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Maintaining employee engagement during a redundancy process

“Your position is being made redundant” are the words every employee dreads, but unfortunately redundancy is a common occurrence which can effect both departing employees and your employer brand.  Morale and motivation are bound to be impacted by redundancies but if handled correctly, the worst effects can be mitigated – keeping your employer brand intact.

With people being the most important asset of every company, providing departing employees with both emotional and practical support is crucial for every good employer. Outplacement services are designed to alleviate the stress of redundancy and with it costing as little as 2% of an annual HR budget, why would you not offer it? Outplacement is beneficial for both exiting employees and your organisation. Outlined below are some of the benefits your business will see when offering Outplacement services as part of your redundancy programme:

Leaving on a positive note

Whether your departed employees speak highly of your company or negatively about their dismissal, lies primarily on how they were exited and how the whole redundancy process was handled. Offering support early on encourages individuals to look forward to a new future, rather than look backward angrily at their former employer.

Reinforce employee value and appreciation

Outplacement demonstrates your concern for employee well-being and is key to retaining talent and showing your commitment as an employer. Remaining employees can easily lose their sense of belonging following a restructure and it is the employer’s responsibility to give them back a sense of control and reinforce unity within the organisation.

Companies offering Outplacement have found it helps lower the emotional tension of the organisation and supporting the health and wellbeing of exiting employees, is a great way to show both them and the remaining workforce that they are still valued and taken care of. It is also reassuring to those remaining, that they will be receiving the same support and consideration should they find themselves in a similar position.

Improve employee engagement  

At times of job uncertainty, receiving support can make a huge difference to an individual’s job search success and helps to build confidence at a vulnerable time. Providing career coaching is a great way to create clarity and help former employees transition to new jobs or help them re-align themselves in the job market. Offering this support will place your company in a positive light and protect your brand name as it shows how you handle employees, even after they no longer work for you. Working for an employer that truly demonstrates how it cares for their staff members, will have a significant impact on overall employee engagement.

Reduced lawsuit claims

Reputation is everything and there’s no quicker way to ruin a company’s reputation than a hefty lawsuit. The Aberdeen Group found that only 34% of businesses offering outplacement received lawsuits from former employees, whereas nearly 50% of companies who did not offer outplacement were sued. This shows the risk of litigation can decrease heavily with Outplacement services. It is not uncommon for disgruntled employees to present a lawsuit for unlawful termination but offering Outplacement services can prevent this from happening and reassures laid-off employees that it isn’t a personal attack.

Protect your reputation

These days it’s very easy for disgruntled employees to do harm to your employer brand online. It is not uncommon for individuals to air their grievances about their employers or fellow colleagues online, negative comments and reviews on websites such as Indeed, Glassdoor, LinkedIn and Facebook can spread quickly and seriously affect your employer reputation, impacting both current staff and impacting future recruitment activity. However, if you correctly manage and provide your departing employees with sufficient support through an outplacement service, they may in fact be inclined to comment favourably – particularly if the outplacement leads to them getting a new job.

If your company is going through a restructure and in need of Outplacement Services or you would like to find out more on how our HR Team can help you, contact Hannah Taylor on 01952 281900 or email: Hannah.taylor@resourcebank.co.uk