Outsourcing can involve the forced transfer of employees to another organisation. During or after the transfer they may find their jobs have changed or go through a process of downsizing. They also often have to maintain a relationship with their previous employer as they continue to work on joint projects. In this paper we review relevant research literature and identify important psychological and organisational processes involved in this process, which are of specific interest to guidance and counselling. We also present data from a longitudinal research study in which employees undergoing an outsourcing transfer discussed their experiences. A number of these employees required career counselling and some were undergoing psychological counselling to reduce depression and anxiety. In conclusion, we summarise important issues to be considered by the counsellor when advising individuals going through this process.