It is easy to frame the discussion around layoffs and furloughs in purely economic terms. When a disaster like the Novel Coronavirus COVID-19 sweeps the globe and leaves the wreckage of destroyed economies in its wake, it is understood that companies will have to downsize

However, we must not lose sight of the human toll of these actions. According to The American Psychological Association, “A person’s response to unemployment can parallel the five classic Kubler-Ross stages of grief, although people may not necessarily hit each one or follow them in order, says Michael Lazarchick, a retired employment counselor in Weymouth, N.J. Lazarchick is acting president of the National Employment Counseling Association, a division of the American Counseling Association. Depression and anger are common responses to joblessness, he says. Denial also happens — for example, Lazarchick says, some unemployed men continue to put on a suit, grab a briefcase and leave the house each morning, although they have nowhere to go. Others try to bargain with former employers, offering their services for less pay.

Employers can help ease these striking psychological issues. Just because you’re parting ways with an employee doesn’t mean that you can’t continue to offer support. Increasingly, well-respected companies of all sizes are offering additional value-added outplacement services to employees who have been either furloughed or terminated. 

These outplacement services are designed to give terminated or furloughed employees a chance to get back on their feet and find their next job as quickly as possible. 

According to Insperity, “Outplacement firms can help you and your human resources team during the layoff process by providing guidance around best practices. They might help prepare a script or even attend the termination meeting.

These companies offer a range of services, with corresponding levels of cost. Options may include providing employees:

 

  • Access to an office
  • Résumé and cover letter writing assistance
  • Job search training and advice
  • Career counseling/outplacement counseling
  • Networking
  • Access to job boards
  • One-on-one coaching

 

Depending on the package, outplacement assistance may be offered in person, by phone or online – or a combination of all three.”

Employees appreciate any and all help you can provide when it comes to the transition they’re going through. Everything available to you as an employer should be considered.   

For instance, in some circumstances, it can be state law to give notice. The Workers Adjustment and Retraining Notification (WARN) Act protects employees of businesses that have 100 employees or more and meet the qualifications. To view those qualifications, visit the WARN Fact sheet.

For those who might struggle with the transition, offering a period to transition along with flexibility in the schedule will be helpful for some. This not only allows them to train others in their role but allows them time for interviews while still earning a wage. If handled well, both parties can farewell. Incentives for these transitional staffers can ensure they do a good job.

The Key 

No one likes to go through a reduction in force, but there are opportunities to make it less painful for everyone involved. If your business can afford it, it’s extremely wise to offer as many outplacement services as possible. It’s the right thing to do for your employees and it can help to cement the positive reputation of your business going forward. Strong word of mouth and referrals from former employees will be valuable when the hiring market eventually turns around. 

Eric Cormier, “Outplacement: Is this a service you should offer?”
Insperity, https://www.insperity.com/blog/providing-outplacement/