3 Reasons Why Companies Should Use Outplacement Services

Downsizing and layoffs are painful for both for the company as well as the impacted employees. While nothing can take away this pain, outplacement services help ease this difficult transition. Because of this ease, outplacement is becoming increasingly popular among companies of all sizes. Four out of five employers provide outplacement services ranging from resume help and career coaching to career marketing and recruitment services. Although it may initially seem counterproductive to invest money in outplacement services at a time when your organization is trying to cut costs, there are a multitude of reasons why this investment is beneficial in the long run.

1. Help Laid Off Employees Find Work Faster

During unemployment, terminated employees often receive benefits including severance pay, medical coverage, and other costly benefits stipulated in a severance package. The quicker a terminated employee finds work, the more money the company is saving on these severance costs. Because it motivates and encourages participants to find new jobs, outplacement services can also reduce the number of unemployment compensation claims. Additionally, outplacement can decrease the risk of legal costs by reducing the number of lawsuits filed by disgruntled and litigious employees.

2. Increase Loyalty and Satisfaction with Current Employees

Layoffs are a scary thing to witness for employees who remain with the company. These remaining employees could have anxiety about being let go at any moment with no regard to their future career. Using an outplacement service is a cushion for this difficult transition and the employees that remain will see that the company cares about their employees. A company that shows compassion for their employees tends to secure harder working employees and loyalty to the company. Offering outplacement services to laid-off employees is one way to show the remaining employees that they are valued and that the employers have a conscience, which can have a positive impact on company morale, commitment, retention, and productivity.

3. Maintain Company’s Image

A company’s brand and image are everything these days and with social and traditional media, increased consumer awareness means everything a company does during a layoff can be publicized in a negative way at the speed of your internet connection. However, when a company uses an outplacement service, these layoffs don’t seem as harsh to the public and can help control the story that is spread. When the company ensures each terminated employee is being taken care of, it shows that the layoffs were an unfortunate reality to the growth of the business and each employee let go was appreciated. Outplacement reinforces a positive view of the firm and can promote a great reputation, demonstrate your company’s commitment to current and former employees, and showcase the firm’s ability to promote downsizing solutions, such as access to career counseling, networking connections, and job boards. Demonstrating good will generate positive public relations and will help your employees move forward emotionally.

How can we help?

Outplacement Services for Employers

DAVRON is an expert staffing and outplacement firm that specializes in helping talented professionals find new jobs nationwide. Our staffing industry expertise in helping professionals find new career paths gives us the advantage over any other outplacement firm and ensures a smooth transition period for our clients and their employees. There are no up-front costs or commitments, you only pay for what your company and employees need.

Our outplacement packages and career counseling services are fully customizable and affordable for any size business or individual. We provide consultation, training, and proactive marketing campaigns for everyone!

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