Layoffs are always difficult, regardless of the type of company. The burden of downsizing – operationally and emotionally – can become overwhelming for businesses to handle alone.
That’s why many turn to Outplacement Services for assistance. With the various types of outplacement services available, companies can start the selection process by assessing their size and support scale requirements.
High-Volume VS Boutique Outplacement Services
An organization that is reducing their workforce by 300 employees or more would likely benefit from a high-volume outplacement firm.
Let’s look at LinkedIn’s reduction in workforce as an example. They recently announced a lay off of 716 employees in June 2023, as part of their strategy to streamline operations.
LinkedIn has two main options for outplacement support:
- They can either choose an outplacement provider that can scale, which is often more transaction-oriented and offers bulk pricing.
- They can select multiple outplacement providers based on their specific support needs.
Smaller outplacement firms tend to offer a more personalized touch. Organizations opting for these services can expect custom pricing and strategic, specialized support that is tailored to their unique needs.
What a small organization needs to consider
It’s not just the large corporations that are seeking outplacement services. Smaller businesses and startups, often operating with limited resources, and more intimate workforce relationships, are in the same boat. They can’t afford to shoulder the responsibility of off-boarding when they need to focus all their resources on recovery.
In such situations, a smaller outplacement service provider is often the best fit. This is because smaller companies usually have closely-knit teams, and the emotional impact of layoffs can be a significant setback for recovery.
Navigating the outplacement process can be challenging, as resources are often limited. However, having a specialized partner can make a world of difference. Partnering with the right outplacement service can help ease the transition for employees and the company, making the time of transition more streamlined and supported. This keeps productivity, morale and output high while upholding a strong employer brand amidst downsizing efforts.
Compare the pros of the two types of outplacement styles
| High Volume Outplacement Providers | Boutique Outplacement Providers |
| Single vendor to manage | Single vendor, or selection of vendors based on the scale you need – more hands-on support. |
| Simple service options | Customized packaging that suits the employer’s outplacement support goals |
| Capable to absorb all impacted employees immediately | Simple, small-batch and high-impact support plans |
| Scale needs when contracts are activated – they may or may not bring relevance and credibility | Dedicated staff who are trained to support employees at this stage |
Your Partner in Navigating Challenging Organizational Transitions
At Digital Knack, we believe that every organization is unique and requires an approach that’s tailored to its specific needs and circumstances.
In case your organization is preparing for a reduction in workforce, and you are seeking expert guidance on crafting a fitting communication strategy, we encourage you to reach out to us. We specialize in providing tailored services to small organizations, ensuring that your message not only gets across effectively, but also fosters an environment of understanding and empathy during challenging times.
Let’s navigate these changes together. Connect with us today to learn more about how our services can support your organization’s unique needs during this transition.
