Outplacement assistance: Overview, definition, and example
What is outplacement assistance?
Outplacement assistance refers to services provided by an employer to support employees who are laid off, terminated, or made redundant in finding new employment. These services are typically offered by companies as part of a severance package or as a gesture of goodwill to help employees transition smoothly into the job market. Outplacement assistance can include career counseling, resume writing support, interview coaching, job search assistance, and networking opportunities.
For example, a company might provide outplacement assistance to an employee who is being laid off, helping them refine their resume, connect with potential employers, and secure new job opportunities.
Why is outplacement assistance important?
Outplacement assistance is important because it helps employees navigate the difficult transition from one job to another, reducing stress and uncertainty after job loss. It provides valuable support in the job search process, improving the chances of finding new employment quickly and smoothly. For employers, offering outplacement services can help maintain a positive relationship with former employees, protect the company's reputation, and reduce the risk of legal claims arising from layoffs or terminations.
Offering outplacement assistance can also demonstrate the company's commitment to supporting its workforce, even in challenging times, fostering goodwill and potentially making the transition easier for all parties involved.
Understanding outplacement assistance through an example
Imagine a company, Company A, is downsizing and must lay off several employees. To ease the transition, Company A provides outplacement assistance, including one-on-one career counseling, resume workshops, and job search seminars. The employees are also given access to job boards, networking events, and connections with recruitment agencies. As a result, the laid-off employees are better prepared to find new positions, and Company A helps mitigate any negative impact on its reputation.
In another example, an executive who is being terminated due to company restructuring may receive executive outplacement services, which could include personalized coaching, leadership development, and introductions to high-level recruiters, helping them transition to a new leadership role in another company.
Example of an outplacement assistance clause
Here’s how an outplacement assistance clause might appear in a severance or termination agreement:
“In the event of termination or layoff, the Employer agrees to provide the Employee with outplacement assistance, which includes career counseling, resume writing support, job search resources, and access to professional networks. The outplacement services will be provided for a period of [X] months following the termination date, at no cost to the Employee.”
Conclusion
Outplacement assistance is a valuable service that helps employees transition from one job to another following a layoff or termination. By offering support in areas such as career counseling, job search strategies, and resume writing, companies can help employees move forward with confidence while preserving the company’s reputation.
For business owners and managers, offering outplacement assistance as part of a severance package or during layoffs not only supports employees in difficult times but also fosters goodwill and can protect the company from potential legal claims. Understanding the value of outplacement assistance helps businesses navigate employee transitions more effectively and compassionately.
This article contains general legal information and does not contain legal advice. Cobrief is not a law firm or a substitute for an attorney or law firm. The law is complex and changes often. For legal advice, please ask a lawyer.