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MANAGEMENT
Is Outplacement the Right Choice for You ?
Bill Ayers of the Ayers Group on career transitioning and the need for a proactive approach to outplacement services
by Peter Raj

Oct 09 | Redundancies or layoffs are particularly hard to bear. They can be viciously frightful and unsettling for the employee and stressful for the employer. Which means any attempt by the employer to ease an employee through this situation will go a long way, not only in stabilising the employee and his family but earning the employer valuable points in terms of credibility.

 

 
BILL AYERS
IMAGE COURTESY : BILL AYERS


Bill Ayers founded The Ayers Group in 1975. The Ayers Group offers career management services in the areas of career transition and organizational effectiveness consulting.

A nationally recognised expert in career management, Bill leadership has had the firm recognised as an employer of choice in their field and his senior staff enjoy decades long tenure with the firm. He has been featured on CNBC, CBS and Bloomberg News; he has been quoted in The New York Times, Wall Street Journal and other publications.

He is a frequent contributor to journals and newspapers, and a popular speaker on career management in the 21st century.

 



" I'm reminded of a client I worked with some time ago who was keen to provide termination notices over the Christmas period, specifically around the 15th of the month. I argued against this move, on the grounds that it would invite a lawsuit, that it was just before they broke for the holidays and this was a group of employees who had been with the organisation for a period of some 15-20 years, in essence, a protected class. Nevertheless, they proceeded as planned.

The announcement was made, in what took less than 30 seconds before the HR manager came into the picture to make announcements about the remuneration packages and what it entailed. Following this, we (outplacement services consultancy) came on board to deal with the outplacement and venting.

A lawsuit was then announced very boldly in headlines in the local newspaper; it was clear this was an angry group of employees who were going for blood. I asked the management board to allow me to intervene to get the lawsuit stopped and they agreed.

On meeting the aggrieved employees, I could sense their sense of betrayal and anger. I agreed with them that they were entitled to feel the way they did but I then asked them what they believed the cost of the lawsuit would be. They argued that it was immaterial to them, they were pushing ahead anyway.

I then reclarified that I wasn't asking them about it from a financial point of view but the cost to themselves. In terms of their job and career path and in terms of how viable they would appear to prospective employers.

When I presented these issues to them, they relented seeing the truth in the issues I raised and in the end, a settlement was achieved."

- Bill Ayers

 

 





In a discussion late August this year with William Ayers Jr, these sentiments were echoed. Bill is Vice President of the Ayers Group, an organisation established in 1975 to help companies adapt to change by focusing on career transition and outplacement services.

The balancing of the global economy, how much active participation a government should bear in managing those ill-equipped to deal with this financial crisis and the recession have remained constants in the mainstream press globally. It seems as if we are hanging on for dear life, as if the choices we make today will have a massive impact on the consequences we face tomorrow. Everything seems to hang in the balance. We move from commentary on a Monday that the market has shifted positively to polls on a Tuesday where it appears that the impact was far more severe than everyone else thought. What this clearly shows is that there's really a lot that's left unknown and that the jury is still out as to what will eventually transpire.

Bill shared his views on recruitment developments, arguing that organisations today have been selectively recruiting. "To some extent, you could say, they've been holding back on normal recruiting. Here in Malaysia, from what I see, there's a heavy reliance on the manufacturing sector which has been very badly hit. This is an industry where they're quick to hire and quick to fire but the purchase of these goods and services in this period has very much impacted their ability to do so," Bill continued.

The critical point Bill makes is that we don't know the real story : who's been impacted and how many are really affected. " Once you fall off the market, there's really no way to keep track of your movements and so any data gathered, presents a false picture of where things really lie. There's no real way of tracking people who have exited the workforce and those who've been retrenched," Bill argues.

To that extent, what we see is that we have a set of truly extraordinary circumstances. There's fear and frustration in the air and when this sets in, so does the tendency to bury your head in the sand and tell yourself that you will deal with this later. And this is exactly the sort of thing that you need to avoid, as an employer.

Preparation makes perfect sense. An employer should prepare for outplacement and career transitioning for its workforce. You can do this by bringing this service inhouse or by getting this outsourced. Outplacement services offer benefits not only to the organisation but also to the employees. The transition, for the employee, from your organisation to the outside world is smoother. As an organisation, you are assured that the employees concerned get the training they need for the job search, that fears are minimised in the workplace and there is less resultant disruption consequently to the organisation.

"What you need to get your mind around is that transitioning here is not solely about retrenchment and its consequential effects but also about redeployment..."
- Anthony Raja Devadass, Consulting Director, Kelly OCG

An effective outplacement services consultant will help you plan for this eventuality, teach not only the affected employees but those around them about what to expect and how to manage through this situation. They also guide the organisation's management team how to manage the letting-go process from both a communication standpoint as well as from all the other touch points concerned. As Bill explains, "... it's about how to let someone go, whose departure is not their fault so that these people are well-positioned to carry on focusing on their work and see that the organisation has their best interests at heart not only in terms of what they say but in how they do what they do. To see and feel that the organisation is here to help them beyond the decision to let them go and through the entire process, guiding the conversation throughout."

