With COVID-19 ravaging our economy—leaving 40 million workers seeking unemployment benefits and 55% of Americans reporting lost income—the country desperately needs a better set of solutions to help workers reorient in the face of an uncertain future.
Employers have historically provided outplacement services to employees they lay off. Outplacement is a $5 billion industry in normal years that spikes dramatically during recessions. Companies that provide outplacement services typically charge $3,000 to $10,000 per worker.
But the standard offering is paltry. Employees who have been laid off or are about to be laid off receive a bit of coaching, access to job listings, and resume reviews—and that’s about it.