Outplacement benefits are services an employer pays for as part of a severance package to help fired or laid-off workers find new jobs.

Outplacement is a benefit employers offer to help fired, or laid-off workers find new jobs or careers. It is usually part of a severance package. Services focus on assisting people in getting the skills they need to get a job again, like writing resumes and cover letters, using job boards, interviewing, making connections, and negotiating salaries. Layoffs and terminations are stressful for employees and employers, but outplacement, a service that helps workers find new jobs, can make the change easier. Businesses that offer it may also find that it improves their reputation and lowers the cost of unemployment claims.

Outplacement might seem like an unnecessary cost because money is spent on people who are leaving the company. But career transition services are often just as helpful for employers as they are for employees, and they are worth the extra money. Outplacement programs show that an employer cares about its workers and may reduce adverse reactions when layoffs get announced. When the public likes a business, they have a better chance of hiring good people in the future. When laid off or fired, employees often feel angry or upset.

Communication is one of the essential parts of outplacement. Employers who make it clear that services to help employees find new jobs were available to those who were let go may help keep the workers who are still there engaged and less worried. But if they know that their old boss will help them find a new job, there may be less chance of violence at work or a lawsuit for wrongful termination. The fewer unemployment benefits people will need, the faster they find new jobs. Businesses may get lower unemployment insurance rates if they reduce the number of claims they file yearly.

Even though outplacement can be done in-house, most companies work with a third party specializing in job coaching and career transition services. People who sign up for the program can talk to their coach one-on-one, in a group, in person, online, or over the phone. Usually, the arrangement depends on how long the program is. Outplacement costs vary based on the number of employees who sign up and the services they receive, so there's usually something for every budget. Some high-end programs are face-to-face and one-on-one, while most low-end ones are online or in groups.

Outplacement job coaches are experts at helping people improve their brand, but they are not recruiters. They don't hire people directly, find job openings, or apply for jobs on behalf of other people. Technology changes, though, have mostly made that business model useless. Even though coaching is sometimes done in person, most outplacement is done online, through video conferences, and through text messages. Outplacement is only occasionally made just for people who are leaving their jobs. Employers and HR pros can also get consulting services.

Some outplacement providers will help create strategies for downsizing, letting employees know about layoffs, and putting in place support measures to keep employees still working productively. Not just any outplacement service will do when the brand's reputation and employee relationships are at stake. Technology should improve the job seeker's experience and give employers valuable data about how well their outplacement program is working. Most of the time, the best results come from solutions that fit how employees like to work in person, online, or hybrid.

Outplacement providers who offer resiliency training and redeployment solutions can help businesses ensure their remaining employees stay productive and interested. For job coaches to be beneficial, they must know about the candidate's preferred industry and geographic market. Some ways to tell how good a vendor is are the customer satisfaction ratings and the number of people who find new jobs through an outplacement program. Outplacement counseling helps people determine their skills and how to sell themselves to potential employers. It can be given to one person at a time or to a group.