So what are some core processes when you terminate someone? Well, it's about allowing people to vent. To feel and go through their range of emotions. It's only natural to do so, not bottle these up or worse still, deny these emotions even exist. But just as important, it's also about helping to educate that person who's leaving, to leave with their head held high. It's about how to say goodbye properly.

"... it's about how to let someone go, whose departure is not their fault so that these people are well-positioned to carry on focusing on their work and see that the organisation has their best interests at heart not only in terms of what they say but in how they do what they do. " - Bill Ayers

An effective outplacement services consultant will help you plan for this eventuality, teach not only the affected employees but those around them about what to expect and how to manage through this situation. They also guide the organisation's management team how to manage the letting-go process from both a communication standpoint as well as from all the other touch points concerned. As Bill explains, "... it's about how to let someone go, whose departure is not their fault so that these people are well-positioned to carry on focusing on their work and see that the organisation has their best interests at heart not only in terms of what they say but in how they do what they do. To see and feel that the organisation is here to help them beyond the decision to let them go and through the entire process, guiding the conversation throughout."

So what are some core processes when you terminate someone? Well, it's about allowing people to vent. To feel and go through their range of emotions. It's only natural to do so, not bottle these up or worse still, deny these emotions even exist. But just as important, it's also about helping to educate that person who's leaving, to leave with their head held high. It's about how to say goodbye properly.

A good organisation will focus on getting the employee prepared to get their new job. You want to call them after you make the announcement. You want to ensure they do come in to work the next day. You want to ensure that their family was indeed informed and see what fallout transpired and how you can assist with any of this. More importantly, Bill argues, you want to remove that rear-view mirror. "...If you consider this situation, in terms of driving a car, this sort of predicament can very often lead to an employee constantly looking at the rear view mirror, mired in the facts and emotions of what's happened. Ultimately, they are not concentrating on the road ahead, on the choices to be made and this undoubtedly, means that a crash is imminent. When we say we try to remove that rear view mirror, our actions are aimed at getting them to pull off to the side of the road. Take their time to consider the past and the emotions thereby arising. Deal with it and then when they're ready, get back on to the highway and continue on their drive."

Why does this matter to you, as an organisation, you may ask. For one, the employee may choose to complain about the organisation at his interview. Of course, this really has more of an impact on the applicant than the organisation. Prospective employers are not there to look after the interests of applicants, they barely know them. Prospective employers are also not interested in causing friction or dealing with negativity. So, the applicant never gets the job and never knows the real reason why.

But again, what impact on the organisation for letting the employee go? A focus on the here and now doesn't get you very far. Good leaders look at the effects of their decisions, they look at the impact on their brands and they look at the possibilities tomorrow brings. An astute employer understands that his organisation is not an island unto itself, that there are connections and impact points an organisation's employees have with others that may have positive or negative inroads on the organisation concerned.

Your ex-employee might go on to be your client or even your competitor. An employer that can see these possibilities and the implications of these choices beyond the immediate policies they craft, will see the value in taking the action they embrace.

"What time has shown", Bill explains, "is that organisations expose themselves, for better or worse, in these situations, in how they react and manage the situation. Some organisations I've seen have management boards which have taken 50% salary cuts for a six month period in response to the economic downturn. Contrast this with a particular organisation I've heard of, which laid everyone off with 24 hours notice and had the gates locked the following day. It was a clinical abrupt end which brought about a lot of negative publicity."

What remains true is that organisations take different ways to deal with this situation. Some employ across the board cuts, some freeze or reduce salaries. It's aimed at protecting every party concerned and it's also about taking action that suits your situation and your culture. Yet as clearly as we need to decide on the action to take, is the need to decide on how we communicate this action. Whether we choose to make dramatic sacrifices or hide the sacrifices from our workforce, one thing is clear. We are being watched and judged on what we say and what we do.

Needless to argue too, is the impact of any litigious action undertaken by hurt or aggrieved ex-employees. Litigation is a battle no one wins. From an organisational standpoint, it has huge impact on your resources, finances and time. Not to mention the negative publicity such press generates.

Fear grips an employer when dealing with this issue, but it grips an employee as well. In fact, employees probably have far more fear and issues at stake. Which is why, Bill argues, the organisation needs to really consider what's at stake here. "When you make a decision to let people go, it's not just that circle of people that's affected. A decision to let 10,000 people go affects the 10,000 employees. But these 10,000 employees have 10,000 spouses which in turn have families 60,000 - 80,000 wide if you account not only for children but also aged care that some families may be providing. That said, the impact of your decision as one organisation cascades down into these families and wider networks. And when a number of organisations carry this activity out, it cascades into other families and other companies to the wider community, causing the extent of outrage and bitter disappointment we've seen in the last couple of years. The impact is astronomical."

So, taking the right approach, proactively dealing with outplacement is not just a responsible thing to do. It also makes a lot of sense, even from the organisational point of view.



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