1. Determine how much support will be provided and how much it is likely to cost
Professional outplacement is typically £2,500 per person or £1,000 for a group for a less personalised service. Lower cost options would be to ask for input from local agencies and/or JobCentre Plus.
2. Decide if you can provide the support in-house
If you have the resources, this is a cheaper option. However, it can:
- Be time consuming;
- Lead to conflict as a variety of hats would need to be worn: providing consultation, the final message as well as the 'help'; and
- Career advice with online recruitment, social networking and government initiatives is rapidly changing therefore it can be difficult to confidently advise if you have no previous experience.
3. Consider providing a cash sum in lieu of outplacement?
If you operate in a sector where skills are rare and individuals are likely to be sought after, consider adding the amount you would have spent on outplacement to their redundancy package.
4. Decide on the timing
Mandatory consultation has taken away the traditional need for 'crisis support' immediately after the message. However, waiting at least 30 days before any help is provided can be a problem as in reality many are likely to start looking for alternative employment. Discuss with the consultation group whether it would be appropriate or helpful to offer support before the end of the consultation period.
5. Set up a dedicated room
If more than a few people are affected, then consider allocating a discrete office, with a PC, scanner, photocopier and colour printer. Post local job adverts on a board inside and offer time for individuals to go to the room to research new opportunities. Use this room for the outplacement support.
6. Select an external provider (if appropriate)
Based on the questions we are often asked, we suggest the following be borne in mind when considering an external provider:
- Do they offer generic advice or can they tailor it for your local or business sector;
- How much one-to-one support is offered in addition to any group sessions? Is it offered out of hours?
- Do they simply advise on CV design or actually help with their revision?
- Do they provide coaching on interview technique?
- Do they provide emotional support or just practical?
- Do they provide career planning advice or just job finding tips?
- Can they explain how they keep up to date with the latest trends and developments?
The more proactive and tailored the support the better.
7. Emotional support
Losing a job, particularly after a long time with an employer is like the end of a long-term relationship. They might ask repeatedly:
- Why me?
- What can I do to change the decision?
This is often followed by a period of denial, followed by anger and frustration: We all remember the character in The Full Monty who left his house every morning as usual, carrying his briefcase and packed lunch because he was too ashamed to tell his wife that he had been made redundant.
As the HR team most often deliver the bad news, it might not be best for them to also provide emotional support. If you use an employee assistance programme support line, then ensure they have the number and see if you have other options to provide this help.
8. Financial assistance
Explain very clearly how their redundancy package will be calculated and when it will be paid.
- Explain the tax free element: this means they will get more than they think, e.g. three months redundancy pay tax free is like four months normal salary.
- Investigate if some benefits can be extended beyond the employment period (such as the company car or private medical insurance) because these are often annual contracts so it costs no more to continue the benefit until the annual renewal date.
- Provide a pension statement and suggest they talk to a pensions advisor. Sometimes pumping money into additional voluntary contributions during your last few months is a tax efficient way of saving the redundancy settlement if they have a new job lined up.
9. The following should be offered as part of your support:
- CV design- proactive help to make their CV standout;
- Techniques for tailoring their CV and/or letter to the competencies identified in the job advert;
- Advice on how to find jobs (everything from cold calling to networking);
- Career advice. Redundancy is a great opportunity to review where a career is heading; however, most people panic and apply for the same sort of job they have now.
- Interview practice. This can be generic advice and role play. However, once they get invited to an interview, try doing a dry run. Analyse the job advert and look for competencies and ask them to give examples of their experience in those areas. Teach them how to control the interview and how to deal with a poor interviewer.
10. Get feedback and adapt
Check that the support is actually meeting needs and adapt quickly if not. Try to send employees away with a positive impression of the company, despite having been made redundant. Word soon spreads around the region if employees are seen to have been poorly treated.
- The atmosphere of despair turns into one of hope and excitement as people start getting interviews and job offers;
- Employees thank HR for the support they were given;
- Former employees don’t tarnish your employer brand when the opportunity arises;
- You reinforce to remaining employees that even at times of hardship the company will support them.