How Outplacement Services Benefit Your Company
How Outplacement Services Positively Impact Your Company
When layoffs happen, organizations often focus on compliance, logistics, and the impact on those leaving. But what's often overlooked is how a thoughtful offboarding strategy—specifically, outplacement services—can significantly benefit both employees and the company itself.
Partnering with an outplacement firm is more than a goodwill gesture. It's a strategic decision that helps protect your brand, strengthens morale, and can even reduce your unemployment tax rate. Here's how:
1. Employee Support: A Softer Landing During a Tough Transition
Layoffs can be one of the most difficult moments in a person's career. Outplacement services provide departing employees with the tools and confidence to reenter the job market quickly—typically through personalized coaching, resume support, mock interviews, and access to curated job leads.
This professional guidance does more than just help people find new work—it reduces anxiety, restores confidence, and shortens the time spent unemployed. Employees who feel genuinely supported through the transition are more likely to speak positively about their former employer and remain advocates for the brand long after they've moved on.
2. Employer Brand: Protecting Reputation and Retention
How a company handles layoffs says a lot about its values. When you invest in outplacement, it sends a clear message—to remaining employees, future candidates, and the public—that your organization truly cares about its people.
Companies that offer outplacement support often see:
- Higher engagement and trust among retained staff
- Improved Glassdoor ratings
- Stronger employer brand that attracts future talent
In today's transparent job market, those factors can be the difference between being viewed as a company that "cuts staff" versus one that supports careers.
3. Decreasing the Employer's Unemployment Tax Rate
Here's the financial upside many HR teams overlook: helping employees land new jobs faster can directly reduce your state unemployment tax rate.
In most states, employers pay an unemployment insurance (UI) tax rate based partly on how many former employees file and collect unemployment benefits—this is often called the "experience rate." When laid-off employees remain unemployed longer, your company's claims (and costs) rise.
Outplacement support accelerates reemployment, which means shorter claim durations and fewer unemployment costs over time. In other words, investing in outplacement can pay for itself through lower UI tax rates in future years.
Final Thoughts
Offering outplacement isn't just about doing the right thing—it's about doing the smart thing. You protect your people, your brand, and your bottom line all at once.
In today's competitive landscape, where employer reputation and employee experience matter more than ever, companies that invest in comprehensive outplacement services stand out as employers of choice—both during the good times and the challenging ones.
Visit My Interview Coach to set up a free consultation and learn how outplacement can benefit your organization.
