Do you provide a soft landing for your employees?
Our survey of U.S. businesses with 500 employees or more uncovered some common trends, positive changes, and opportunities for organizations to improve their severance offerings. The changes we noted in severance offerings in the past three years mirror the changes in workplace culture and workforce expectations and norms.
Although the results of the survey support some assumptions we have always held to be true, they revealed a shift toward more corporate accountability and responsibility to remaining and departing employees.
Does employee fairness influence your severance packages?
During the survey, we uncovered several trends that pointed to employee fairness as a factor in how severance is calculated, the length of time severance is paid, the amount of notice employers give impacted employees, and who benefits from comprehensive severance packages that include services, such as outplacement.
Will you offer more robust severance to stay competitive?
Reputation management and the importance of maintaining a competitive edge have driven companies to include benefits outside of health care as part of their severance packages. While a basic benefits package is the norm, since 2014 more companies are offering additional benefits as part of their severance packages – including outplacement.
Will recruitment and hiring costs increase employee retention programs in your organization?
Extended working notice and the adoption of redeployment policies mark a shift in employer policies and practices associated with corporate restructuring events. Organizations are realizing the benefits of redeployment including, significant savings from costs associated with layoffs and hiring, protecting the employer brand, improving surviving employee productivity, and creating a mobile and flexible work environment.
Are you creating positive relationships and brand reputation?
A majority of organizations are focusing on policies and practices that build better workplace environments and protect the brand reputation by expanding severance offerings to cover more employees, and by including more types of benefits, including outplacement. Outplacement services can help displaced employees land up to 60% faster than the national average, creating positive alumni sentiment and trust within the organization.