workers obtain unemployment pay, and reduces the potential for lawsuits.

Reputation and Public Image
Outplacement helps promote the company’s image as a good corporate citizen, and decreases the cost of turnover among remaining employees. Providing outplacement demonstrates to the community that the company values its human capital.

Decrease the Potential for Lawsuits
Angry employees sue. Offering outplacement can diminish the resentment, hurt and anger many laid off workers feel. By offering a structure that is focused on moving forward, workers have less time to fret and vent about the company and its perceived treatment of them.

Preserve Morale and Productivity of the Remaining Workers
"It could have been me." Most employees who remain after downsizing have this thought. Once the loyalty contract is broken between employers and employees, the remaining employees look to their displaced co-workers to see how they are being treated. Downsizing creates a disruption in business, as workers gossip, theorize and worry about the impact on their own lives. Providing a solid outplacement plan can squelch this negative energy and provide reassurance to the remaining staff.

Preserve the Dignity of the Displaced Workers
Knowing that the company has provided a free and valuable service to assist the displaced employee become reemployed quickly can help preserve their self-esteem. Armed with the tools, displaced employees become motivated to enter a job search campaign with confidence.

Enhance the Ability of the Displaced Workers to Become
Re-Employed Quickly
Studies have shown that outpaced employees find work quicker (as much as 50%) and often at a higher salary when they have the benefit of career transition services. This is because most displaced workers are critically weak in the skills needed to aggressively look for work.

The cost of not offering an outplacement program can be in the thousands of dollar per displaced employee.

Some of the costs overlooked You can choose from our existing programs or ask us to customize our services according to your requirements. Interior Talent will develop a stream lined; customized outplacement program to address these concerns and to ensure company morale remains high in this challenging time.