Outplacement Services Explained: A Guide for HR Leaders and Business Owners
Episode 19
Letting an employee go is never easy — and doing it the right way can feel overwhelming.
If you’ve ever wondered how to navigate layoffs or terminations with integrity, you’re not alone.
In Episode 19 of The People Success Circle, we’re diving into a powerful solution many leaders overlook: outplacement services.
Whether you're an HR leader or small business owner, this episode will help you understand what outplacement is, why it matters, and how it can protect both your people and your brand.
Listen in or read on for key tips and takeaways you won’t want to miss.
In Episode 19 of The People Success Circle, I share my own story of being laid off, the valuable resource of outplacement services, and recommendations how employers can handle terminations with care and professionalism.
What outplacement services are and how they support employees during a career transition
Why offering outplacement reflects your company’s values and protects your employer brand
How outplacement can reduce legal risk and boost morale for the employees who stay
The difference between outplacement services and severance —and why both matter
Tips for HR leaders and business owners on making outplacement accessible, even on a small budget
🎧 Tune in or read on for real-world insights to help you lead with empathy —especially when it’s hardest.
🔗 Helpful Links
🌐 Mindy’s website for business consulting: https://www.limerockcareerco.com
🎧 Listen to the podcast on Spotify, Apple Podcasts
Episode 19: Watch or Listen
Key Takeaways From Episode 19
Letting Someone Go Is a Test of Your Company’s Values
No matter the reason—layoffs, restructuring, or performance-based terminations—how you handle an employee’s exit reflects your organization’s integrity. I’ve seen firsthand how a compassionate, well-executed separation can protect your team and your brand.
Outplacement Services Offer Real, Tangible Support
Outplacement services help employees move forward with confidence by offering resume help, LinkedIn updates, interview coaching, and emotional support. These services can be a lifeline during a difficult time—and they show your people that you care about their future, even after they leave.
Employer Brand Is Shaped by How You Say Goodbye
People talk—especially after they’ve been let go. Offering career transition support can protect and even strengthen your employer brand. It tells the world (and your team) that you’re the kind of company that leads with empathy and responsibility.
Outplacement Can Reduce Risk and Boost Morale
Providing structured career support doesn’t just help the departing employee—it also reduces the risk of legal action and helps ease anxiety for the coworkers who stay. It sends a clear message that your company handles tough situations with care.
Outplacement Services Are Customizable and Cost-Effective
Even if you're a small business, you can offer outplacement on your terms. I often work with companies to create custom packages that fit their budget —whether that’s full career support or just a resume refresh. It’s more accessible than most leaders think.
People First, Profits Follow
If you’re struggling to get leadership buy-in, here’s what I remind my clients: when the people side of the business isn’t working, everything suffers. Sales, service, retention, culture—it’s all connected. When you invest in your people, you build the foundation for long-term success. And it all starts with seeing what’s really going on behind the curtain.
🎧 Want the full story, examples, and action steps?
Listen to the full episode of The People Success Circle for more insights on building a thriving culture that drives results.
Read the full transcript
Mindy:
Welcome back to this week’s episode of The People Success Circle podcast. I’m Mindy East, and the title of this episode is What I Wish Employers Knew About Letting Employees Go.
I’ve been on the HR side of layoffs, restructuring, reductions in force, and terminations across all the companies I’ve worked for. In addition to that, I’ve actually been the person who was laid off one time in my career. So I have a lot to say about this topic, and I just want to dive right in.
When companies have to let someone go—regardless of the reason—it’s a time that really tests the company’s values. There’s a way to do it right, in a way that protects the employee who’s being let go, as well as the people who are staying. Because believe it or not, they’re affected strongly when there’s a reduction in workforce as well.
This episode is for business owners, HR leaders, and really anyone who wants to lead with integrity during a really crucial time for an employee.
I want to start by saying that I’ve actually been laid off one time in my career, so I know personally what this feels like. But in addition to that, I’ve led reductions of force, layoffs, and countless terminations throughout my career. It’s never the fun part of the job, but I have learned over the years how important it is to handle this with the utmost respect for everyone involved.
As a leader, you really are someone who wants to look out for the employee as well as the company. And that can be a delicate tightrope to walk. But there is a way to do it that really helps employees land on their feet—and that’s actually what I’m going to talk to you about today. I’m going to talk to you about outplacement services when someone has to be let go from a company for whatever reason.
So, as I said, I’ve been laid off one time and it was a total surprise for me. I was a regional HR manager living in Chicago, and the company I worked for was in California. We were a satellite office in Chicago. We had an HR leader, a loss prevention leader, and a district manager. The company had tried to expand out in the Midwest. Over time, sales weren’t there, and they realized they wanted to cut the Chicago team altogether, which meant laying all of us off.
There was no other job in the company for us unless we wanted to move to California—and for the three of us, that wasn’t an option. Typically, in HR, I’m read into these things way before they happen. I know the plan, the strategy—I’m writing the scripts and having the conversations. But this time was totally different. I was caught completely off guard.
