 What is outplacement?

Outplacement is an employer-sponsored benefit typically provided as part of a

severance package to help terminated and laid off workers move on to another
job or career. Services focus on improving the skills needed for re-employment,
such as writing resumes and cover letters, navigating job boards, interviewing,
networking and negotiating salaries.

 How does outplacement work?

Although outplacement can be provided in house, it’s more common for

businesses to partner with a third party that specializes in job coaching and
career transition services. Former employees who take advantage of the
program may interact with their coach one-on-one, as part of a group, in-person,
online or by phone. The specific arrangement usually depends on the extent of
the program.

 What services does outplacement not include?

Outplacement job coaches are experts in helping people improve their personal
brand, but they are not recruiters. They don’t staff positions directly, nor do they
locate job openings or apply to them on behalf of someone else.

 Outplacement and modern job search

In the past, outplacement services were provided at a physical location so

that individuals who did not have access to a personal phone or computer
could easily work on their resume and apply to jobs. Advancements in
technology, however, have made that business model largely obsolete.
While coaching is sometimes still available in person today, much of
outplacement is conducted remotely through online instruction, video
conferences and text message.

 What are the benefits to offering outplacement?

Because it’s money spent on individuals who are leaving the organization,
outplacement might seem like an unnecessary expense. However, career
transition services are often as advantageous to employers as they are to
employees and worth the added investment. Businesses that offer them may be
able to:
 Improve their reputation

Outplacement programs send the message that an employer cares about

its people and may lessen negative feedback when layoffs are
announced. Businesses that are viewed favorably in the public also
typically have a better chance of recruiting talent in the future.
 Mitigate risk

Employees commonly feel angry or frustrated when laid off or fired. But if
they know that their former employer is going to help them get another
job, it may reduce the chance of workplace violence or a wrongful
termination lawsuit.
 Boost employee morale

An important part of outplacement is communication. Employers who

clearly explain that career assistance services were made available to
any employees who were let go may help ease anxiety among the
remaining workers and keep them engaged.
 Reduce unemployment costs

The faster former employees find new jobs, the less they will need
unemployment benefits. Businesses that reduce their number of claims
per year may be eligible for lower unemployment insurance rates.

 Refrence
https://www.adp.com/resources/articles-and-insights/articles/o/
outplacement-what-is-it-and-what-are-its-benefits.aspx#:~:text=What
%20is%20outplacement%3F,to%20another%20job%20or%20career.