Refers to an emerging human resources (HR) and workforce planning approach that helps organizations anticipate, manage, and respond to workforce disruption resulting from artificial intelligence (AI), automation, technological innovation, organizational restructuring, economic change, mergers and acquisitions, business closures, and other factors affecting employment. Rather than focusing solely on layoffs or post-employment outplacement services from HR, it emphasizes strategies that help workers transition to new employment through workforce planning, redeployment, career coaching, education and training, and reskilling.

The concept reflects the recognition that traditional workforce transition systems such as unemployment insurance, outplacement services, and many publicly funded workforce development programs have been largely designed for an earlier economy characterized by cyclical layoffs and relatively short periods of unemployment. As structural changes in the economy result in workforce disruption requiring workers to move across occupations and industries, organizations are adopting “displacement” approaches that connect employers, education providers, workforce agencies, and other partners to improve career transition outcomes.