The Top Three Benefits for Companies
There are many ways in which companies benefit from employing outplacement services. They are the ideal way to not only protect your brand, but to ensure that your exiting employees have the best chances of succeeding moving forward.
Here is a quick breakdown of the top 3 reasons that it pays to have an Outplacement Service…
Cost & Risk Mitigation
Companies often see no reason to invest in the offboarding process but this is a big error, because a company’s relationship with an employee doesn't end at offboarding. The quality of that relationship can determine whether or not the employee will choose to litigate, express grievances, and ultimately cost the company large sums in damage control and litigation costs.
According to the Society for Human Resource Management (SHRM), companies with outplacement services see a 20% reduction (on average), of litigation costs and employee-brought lawsuits. This is not even analysing the potential savings to be gained by productivity/time saved by current employees handling legal issues OR the money saved by management of unemployment tax.
Real example: a US medical tech company utilizing service discovered that they saved 0.5% on unemployment tax per 3 employees they sent, because exiting employees found work within an avg. 1.5 month period, which reduced their claims significantly. Total ROI (assuming 3 employees per month terminated) = $240K. This number did not include the risk mitigation factor on avoiding lawsuits.
The benefit here is clear; a minor spend on outgoing employees saves time, money, and hassle in the long run.
Brand Protection
Exiting employees suported by outplacement services are statistically less likely to badmouth the company on influential third-party sites (Glassdoor, LinkedIn, etc). Bad news travels fast, and a hard-earned reputation can be lost in minutes.
This damage can be far-reaching. It can impact on the onboarding of future talent (deterred by third party reviews), or in a loss of retention as current employees who bear witness to redundancies start searching for a company that treats their employees (even their outgoing employees) better.
Outplacement services activate employer brand protection, save costs and ensure stability in the long-term.
Company Culture
Companies who provide outplacement services for their transitioning employees establish themselves as leaders with strong HR leadership and company cultures.
This is because outplacement services are terrific opportunities for transitioning employees; the guidance and support they receive inevitably eases some of the pressure and anxiety they are feeling, and enables them to feel like they have direction. Statistics show that employees who were offered outplacement services tend to regain employment 50% faster than those without.
Therefore, the care shown for parting employees promotes goodwill and builds up the image of a good employer. This can be critical to company success as it attracts (and retains) talent, and fosters a positive and more productive working environment.
Outplacement Packages Include:
Professional Resume Revision
Full resume revision in an ATS-safe format and branded to industry/role.
Job Search Strategy
Detailed advice on how to avoid common jobseeker errors & maximize responses
LinkedIn Profile Optimization
Delivers increased engagement, profile visibility and inbound opportunities.
Interview Guide
Interview guidance, etiquette tips and negotiation tactics to boost success.
Cover Letter
Personalized template that can be modified to support any job application.
Career Support
Discount of 25% on any future Careers Services.
Outplacement Process
1
Day 1
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Company requests service
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Company informs exiting employee of incoming service
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Offboarded employees have 30 days to take up offer of services
Day 2
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The employee answers questions about the experience
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Resume Revision
2
3
Day 3
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Up to 2 more revisions of Resume
Day 4
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LinkedIn Profile Revision completed
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Cover Letter delivered
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Interview Guide & Jobsearch Advice delivered