Need to let staff go?
Outplacement is the term used to describe the efforts made by a downsizing company to help its redundant employees through the redundancy transition and help them re-orientate to the job market.
Showing that your organisation has the emotional intelligence to handle outplacement with sensitivity and dignity says a lot about your business values. Losing one’s job is one of the most stressful experiences a person can face, ranked third behind death and divorce and how you treat your leaving staff impacts directly on surviving staff and business loyalty. People these days have 3 or 4 careers in their working life, but not every employee feels ‘ok’ with that reality.
A third party usually provides the outplacement services. This is achieved through practical and psychological support. Outplacement is either delivered through individual one-on-one sessions or in a group format.
Topics include career guidance, career evaluation, resume writing and interview preparation, developing networks, job search skills and targeting the job market. Individuals may be offered other services such as the use of an office and online tools if required.
The term outplacement was coined, more than thirty years ago by the founder of a New York based career consultancy. With the increased rates of downsizing, rightsizing, redundancies and lay offs, particularly during the 1980s and 1990s, businesses increasingly found a need for some form of assistance in reducing the trauma of redundancy for both departing employees and those who remain.
The business benefits include assisting their staff to transition with dignity; minimising ‘survivor syndrome’ so staff left behind can see that the agency/business cares for staff; and (hopefully) is cost effective.
The individual staff member benefits from having someone with a vested interest who will walk by their side in their career transition. The aim is to take individuals through a ‘process’ of exploring; allowing time to consider all their skills, values and motivations, giving them a chance to review what they would like to do next with their working life and the opportunity to make it happen.
3 Comments
Aimee Day said
Rebekah, all of the information you provide above is spot on. However you don’t mention the costs associated with these services. Outplacement is expensive and prohibitive for many businesses. What ends up happening is that only the top echelon of exiting employees receive those services. Many workers exit only with severance. The goodwill that exits with those employees is damaging to the corporate brand. There are other options out there that can be used to supplement traditional outplacement services and/or replace them at a much lower cost. Job seekers want access to technology - creating an online “personal brand” is hugely important for them to effectively market themselves in this economic climate. Employers should be exploring additional options. Technology can be utilized to provide services to ALL exiting employees and not let that goodwill exit walk out the door! There’s evidence that many job seekers find more value in lower cost, scalable, “virtual” offerings.
bek said
Thanks Aimee. In my experience, in this country, it is not necessarily only an expensive option. I have observed and facilitated many situations where all employees were able to benefit in a very personal way because, in the employers opinion, they were ALL the ‘top echelon’. Take Angus & Robertson for example; 6 staff all earning between $30-$55K, for $2K they all received a highly personalised resume tailored very specifically to their transferable skills and attributes. (For years I have seen computer generated resumes branded with motherhood statements and incorrect ’spelling’ and ‘terms’ that are obviously created for a different country’s market. When last checked even our own Job Network have only five such options; where you fill in the gaps and churn out another replica of the same picture. Without giving away my IP, after 25 years in this ‘pick me’ game, my resumes get you interviewed. That’s their purpose.) Those six staff, were offered several psychometric assessments to reinforce their strengths, clarify their values, and assist to ground yet inspire, their goals. My number was available to them anytime; we walked through the interview process and I used my extensive network to find them local and national opportunities to tap. No ‘virtual’ offering can match that. The results: They all found jobs within 6 weeks; and one went into business for herself.
Having said that - If I had the outplacement job for a larger business, obviously I would need to outsource. I’d probably start with http://www.yellowedge.com.au in Canberra, a highly respected HR Consulting Company who service the public and private sector.
I’m sure your online tools are the very latest in technology and can handle large numbers of American staffing needs. My niche market however is small Australian business and what really blows my hair back is assisting individuals, personally and practically, on the ground, in their shoes. Thanks for your comment, Aimee, and all the best to you and your business.
Roy Buchanan said
It’s still costly no matter how you look at it. And it’s disheartening for all involved.