OutplacementJanuary 24, 2021
Outplacement (Outplacement) is assistance to dismissed employees in subsequent employment at the expense of the former employer. The main task of the “soft dismissal” procedure is to ensure the most comfortable transition of a specialist to a new job. Most often, employees who leave the company due to staff reductions or certain functions (positions) can benefit from termination support.
Outplacement is a manifestation of goodwill, not an obligation of the employer. The company can help the dismissed employees both independently, with the help of its own HR departments, and by attracting third-party assistance (personnel or consulting agencies, career consultants, coaches, psychologists, employment centers, etc.).
Benefits of outplacement:
- maintaining the loyalty of the dismissed employee to the employing company;
- maintaining a comfortable psychological climate in the team;
- maintaining the employer’s reputation;
- increasing the competitiveness of the company;
- increasing the social responsibility of the organization;
- minimization of legal risks.
However, it is worth mentioning two significant disadvantages of outplacement: the cost of the service and the lack of guarantees of employment of the dismissed employee.
Types of outplacement
According to the number of participants, the procedure can be carried out in a group or individual format. Group (mass) outplacement is used when a company is laying off a large number of employees. For example, it transfers some functions to outsourcing. In this case, the outplacement service can be provided simultaneously to a group of employees at once.
Individual outplacement is used when the company terminates certain employees. Accordingly, assistance in subsequent employment is provided to each such employee personally.
In case of open outplacement, the employee is informed that he was laid off or should be fired (for several reasons) and offered to take the opportunity to find a job in another company.
In the event of closed outplacement, the employee may not even know about the employer’s desire to fire him. The company hires an agency that selects new employment options for the employee or “lures” him to a new employer. The “confidential” outplacement option is most often used for top managers, less often for middle managers.
Outplacement services may include:
- psychological support for the applicant;
- employee competency assessment (assessment);
- development of an individual development plan for the applicant;
- labor market consulting;
- career development counseling;
- advice on the job search;
- help in creating a resume and cover letters;
- help with writing recommendation letters;
- help in preparing for the interview;
- support of job search by the applicant.