August 16

Are Outplacement Services Worth It? 4 Key Factors to Consider.



nisha moores

Article 3 in our Common Questions About Outplacement Services of articles

Nisha Moores B.A. RYT
Client Happiness Manager
Careers by Design
8 MIN Read

Are Outplacement Services Worth It? 
4 Key Factors to Consider.

1. Outplacement Services Are Becoming the Standard

COVID has impacted the workplace and the job landscape tremendously over the past year. Many workers have faced layoffs and are entering a competitive job market saturated with tons of job seekers. Organizations have been hard hit in many industries and have had to make cuts to their budget, often meaning they need to cut the amount of jobs available and lay off vast numbers of their employees. As employers continue to cut positions, and as the job market continues to be oversaturated with laid off workers looking for employment, outplacement counselling services have taken on a new level of importance and are no longer considered a rare service, but instead something that many employees will expect.

2. Outplacement Supports Your Departing Employees in Learning Valuable Skills

Often employees have not been a job seeker for many years and they may not be familiar with how the job landscape has changed or with how to best market themselves. The job search process has changed a lot over recent years and it continues to evolve to serve a more virtual environment. Jobs may be posted on online job boards, such as Indeed, and may require online applications. Many jobs don’t even make it to an online job posting site – the hidden job market is best accessed by forming strategic alliances and effectively tapping into one’s network, which is often much larger than the client originally thinks. It is also important that laid off employees have an up-to-date resume and LinkedIn profile that best showcases their skills, talents, and accomplishments. An outplacement coach can help these employees learn to market themselves effectively to put their best foot forward and help them stand out from other applicants. This can include learning to articulate their strengths and gaps in the best light possible and learning how to interview using a proven format with time to practice and receive feedback.

3. Virtual Outplacement Services Have Benefits

Layoffs can create an atmosphere of unease and tension in the workplace, which can in turn affect the productivity and morale of the employees still working there. Layoffs often result in employees feeling that their work may be unappreciated or that there is no point in working hard as they fear being laid off themselves. As your current employees observe how departing employees are treated well by the company, their morale may be boosted and they will become more productive. In addition, employee loyalty is somewhat rare these days with employees changing companies every few years.

A company that takes care of its employees even during layoffs is a company that is likely to retain its top employees, as they are viewed as an organization that cares about its employees. Employees are likely to have increased engagement if they view the layoffs as a business decision rather than a personal one and they believe the company they work has values that include treating its employees well.

4. How Outplacement Can Increase Your Brand’s Reputation

Employees these days are more focused than ever on finding organizations that share values and show loyalty and commitment to their employees. As the pandemic has provided a lot of uncertainty, employees are on the lookout for companies that have handled the crisis well and who have taken care of their employees, even in difficult circumstances such as layoffs. Remaining employees can often feel hopeless or unmotivated, which can cost organizations thousands of dollars. If employees see that even during layoffs the company acts with integrity and shows compassion and support for their departing employees, it is likely to increase motivation, morale, engagement, and feelings of security among the remaining employees.

Is Outplacement Worth It?

For many companies, investing in outplacement services can be incredibly valuable and worth the investment. Consider that many laid off employees are receiving severance packages that can cost the company thousands of dollars. Outplacement counselling services can help your laid off employees find new employment faster, saving you on the costs of continuing salaries and benefits. This is especially helpful during the COVID pandemic, where job uncertainty is at an all-time high and the job market is flooded with applicants. A good outplacement coach can be the key to your departing employee’s success in finding meaningful employment, as well as provide the needed expertise to support your employee in pivoting to a new career if their old job is unavailable in the post-covid job climate. In addition to protecting your employees, outplacement can be a valuable resource in terms of saving you from legal headaches down the road and in terms of protecting your organization’s brand, which can be crucial to attracting and retaining top employees.

The Careers by Design Approach to Outplacement

Here at Careers By Design, we offer completely customized outplacement services tailored to the individual at any stage of their career. We can offer support with discovering a meaningful career path that works for the individual, improving motivation and confidence to move forward faster with clarity, support with the job search and application process, resume and LinkedIn development, and interview coaching. Learn more at

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