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Outplacement Payoff
The benefits of Outplacement far outweigh the cost of implementing a quality program. Both to the employee and to the company, outplacement is the most important severance benefit. While dollars can help an employee to survive financially during the transition, outplacement enables the employee to make that transition more quickly and successfully. For the company, Outplacement not only provides benefits that cannot be purchased in other ways, but saves resources that may otherwise be expended on legal and organizational problems which tend to arise when Outplacement is not utilized. Following are the primary benefits to the company in providing Outplacement to employees who are terminated for organizational and/or economic reasons.

To evaluate and compare the outplacement programs you might be considering, we've put together a handy checklist on our Outplacement Audit page.

Avoiding
Legal Problems

Terminated employees who speak with Outplacement counselors about future career opportunities are not speaking with lawyers about how unfairly they were treated. Experience proves that discrimination claims can be eliminated through professional counseling directed toward future career success.

Maintaining a Responsible
External Image

Negative reactions to termination can affect the company's image for years. Employees who are treated fairly when terminated do not usually speak in public or to various forms of media about how bad the company was to them. Outplacement reinforces a positive view of the company by employees and the community.

Preserving the Goodwill of
Terminated Employees

Maintaining excellent relationships with terminated employees, who may later place in positions within a client company or another company which can affect future business of the company, ensures that future business dealings with them are positive.

Improving Retention
and Recruitment

Employees who stay with the company are sensitive to how terminations are handled. Once a company has the image of treating people poorly, it becomes extremely difficult to retain current talent, maintain productivity and to obtain new talent.

Facilitating Manpower
and Succession Planning

Outplacement can free management to make decisions in a more timely manner about individuals who are "bottlenecking" the organization and blocking "fast trackers."

Improving Morale
and Productivity

Lack of success in an organization is a shared responsibility. Providing Outplacement shows that the company has a "conscience" and demonstrates to remaining employees that they are valued.

Reducing
Unemployment Claims

Professional outplacement assistance has proven to reduce time-to-placement and reduces employment compensation claims.

Outplacement Audit

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