Companies considering downsizing may want to invest in career-transition support to boost employee engagement and strengthen company reputation, according to a new survey by global provider of outplacement and career-development services Careerminds.

The study of more than 200 human resources and procurement leaders found that 61 percent of organizations have conducted layoffs in the past two years, with that figure rising to 73 percent among employers with more than 25,000 employees. More than half (52 percent) of those who have not recently reduced staff expect to do so within the next two years.

“The inevitability of workforce change makes it imperative for companies to prioritize career-transition support — not just for departing employees but for the health of the business as a whole,” said Raymond Lee, president of Careerminds. “A strong transition strategy protects brand reputation, sustains morale, and reassures employees that they are valued at every stage of their journey.”

Layoffs are likely and ongoing, according to the survey, which found that 61 percent of organizations reported conducting redundancies in the past two years, and 52 percent of those that have not yet done so anticipate layoffs within the next 24 months.

A majority said that career transition is a leadership imperative, with 90 percent of respondents reporting that having a formalized career-transition strategy is essential, 55 percent calling it “very important,” and only 1 percent indicating it is “not at all important.”

Brand and morale top the list of concerns.

Protecting company reputation (55 percent) and preventing disengagement/low morale (55 percent) were the joint top reasons for offering career-transition support, followed by maintaining trust in leadership (53 percent).

Employees who rate their employer as “fair” or “poor” are 9.7× more likely to look for a new job within 12 months than those rating their employer as “excellent,” underscoring the retention benefit of career-transition programs.

A majority of those surveyed said that career transition is part of severance packages, with 82 percent of organizations providing transition support as a standard part of severance. Larger employers are 63 percent more likely to offer five or more distinct services such as career coaching, job-search help, and reskilling.

Almost 100 percent of companies reported a positive impact from providing transition support, with significant improvements in employee satisfaction (54 percent), employer-brand ratings (50 percent), and post-layoff productivity (38 percent).

All of the organizations surveyed outsource at least some career-transition services, citing benefits such as reduced HR workload (44 percent), lower costs (32 percent), and improved compliance with labor laws (3 percent%) compared to in-house programs.

As layoffs continue to shape the workforce landscape, the research underscores that career transition support is no longer optional, the Careerminds report stated. “Companies that invest in robust transition offerings not only protect their brand but also strengthen employee loyalty, retention, and overall organizational resilience.”