Outplacement offers opportunities to employees who have been made redundant
Titul: Czech Business Weekly Vydavatel: Stanford, a.s. Autor: Eva Mizerová
With the current global crisis and companies downsizing, we can now often hear the term “outplacement of staff” in many companies. We can describe it as a way of dealing with employees who are required to leave the company due to organizational changes such as downsizing, restructuring, changes in ownership or management, as well as a company merger or takeover.
Due to the current difficult market situation, both in the Czech Republic and worldwide, many companies have to reduce the number of their employees. An outplacement programme is one of the tools that companies can use in such circumstances, to help those employees who have just been told their jobs have been cancelled.
Within outplacement programme, the employees are provided with expert advice and information necessary to assert themselves on the labour market and successfully manage the process of looking for a new job. An outplacement programme can be provided either internally, by the company’s own resources, or externally, by professional personnel consultancy. Adopting an outplacement programme means stabilization and support of employees who are leaving, analysis of their potential and ongoing consulting during the period when they are looking for a new job.
Benefits for a company
One of the key reasons why companies use an outplacement programme is that it can help to reduce the negative impact on employees who have been made redundant. The whole process is designed precisely to the particular employee’s needs, and therefore it can take several months, or it can be provided over a several hour consultancy with the individual.
Although an outplacement programme is connected with certain financial costs, this investment will bring benefits to a company. Despite the difficult and unpopular action that has to be taken, the company can still maintain a positive image of being a caring and responsible employer, not only in the view of employees leaving but also in the public eye and particularly on the labour market generally. This may benefit the company in the future when it needs to hire again and is competing for high quality employees. Maintaining a positive approach towards the employees who have to leave the company also contributes to general Corporate Social Responsibility (CSR) policies of the company, showing that it makes an effort beyond the usual standards and requirements to look after its staff.
Furthermore, an outplacement programme has a positive morale effect on the employees who are staying in the company. The key employees will be motivated to stay with the company if they see the firm’s willingness and ability to look after those employees who are leaving. The programme therefore, helps to maintain or stabilize a positive atmosphere in the company, which then influences its productivity and prosperity. Another positive effect of outplacement is the alleviation of pressure on managers who have to make the uncomfortable decision of choosing which subordinates to dismiss and which ones to retain.
Benefits for the employees - Customized services for each case
The main purpose of an outplacement programme is to provide immediate and ongoing personal support of employees leaving, also helping them to deal with the initial shock of being told they will be made redundant. The employee will be met and consulted with. He or she will get feedback concerning his/her strengths and areas to be improved, and practical recommendations when looking for a new job. Both of these should be taken into consideration with regard to further career objectives of the individual which should be settled at the very beginning of the whole process.
Top HR services providers can prepare a tailor-made outplacement programme that suits both the individual and the needs of the company. Outplacement is usually processed in several steps and should be as specific and practical as possible.
At the beginning of the process there should be a discussion between the employee and consultant about the employee’s current situation, also their motivation, future career and personal plans. This should lead to a mutual agreement on further steps and a timeframe for the employee’s individual programme. Using his/her experience in recruitment, the HR Consultant can analyze the employee’s potential and show him/her opportunities on the labour market. Typically, a standard interview is used. First-rate personnel agencies or consultancy companies can also offer psycho-diagnostic testing. An important part of the process is a one-on-one workshop focusing on practical training of particular skills necessary for success on the labour market. It includes, for example: presentation skills, video training/feedback, how to write an effective CV and motivation letter, job interview tips, a job market overview, etc. The workshop is tailored to the individual needs of the employee. Finally, the programme also involves active help when searching for a new job on the market and analyzing current job opportunities, creating a list of potential employers and a strategy for approaching them.
The outplacement programme can be used and is recommended to all kinds of companies in a wide range of sectors. The programme is available to all levels of employees, from senior and middle management to general staff. When a large number of general employees are made redundant, for example, from back office or administrative positions, a mass outplacement programme can be offered.
