FtcWindsor

Outplacement should be more than just CV preparation and Interview skills.

In a page-one feature in August, 2009, the Wall Street Journal, headlined ‘Outplacement Firms Struggle to Do Job,’ reported that U.S. corporations are increasingly dissatisfied with the quality of outplacement services they receive.

The problem is that many outplacement providers increasingly offer standardised services, which some workers say offer little value

Company

• Public opinion is more favourable when a company provides outplacement; the company is seen as taking care of the outgoing employees.

• 78% of executives believe that outplacement can enhance a company’s reputation both internally and externally.

• 72% of companies believe that litigation is reduced by outplacement

Current Employees

• Reduces stress on managers as they don’t have to manage a strenuous process and the guilt associated with the process is minimised.

• 87% of executives believe the pressure on mangers is reduced by outplacement.

• Outplacement is seen as easing the tensions between staff that are retained and those made redundant.

• 66% of executive see outplacement as a mechanism for maintaining retained staff’s motivation and productivity.

Redundant employees

• Retrenched employees loose there social network as a part of losing their job, however outplacement programs can help to re-establish some social interaction when they provide workshops (e.g. C.V. workshops).

• Historically, outplacement programs have result in employees either obtaining new employment or pursuing alternatives such as study, retirement, starting their own company.

• Outplacement helps redundant employees in reviewing their finances in light of their new financial position.

• Outplacement has been found to enhance ex-employed earning potential, however it does depend service the worker receives.