Retraining of employed technical professionals as an alternative to termination is being used by a small but growing number of firms. Case studies of involuntary and voluntary retraining generated guidelines for cost-effective programs: management support, candidate screening, career counseling, and realistic job previews. (SK)

The question of why some employers opt to lay off current workers and hire new workers with different skills while other employers retrain and retain their workers was examined. First, the literature on employer-provided training and the role of social capital in the workplace was reviewed. Next, data from a 1994 national employers survey of firms…