Final answer:
An Outplacement firm is a contracted service that helps employees prepare for job searching after a layoff or job loss through various career transition services.
Step-by-step explanation:
A contracted service supplied by companies that specialize in helping employees prepare for job searching after a layoff or job loss is defined as an Outplacement firm. These firms offer services such as resume writing, interview preparation, career counseling, and job search assistance to support individuals in transitioning to new employment opportunities after being laid off.
The use of outplacement services can be particularly valuable in times of an economic downturn, as companies may need to downsize due to a drop in demand for their products or services. At the start of a recession, firms may lay off workers, but they may also hesitate to hire new ones quickly when the economy begins to recover, relying instead on overtime work for the existing staff until the recovery is assured. This creates a situation where outplacement services can play a crucial role in helping displaced employees find new work.
Unlike practices such as outsourcing or offshoring, where jobs are contracted to an outside source or moved to another country, outplacement focuses on supporting individuals as they leave the company and seek new employment opportunities.