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Should Providing Outplacement Be A Corporate Social Responsibility?

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I’ve been doing a lot of thinking since my post about the 99ers and the video I watched.  There are so many facets to the discussion about extending unemployment and what can be done to help these people.  One area I am interested in getting feedback on is corporate social responsibility.  Does this come into play when an organization is preparing for a down-sizing?

Corporate social responsibility is defined as a form of self-regulation integrated into a business model.  The concept is that business embraces responsibility for the impact their decisions have on the environment, the community, the employees, the stakeholders and everyone else in the public sphere. 

Shouldn’t that mean there is a responsibility to the people they’ve let go?  And where does that responsibility end?  Should providing outplacement services and the coaching I discussed in that post be a social responsibility of the company?  There can’t be a much better example of how a business decision impacts communities, employees and people, than a down-sizing.

I wonder if the concept of social responsibility is ever discussed when it comes to layoffs.  Is it mentioned and disregarded as “not our problem” or “there is little we can do” or is it not even discussed at all?  And is it realistic to think you can be socially responsible and profitable at the same time?

There is a very interesting article on the case against social responsibility that says that more often than not, a company cannot do well by doing good and choices have to be made.  So what choices do you make?

What do you think?  Is any thought put into what will happen to the people who are let go?  Should there be?  How responsible is the company for what happens to their displaced employees?


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