The corporate value of outplacement support

Outplacement, also known as career transition, is assistance offered by a downsizing or restructuring company to its departing employees. The aim of the programme is to help these former workers transition to a new job and re-establish themselves on the job market.

The Lee Hecht Harrison study asserts that outplacement programmes are considered an important part of the severance and separation package that companies offer their departing employees.

Indeed, the majority of respondents were on the opinion that the manner firms treat their departing workforce during a restructuring or downsizing event is in direct correlation with protecting the employer brand.

By operating an efficient outplacement programme, the company can maintain positive relationships with its former workforce and protect its reputation as an employer of choice.

According to 90 per cent of the respondents, interpersonal meetings, seminars and coaching are the most important elements when designing a successful outplacement programme. This finding proves that human interaction is still highly valued in all areas of professional occupation.

Moreover, outplacement programmes customised by level, title and specific desired outcomes are also highly rated.

Overall, 98 per cent of respondents feel that a blended learning programme, with personal resources included, helps describes their organisation’s philosophy regarding outplacement programmes as well as contribute to its overall image.

The majority of participants in the study also indicated that their organisations offer outplacement, either full or partial, to all levels of employment, with those at higher levels being more likely to receive it.

Specifically, the majority of officers, senior executives and executives receive at least six months of outplacement support, while the majority of professionals and administrative staff are provided with three months.

In the case of companies undergoing a merger or acquisition, over two-thirds of respondents indicate that their new severance benefit policies are more generous than their standard outplacement policies.

This strategy seems to stimulate increased satisfaction for departing employees as well as reassures and motivates non-affected employees.

With over 350 offices worldwide in more than 64 countries, Lee Hecht Harrison is a global leader in career transition, leadership development, employee engagement and change management. Lee Hecht Harrison currently serves over 7,000 client firms and 200,000 candidates around the world every year.