HOW CAN WE SAVE YOUR ORGANIZATION MONEY
Transitions Team provides separated employees with the opportunity to discover their best fit for a new position and then assists them in acquiring it. Our clients receive unlimited one-on-one access to their coach for an unlimited amount of time until they are placed in a new job, for a flat fee. The result is faster placement, a benefit to the employee and saving your organization money.
How, you ask, can you save money by spending money on Outplacement Service? The key is looking at the big picture and considering all of the costs involved in an employee separation. There are “up front” costs and “back end” costs. If you do not provide any Outplacement Service, there is no “up front” cost. That seems more cost effective at face value. But now let us look at the “back end” cost.
Separated employees earning $78,000 per year can receive payments of $749 a week from the State Employment Security Department for 6 months. That is over $3,000 per month and $19,474 for six months. Those payments get charged back to your organization as a tax from the State Employment Security Department.
For a manager or professional earning $78,000 per year and receiving our Outplacement Service (fee of $4,000) and being placed in 3 months (unemployment benefit expense of $9,737), the total cost could be $13,737 ($4,000 + 9.737). That is a savings to your organization of $5,737 ($19,474 - 13,737) per manager or professional by providing our Outplacement Service. The savings could be as much or more for an Executive, a Director, a Supervisor, Coordinator or Staff Employee.
Not only could your organization save money by using our Outplacement Service, but you receive all of the other benefits for utilizing the service: virtually eliminate the risk of being sued and of retaliatory violence, provide a positive public relations image, improve morale and productivity of retained employees, and feel better yourself knowing that you are assisting separated employees to find new employment.
If you need to separate an employee, please call us to give your employee the best Outplacement Service and save your organization money.
John Humphrey,
President
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