Employer’s Guide to Career Transition and Outplacement Services

How an employer handles employee exits has a lasting impact. For organizations in Kitchener and Guelph, career transition and outplacement services have become an important part of responsible workforce planning.

This guide explains what these services are, why they matter, and how employers can use them to protect their business and their people.

What Are Career Transition and Outplacement Services?

• Career transition and outplacement services are professional services that supports employees in making a smooth career transition after leaving the organization. For the most part, outplacement comes as part of a severance package. Most businesses sponsor an external company specialized in career outplacement support to handle the transition.
• Career transition and outplacement services are not about finding the next available job opening, it’s about preparing an employee to advance in the workforce with a personalized upskilling plan. This way, individuals move from one role to the next with confidence, skills, and direction.
• Pathways is considered one of Kitchener and Guelph’s top career transition support providers. What makes Pathways different is that we’re a full-service education centre designed for people at all ages and stages, not a recruitment agency. That means we’re invested in the employee’s career goals and development, allowing them full flexibility to choose their next path while giving them the educational opportunities to do so. 

What Do Career Transition and Outplacement Services Include?

Depending on the provider, career transition and outplacement services may include:

1. Resume and cover letter development
2. Job search strategies and interview coaching
3. Career assessments and goal setting
4. Support with career changes through retraining and upskilling
5. Access to short-term education programs
6. One-on-one coaching and guidance

At Pathways, these services are often paired with personalized education and training options. This allows people to move into more stable, in-demand roles or even make a complete career switch.

Let’s talk about how career transition support helps your company thrive!

Why Should Employers Care About Their Employees’ Career Transition and Outplacement?

How you treat departing employees sends a clear message to everyone else watching, and yes, your current staff, future candidates, and even clients are watching. Poor treatment of former employees impacts team morale, company reputation, and overall goodwill.

Offering career transition and outplacement services helps employers:

• Protect their reputation in the community
• Maintain morale among remaining staff
• Reduce employee turnover
• Reduce legal risks
• Reduce conflict in the workplace
• Show leadership and accountability during change

Having worked with many former employees in our career transition and outplacement program, they show genuine appreciation and respect for their former company. Not every company will show that level of care and support post-leave, which sends a clear message of mutual respect. 

In short, employers should care about their employees’ career transition and outplacement because it leaves them feeling respected, not tossed aside and blindsided. Disgruntled former employees are more likely to leave bad reviews and spread negative word of mouth. Employees who receive proper support after a layoff are more likely to recommend the company to friends and even return to the company in the future.

When Do Employers Typically Offer Outplacement Services?

Outplacement support is most commonly offered during:

• Layoffs or downsizing
• Company restructuring
• Role elimination due to automation
• Mergers or acquisitions
• Business closures or relocations

These types of job terminations are incredibly difficult, emotionally and mentally, making the extra support even more important. 

How to Choose the Right Career Transition and Outplacement Program

When choosing a provider, employers should look for:

• Experience with the job market
• Access to education and upskilling pathways
• Personalized support, not just online tools or standardized programs
• 1-on-1 career counselling
• Clear communication and reporting
• Programs suited to different employee levels and industries
• Programs that value investment and don’t rush the employee into a new job

At Pathways, we work closely with your former employees’ to tailor services based on role type, industry, and career goals. We seek to let the employee lead the experience themselves, with us acting as the support and access points to get them where they wanna go. This helps them feel valued, and ultimately transition into a new role that feels right for them, not just the first thing available.

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What Does the ROI of Career Transition and Outplacement Services Look Like?

Career transition and outplacement services reduces costs in various areas of your company, providing a positive return on investment by:

Protecting Team Morale

When layoffs or restructuring occur, remaining staff often worry about their own job security. Offering outplacement support shows employees that your organization treats people fairly. This reassurance helps teams stay focused, productive, and engaged in their roles instead of disengaging or looking for work elsewhere.

Reducing Employee Turnover

Career transition and outplacement support reassures employees that the company will support them in cases of layoffs and restructuring. Employees are more likely to stay with an employer when they know support is available during times of change. Career transition and outplacement services provide that sense of security. Lower turnover means fewer costs tied to recruiting, training, and onboarding new staff.

Word of Mouth and Attracting Top Talent

Employees who feel supported during transitions are more likely to speak positively about your organization. Over time, this builds strong word-of-mouth in the community. Additionally, career transition and outplacement services serve as a valuable employee benefit when attracting new hires. This helps you capture the best talent, especially since skilled Canadians are starting to prioritize job security over salary.

Lower Risk of Legal Disputes

When employees feel respected and supported during a separation, they are far less likely to challenge the decision. Clear communication paired with career transition support reduces grievances, complaints, and costly legal processes that drain time and resources.

Companies With Career Transition and Outplacement Services vs. Companies Without

Companies that offer support:

1. Are seen as fair and people-focused
2. Attract stronger candidates over time
3. Maintain trust with their current staff
4. Experience smoother workforce changes
5. Build long-term credibility

Companies that don’t:

1. Risk negative reviews and public feedback
2. Struggle with employee engagement and retention after layoffs
3. See employees resign more frequently
4. Hire and onboard new people more often
5. Damage trust internally

 

Are Career Transition and Outplacement Services Worth It for Small and Mid-Sized Businesses?

Yes, career transition and outplacement services are definitely worth it for small to medium-sized businesses. In fact, small and mid-sized businesses usually benefit the most, since they are more closely tied to their local communities. Being a local business means it’s even more important to have a good reputation in the community.

Additionally, offering career transition and outplacement services helps smaller employers compete with larger organizations by showing professionalism and care.