A new study from resumebuilder.com looked at 1,000 businesses and found that three out of four were inspired by Elon Musk’s actions when he took over Twitter and approached employees to “voluntarily separate” from their workplace to avoid layoffs.
Stacie Haller, a career consultant, tells KMOX that one reason more companies are looking at voluntary separation is to mitigate labor costs — and try to prepare for the year ahead.Plus, it has advantages for both parties.
“On the employee side, if it happens to be somebody who was considering leaving, or somebody who was not happy, or actually the largest cohort group that is typically offered voluntary separation are those close to retirement age,” she said. “So that just encourages people to leave early and get a severance, which they might not have gotten if they just retired from the employer.”
Plus, she said, in a layoff the company eliminates a position. But in voluntary separation, the company just loses an employee. It could benefit employers if they offer voluntary separation to a high-paid employee and then replace them with someone more entry-level.
Hear more about the ins and outs of voluntary separation, how it could affect your future employment, and more from Stacie Hallier:
Copyright 2022 KMOX (Audacy). All Rights Reserved.
Down the Audacy app and follow 97.1 FM Talk.
Facebook | Instagram | Twitter | TikTok
Related
Related
