Transition Services

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Transition Services

• Recent Research on Public and Private Services
  Available to Laid-Off Workers

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The New Reality Layoffs Are A Fact of Life
Source Work Trends October 2004
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Source Bureau of Labor Statistics
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Source Work Trends 2004
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Source LA Times, December 30, 2004
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Key Sources of Transition Services

• Employers (counseling, outplacement assistance
  and education/training)
• Government (reemployment services, education and
  job training)
• Unions and Worker Organizations
• Non-Profit Sector (CBOs and FBOs)

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There is a sizeable gap in what large and small
firms offer

• Large firms are more likely to offer severance
  pay, outplacement assistance and counseling.
• Only a small percentage of firmsof any
  sizeoffer education and training assistance.
• There are signs that some large firms are
  trimming their commitments to laid-off workers.

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Sources Compassionate Downsizing, 2004 Work
Trends, April 2004
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Trends in Outplacement Services

• Increased availability of self-directed and
  Internet-based services
• Continued reliance on individualized,
  face-to-face services (workshops and counseling)
• Use of networking groups intended to generate job
  leads and provide support

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Workers have mixed views on outplacement services

• Some workers felt the availability of
  outplacement services improved workers
  attitudes, especially toward the company.
• Other workers felt that outplacement services
  were not well-suited to their specialized needs.

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Workers share criticism and praise of government
services

• A key criticism services at one-stop centers
  tend to be oriented to the needs of less skilled
  workers.
• Workers praised professional services groups
  organized by one-stop centers and rapid response
  services were valued.

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Potential for Public/Private Partnerships

• Models for integrating private transition
  services with government support (examples Fleet
  Bank and Ticona)
• Opportunities for collaboration between
  outplacement firms and government agencies

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Implications for Transition Services (Employers)

• Employers should provide laid-off workers with
  choices rather than a standardized package of
  services.
• Companies should leverage resources with
  government agencies and other firms.

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Implications for Transition Services
(Policymakers)

• Integrate government support and employer-funded
  services
• Provide high-quality information and guidance to
  help workers make good decisions

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Further Implications for Transition Services
(Policymakers)

• Clarify and update federal policies on advance
  notice
• Deploy Unemployment Insurance as a lever to
  reconnect individuals with the workforce
• Ensure that training is closely attuned to
  business needs and upgrade workers skills prior
  to layoff