The unfortunate reality of living in trying times is that sometimes unexpected events can shake the very foundations of a business and lead to the need to cut back. Sometimes it’s cutting within the budget or scaling back operations. Other times it can be a force reduction or a series of unexpected layoffs. Whatever the case, offering an outplacement service to your affected employees is crucial to protecting your business and helping the former employees transition into a new job/career. Not only does it show you care about what happens to your former employees after they leave your organization, but it also reinforces company values and bolsters the welfare of affected employees after the sometimes traumatic event of a layoff. Offering outplacement services as part of a severance package can benefit your company in diverse ways. In his article, we’ll tell you how.
Sometimes, the most damage a company can sustain is to its reputation. Reputation impacts and affects so much about a business that safeguarding it is of the utmost importance. The truth of the matter is that people talk to each other—especially about their negative experiences. A layoff can be traumatic and unpleasant. Employees feel discarded, useless, and often angry about the situation. They’ll tell their friends, families, and social media about their bad layoff experience. This anger eventually makes its way across social media channels and the broader internet. Unhappy sentiments spread like wildfire over social media and tend to have a bit of a domino effect. Then there are negative Glassdoor reviews, which can further damage your brand’s reputation. When unhappy former employees take to social media to air their grievances, it’s not a good thing. Former employees warning others about working for your firm is damaging to your reputation and recruiting. Offering outplacement takes the employee’s mind off the immediate effects of the layoff and helps them move forward with their lives, both helping them move on and protecting your reputation in the process.
Better Morale Among Current Employees
Whenever a round of layoffs or redundancies hits an organization, it generates some major problems. According to The Harvard Business Review, layoffs are incredibly ineffective, often resulting in a decline of approximately 20% in both the morale and performance of remaining employees. Moreover, layoffs may adversely affect the bonds and relationships between salespeople within the organization and clients. Poor morale, increased workloads, inevitable burnout, and a pervasive fear of who might be laid off next all cause problems that can tank your organization’s performance. To prevent such things from happening, using outplacement shows you care about what happens to laid-off employees and generates better goodwill among remaining workers, especially if there’s the possibility of the laid-off individuals finding new work quickly and possibly being able to return to the company if times improve. Outplacement will re-skill and update their training to prepare them for new roles at other organizations or within your own should the option become available at some point in the future.
Reduce Risk Of Legal Action
One of the worst side effects of a layoff for any business is the potential for legal action. Sometimes, a laid-off employee will attempt to take legal action against their former company. Offering outplacement services to any affected employees – regardless of any protected characteristics like age, race, sex, religion, and so on – can help prevent legal issues. It is also absolutely essential that you carefully plan layoffs so that they do not violate any of the applicable labor laws in the United States. Handling layoffs carefully and by the letter of the law is the only way to ensure you’re taking care of former employees and not opening your organization up to future legal issues.
It’s Beneficial For The Affected Employees
Showing you care about your employees despite the setbacks caused by a layoff is important. But how do outplacement assistance services help former employees in a useful way? Through job coaching, access to exclusive job boards, interview coaching, and resume preparation. Career coaches prepare candidates for new jobs by teaching them how to integrate themselves into the modern world. This might be as simple as teaching them to build an online presence or can be much more comprehensive. They’ll help you prepare a resume that speaks directly to the job they want as well as teach you how to write a cover letter or email that will get your foot in the door with a prospective employer. The experience is tailored to the individual, ensuring quick results and fast placement into a comparable or even higher-paying job.
It’s The Right Thing To Do
At the end of it all, helping out your former employees by providing a safety net for them is simply the right thing to do. Many companies across the world and country tout their dedication and commitment to their staff. They maintain that the human element is the most essential part of their operation – the cogs in the wheel that make the machine go. When layoffs occur, it seems like some firms toss this notion straight out the window. Your company does not need to be one of those. Outplacement enhances and demonstrates your company’s core values by showing you still care about your team even after your relationship with certain team members has been severed. It can ultimately rebuild trust among your remaining employees and help your organization maintain corporate values and standards. Consider offering outplacement as part of any severance package and do the right thing for current and former employees.