In the current economic climate, many businesses are compelled to downsize their workforce to stay competitive. This article provides a comprehensive guide on the five crucial aspects to consider when choosing an outplacement firm to support your employees during a workforce reduction.
The first factor to consider is the type of outplacement services your displaced employees would benefit from the most. You need to decide between group outplacement or individual one-on-one outplacement. If your budget allows, individual outplacement is often the preferred choice as it offers personalized support that can expedite the job search process.
Once you've decided on the type of outplacement, you need to identify the specific services that would be most beneficial to your displaced employees. Some outplacement firms offer resume and cover letter writing services, while others provide office space and computers for employees to prepare their job search materials.
The second factor to consider is the outplacement firm's areas of expertise. It's important to choose a firm that has experience working with the type of employees you'll be displacing. Additionally, it's beneficial if the firm specializes in dealing with companies similar to yours.
To determine a firm's areas of specialty, review their website and marketing materials or ask them directly. For instance, if an outplacement firm primarily serves large companies displacing administrative staff, and your small business is displacing experienced managers, that firm may not be the best fit for your needs.
The third factor to consider is the outplacement firm's familiarity with modern job search techniques, particularly internet job search strategies. Check if the firm has a website and if they're aware of the top online career sites. Also, find out if they offer services to post displaced employees' resumes on these sites and if they can distribute resumes electronically to a select group of employers and recruiters.
The fourth factor to consider is the duration of support the outplacement firm provides. Generally, the more senior the position, the longer it takes for the displaced employee to find suitable employment. Also, consider whether the firm offers ongoing one-on-one sessions with a career transition consultant or if the support is limited to access to job search materials.
The final factor to consider is the cost of the outplacement services. Ensure that the costs are clearly defined and stated on the firm's website and in their marketing materials. Check if you're charged only if the displaced employee opts for support or if you're charged regardless. Also, find out if there are affordable packages that offer the services your displaced employees would benefit from without including unnecessary services.
Another cost-related factor is whether the firm allows you to select services a la carte to meet your needs. Also, check if the firm has a minimum fee requirement or if they charge you only for the actual number of displaced employees, even if it's as low as one.
By considering these five factors, you can develop effective selection criteria for choosing an outplacement provider that best meets the needs of your displaced employees while adhering to your budget constraints.
