When the COVID-19 pandemic began almost a year ago, no one was prepared for the lasting impact it would cause. The United States even experienced one of its highest unemployment rates in history. In fact, this article published by CNBC notes that approximately 22 million U.S. workers lost their jobs in the first few months of the pandemic.
With almost every company being impacted by the pandemic, mass layoffs have become a norm. As terrible as that fact is, it also placed many human resources professionals in the unfortunate position of having to layoff many employees. Even as our economy and job market begin to heal from the effects of the pandemic, layoffs are not going to fade into nonexistence, which is why outplacement services are a great option for companies who have found themselves having to make this difficult decision.
Lotte Struwing defines outplacement services as “a service that employers buy from a provider when terminating their employees.” In this article, we’re going to outline what outplacement services are and how they can benefit your company in the long-run.
What do outplacement services entail?
First, it’s important to understand what good outplacement services should entail. There are a plethora of providers to choose from, but deciding what provider is best for your business comes down to choosing a provider that is not only good at what they do but can meet the needs of your laid-off employees. Below are the basic services that most providers offer:
- Resume preparation
- Cover letter preparation
- Job search strategies
- Interview coaching
- Networking support
- Job application assistance
While many providers will offer these services, it does vary by company. We also understand that there are many variables that will come into play during your decision-making process. We recommend considering the following:
- What is your budget for outplacement services?
- What has our company done previously, if anything, to prepare our employees for this transition?
- What does the current job market look like?
- What can we anticipate that these employees will need moving forward?
All of these questions should be asked when determining the best options for outplacement services. Answers may vary, but the benefits of outplacement services have proven to be consistent for many companies.
What benefits do they have?
Outplacement services seem like the right thing to do by your employees, but what other benefits might they have for your company as a whole? Here are some of the potential benefits your company may experience by purchasing outplacement services.
Decreases costs of layoffs
At a glance, this concept seems contradictory. How can you possibly decrease costs when you’re paying for outside services? Believe it or not, outplacement services can actually decrease your overall costs by cutting down on the time it takes your employees to find new employment. As a result, it decreases the time you spend paying severance costs and unemployment taxes. It can also decrease the number of possible lawsuits.
Helps ease feelings of stress from your remaining staff
When mass layoffs occur, it puts everyone on edge, including your remaining employees that have not been laid off. Mass layoffs tend to bring about feelings of anxiety and a lack of control as it shows how an employee’s situation can change unexpectedly.
By offering outplacement services, it helps to alleviate some of the stress your employees may experience following mass layoffs as it demonstrates for your employees that your company does care about them. Should layoffs occur again, it provides them with a little blanket of relief that they too will be properly taken care of should they find themselves in the same unfortunate situation.
Strengthens your company image during a difficult time
If your company is forced to conduct mass layoffs, there is little you can do to keep that information out of the public eye. Therefore, you’re subject to public opinion as well. Not only that but scorned employees who believe they were poorly treated may also take to sites such as Glassdoor to leave poor reviews of your company for potential new hires to view. Regardless of why or how the employee is leaving, it is still important to maintain the reputation that your company treats its employees well. Purchasing outplacement services can help with that.
Offers support to your past employees
This reason is also the most obvious. It helps the employees. After the events of 2020, we most likely all know someone close to us who has experienced a layoff. It’s an unfortunate situation that no one wants to find themselves in. As a human resources professional, you most likely have a passion for ensuring your employees are motivated, productive, and happy. Outplacement services help to alleviate that stress and help employees stay motivated and hopeful about what will come next. It does not only make an impact on them as a professional but as a person as well.
Layoffs are hard and navigating them from the human resources side can be difficult. Outplacement services are meant to make that process easier. At BrandResumes, we offer outplacement services that include a white glove service to ensure your employees find new employment faster than ever. Our team at BrandResumes is here to help.
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