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What are Outplacement Services?

Deciding to let your workers go is not easy, considering that they have already become part of your business community. However, various circumstances may force you to make this devastating decision, and the best way to release them from their duties with dignity is to offer outplacement services. These services will help your workers transition into the subsequent phases of their careers quickly. 

What is Outplacement?

Outplacements are the processes and procedures involved in assisting an employer whose job has been terminated to secure another job fast. Also known as career transition services, these programs are provided by employers to coach employees leaving a company. 

Outplacement services are paid for by the employer and are some of the ways to leave a good impression on your current employees. The services also help in building your employer brand and, as a result, attracts top-quality talent. Therefore, whereas you do not have to offer these outplacement services for individuals, it is essential for the benefit of your business. 

It is important that you understand what is included in outplacement services, especially if you are using an outplacement consultant or agency. Some of the services to expect include job search advice, resume reviews, career assessment, personalized coaching, and interview training. Also, know the types of these services an agency offers in order to make the best choice that your company can afford.

What is an Outplacement Agency?

An outplacement agency is a third-party service provider that helps employers successfully offer outplacement services to laid-off employees. An outplacement agency usually has a team of consultants it uses in providing these services. Keep in mind that their fees may vary based on the number of workers exiting your firm. That is why you need to plan and budget for this service to avoid additional expenses that may affect your business’s bottom line. 

Types of Outplacement Services

Outplacement services vary and knowing the different types available will go a long way in helping you make the right choice. You will also be able to budget and prepare the right tools to ensure the outplacement process is a success. That being said, here are the main types of outplacement services.

1.Individual Outplacement

This type of outplacement service offers support and advice to an individual employee leaving a company. It can be a company’s managing director or other executive staff. The executive outplacement services are provided by outplacement companies or specialists to help the exiting employees transition quickly into the next chapter of their careers.

Note that it is always challenging for successful professionals like managers and directors to find a new job. This is because they are used to being approached with better offers from recruiters and do not know how to effectively market themselves. By including an outplacement service in their termination benefits, they will be coached on positioning themselves in the job market and increasing their chances of landing new roles. 

The best element about individual outplacement is that the outplacement companies or consultants you hire may have robust networks and connections in the job market. For this reason, they may recommend the employer to various recruiters and headhunters, thus opening doors to hard to find opportunities. 

2.Group Outplacement

When you are laying off a more significant number of employees from their duties, group outplacement is your best bet. In this setting, you will also seek the services of outplacement firms or consultants. Whether it’s one or two consultants handling the process, they will support your employees as a group by creating workshops and seminars. An individual assessment may also be conducted at some point to ensure that all employees are ready and fully prepared for the transition.

The best element about group outplacement is that it saves costs since the services are offered in a group setting. Because of this, it is mainly used in small and medium-sized businesses. Also, it takes shorter periods to complete group outplacement and focus on more important things that will drive your company to its success.

Outplacement services do not need to be on-premise these days. You can also opt for e-outplacement, where all outplacement processes and procedures are conducted digitally. However, it hasn’t gained a robust foothold yet, considering that outplacement services involve personal interactions.

Outplacement Benefits

Outplacement has a lot of benefits to both the employer and the employee. As mentioned earlier, it helps mitigate any insecurities an employee may have in finding a new opportunity. Employers will also build their reputation and be a target by top talent and high-end clients. Other benefits of outplacement include:

  • Employees with more challenging transitions will get the support they need.

  • Employees are guided on how to quickly find new roles without paying for the services.

  • It provides a career insight to employees, especially those that want to shift their focus to a different direction. 

  • Outplacement minimises litigation that may come about from frustrated employees. With this valuable support, there is no room for them to damage your reputation.

  • The remaining employees will be more engaged in their duties knowing that you care for their needs and will support them in the event of leaving your company.

  • Increases post-employment relations, making the laid-off employees an asset for employee referrals, customer recommendations, and more.


Outplacement services are like a company’s investment that will benefit its bottom line in the near future. Therefore, if you want to stay ahead of the competition, start by treating your employees nicely. As a result, they will become your brand advocates and ambassadors, which is paramount in attracting top talent and clients. 

Remember, always budget for outplacement services, especially if you are laying off many workers. Also, know the type of outplacement service to use to be able to identify the best outplacement agency that will handle the processes and procedures effectively. 

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