I was in my home office in Chicago and my boss, who I absolutely loved, called my cell phone and said, “Can you sit down for a minute?” And then she proceeded to say, “We’re closing the stores in the Chicago area, which means that your position is eliminated effective immediately.”
I have to say—I was shocked. But also, I was just immediately overcome with sadness and fear. I think those are the three most common feelings someone feels: sadness, shock, and fear. And often, anger comes into play too. I felt all of that. I honestly did not even know what to do next. And the fact that it was effective immediately, meaning this was my last day, was even more scary.
The company did some things for me that made that blow a little bit easier to take—and that is what I’m going to talk to you about.
In that situation, I had a company car, so I had to figure out how to return it and immediately, completely unexpectedly, buy a new car. I had to continue my health insurance. I was single at the time. I didn’t have a resume ready because I was completely surprised. So there were all these things that went through my head—alongside all the emotions, I had this massive new to-do list.
One of the things they did that was so kind and helpful was they provided us with outplacement services.
If you’re not familiar with that term, outplacement services are the actual support you give someone, regardless of the reason they’re leaving the organization. You give them the ability to go see a career counselor. This career counselor helps them with their resume, their LinkedIn profile, interview preparation, and really just guides them through finding their next job.
That was quite possibly the kindest thing I had ever experienced from an employer. They knew this was going to be a situation that affected us all personally, and they didn’t want us to hit rock bottom. They wanted us to land on our feet. So they provided us with professional outplacement services.
Within a month of getting terminated, I had the ability to call a career consultant and start working with them—and I didn’t waste any time. I did it right away, and it was the best experience.
I often say to people, if you know you might get laid off—if you sense restructuring or something in the works—do two things right away: get your resume ready and get your LinkedIn profile updated. Then network like crazy. If you can get ahead of it, you won’t be scrambling to get things done while you’re stressed and overwhelmed.
In my case, I had no idea it was coming. So the fact that they gave me outplacement services was a gift I didn’t expect.
Let me explain how it works. Outplacement is career placement support during a time of transition. It’s paid for by the company. Typically, a company will call me—my company offers outplacement services—and say, “We’re letting someone go, and we want to provide them with the option to receive career support.”
The company arranges that with the career consultant in advance, and it’s offered in writing when someone is separated from the company. That way, the person immediately knows: here’s your COBRA information, your separation details, and here’s the career support we’re offering.
In my company, I don’t charge unless the separated employee opts in. We give them the option at the time of separation, and if they reach out within a month, I bill the company. The employee never sees the invoice.
Services typically include resume and cover letter creation, LinkedIn optimization, interview and networking skills, gathering references, crafting an elevator pitch—all the essentials. But beyond that, we also offer encouragement, emotional support, and the confidence boost that someone often needs in a tough time.
Why should companies offer outplacement? First, it builds your employer brand. People talk—former employees will share their experience with coworkers, friends, neighbors, and on social media. Offering outplacement shows you care and builds your company’s reputation.
Second, it reduces risk. When people feel supported, they’re less likely to pursue legal action. It also boosts morale for the employees who stay. They see that you went the extra mile for their coworker, and that builds trust.
Third, it helps the separated employee land on their feet faster. Even if things didn’t work out at your company, outplacement gives them a chance to move forward with confidence. That’s a reflection of your values.
If you’re a business owner or HR leader, I encourage you to normalize providing outplacement services—even if you're a small company. It doesn’t have to be a big investment. I offer flexible packages: some just need resume help, others want the full support. It can be tailored to your budget and your values.
And to clarify—outplacement services are not the same as severance. Severance is a continuation of salary for a specific amount of time. Outplacement is career support. You can do one without the other. Outplacement services with my company typically start at $1,000 and go up to $5,000 depending on the level of the employee—much less than severance.
You might be wondering: is it worth it? I can tell you it absolutely is. I’m here today running my own company, offering these services to others, because someone once offered them to me.
In June 2025, we’re seeing economic shifts across industries. Layoffs, rifts, and restructuring are happening all over. Now is the time to plan ahead and decide how you want to show up as a company when things get tough.
If you’re anticipating a restructure or layoff, give me a call. I can walk you through the options. And if you’re an employee who senses change coming, please get that resume and LinkedIn profile ready now—before the stress hits.
As I wrap up, I want to remind you: letting someone go doesn’t have to be cold or transactional. It can be handled with dignity, strategy, and care. If you’ve ever gone through this yourself—or if you’ve had to be the one to deliver the news—you know how heavy it can be.
My hope is that today’s episode gave you a new perspective on outplacement services. And maybe, just maybe, it nudges you to take action the next time your organization faces a tough decision.
If this episode resonated with you, please share it with a friend or coworker. Or better yet, connect with me on LinkedIn and let me know your thoughts.
Until next time, remember: People success isn’t just about hiring right—it’s also about how we support people on their way out.
