Why Should UK Employers Invest in Outplacement Support for Redundant Staff?

Okay, so nobody wants to talk about redundancies, right? It’s tough for everyone involved. But if you’re in a position where you need to make these difficult decisions, how you support the people leaving is seriously important. It’s not just about saying goodbye; it’s about helping them land on their feet and showing your remaining team that you care. That’s where outplacement services come in. As a business and leadership coach, I’ve seen firsthand the impact this support can have.

Think of outplacement as a helping hand for your departing employees. It’s like saying, “Hey, this wasn’t how we planned things, but we’re here to help you find your next gig.” And honestly, it’s a smart move for your business too.

Why Bother with Outplacement? Let’s Break it Down:

Making redundancies can feel like you’re just focusing on the bottom line, but offering outplacement shows you’re thinking about the human impact. It’s about treating people with respect, even when they’re leaving.

It’s the decent thing to do: Let’s be honest, losing your job is a major life event. Providing support shows you value your employees’ contributions, even as they move on.
Protects your reputation: Word gets around. How you treat departing employees speaks volumes to potential future hires and your existing team. Offering support can protect your employer brand. A study even found that companies offering outplacement are likely to see higher Glassdoor reviews.
Boosts morale for those staying: Redundancies can create anxiety and uncertainty for the employees who remain. Seeing that the company is supporting their departing colleagues can actually boost morale and reassure them about how they might be treated in the future. Effective leadership is crucial in managing organisational change. Learn more about developing resilient and empathetic leaders through my Leadership Development programs.
Reduces the risk of legal issues: Let’s face it, sometimes people feel aggrieved when they lose their jobs. Offering outplacement can help ease some of that frustration and potentially reduce the risk of legal action.
Can speed up re-employment: Outplacement services equip people with the tools and support they need to find new roles faster. This can have a positive impact on individuals and the wider economy.

What Kind of “Helping Hand” Are We Talking About?

Outplacement services aren’t just a generic package. They’re often tailored to the individual’s and company’s budget needs and can include things like:

Career coaching: One-on-one support to help people figure out their next steps and build confidence. The International Coaching Federation has highlighted increased self-esteem as a key benefit of coaching.
CV and LinkedIn help: Making sure their application documents shine and their online presence is on point.
Interview skills training: Practising and getting feedback to ace those interviews.
Job search strategies: Showing them the best places to look and how to network effectively. Networking is a big one, with stats showing a higher job success rate for those with connections.
Emotional support: Providing a safe space to process their feelings and build resilience.
Exploring new options: Sometimes, redundancy can be a catalyst for a completely new career path, including self-employment.

So, What’s the Bottom Line?

Redundancy is never easy, but offering outplacement services is a tangible way to show your employees you care about their future, even if it’s not with your company. It protects your reputation, supports those who remain, and can ultimately help everyone move forward in a more positive way. It’s about leading with compassion and thinking beyond the immediate challenges to the long-term well-being of your people and your business.

Thinking about how outplacement could support your team during a transition? Let’s chat about how you can implement these services effectively. Get in touch for a confidential discussion.

FAQs

Why should my company invest in outplacement services when we’re already dealing with redundancy costs?

It’s a valid question! While redundancy itself has financial implications, outplacement isn’t just an added expense; it’s a strategic investment. Think of it this way: outplacement helps mitigate potential future costs. It protects your employer brand, which is crucial for attracting and retaining talent down the line. It can also reduce the risk of legal challenges from departing employees who feel unsupported. Moreover, offering outplacement can boost morale among your remaining team, showing them that the company values its people, even during difficult times. This can prevent a drop in productivity and engagement. Ultimately, outplacement is about investing in the long-term health and reputation of your organisation.

What specific support do outplacement services typically provide to departing employees?

Outplacement is more than just a pat on the back and a “good luck.” It’s a structured program designed to equip individuals with the tools and confidence they need to manage their career transition. This often includes a range of services tailored to their needs, such as one-on-one career coaching to help them define their next steps and build self-esteem. It also involves practical support like professional CV and LinkedIn profile development to make their applications stand out. Interview skills training is another key component, preparing them to ace those crucial conversations. Outplacement providers also offer job search strategies, teach effective networking techniques and show them the best places to find new opportunities. And, importantly, it’s about providing emotional support and a safe space to process the emotional impact of redundancy. Some programs even help individuals explore new career paths, including self-employment.

How can outplacement services benefit our remaining employees?

Redundancies can create a significant amount of anxiety and uncertainty for the employees who remain. They might worry about their own job security or feel a sense of guilt or sadness for their departing colleagues. By offering outplacement services, you send a powerful message to your remaining team: you care about your people, and you’re committed to supporting them, even in challenging circumstances. This can reassure them that if they were ever in a similar situation, they would be treated with respect and provided with the resources to move forward. As a result, outplacement can help maintain morale, boost engagement, and even improve employee retention. It’s a way to demonstrate your company’s values and strengthen the psychological contract with your workforce.