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Advantages of Using an RMC for International Relocation

Learn the Advantages of working with an international relocation management company

Interviewing and hiring international job candidates can be the best way to open up your company’s talent pool. When jobs are only offered to local or domestic candidates, it can be hard to assure that the most qualified employee is filling the seat. But when your company can field applications from all over the world, it can give countless more options for getting the person with the best skill set for the position. 

There is also the case of global assignments; companies with multiple international entities, multinational projects, or in expansion mode often need to fill specialized roles with knowledge and skills that may not be readily available locally. So, the company may need to send them to another location for a set period. Additionally, foreign assignments provide employee development and career pathing.

So, what’s the best route of action to take for international relocation services? The first recommendation would be to work with a relocation management company (RMC) to hash out the global relocation benefits that your company is willing to offer new employees. Working with a qualified and experienced RMC covers your bases for bringing on a new employee from another country. It’s not just a domestic move where the company can pay movers on the employee’s behalf. There are tax rules, immigration compliances, and other factors to be covered. 

When conducting global mobility practices, teaming up with an RMC is the best way to go. Here are some vital relocation services that an RMC can provide:

1) International Relocation Policies

Each international relocation assignment is different. Each employee will have other wants and needs. So, there is no one-fits-all relocation package. That does not mean making up a process as you go for each new hire. It’s essential to have policies set in place to ensure some order when the new employee signs.


The process starts with an unbiased needs assessment where the RMC conducts the initial call to determine the employee’s and family’s needs. From there,  a policy review is conducted, and proper expectations for the assignment are set for international transfer. Suppose there is no assignment or transfer policy in place. In that case, it is highly recommended to work with an RMC to develop an international assignment letter, which serves as a written agreement on salary and benefits for the transfer process.

A qualified RMC will be able to assist in setting up some common relocation policies to include benefits and services aligned with your policy objectives and budgetary and compliance requirements. For example, key services within a typical assignment or transfer policy may consist of:

  • Corporate housing options
  • Home-sale/home-buying assistance programs 
  • A vetted list of moving companies
  • Spousal and family support initiatives 
  • Visa and immigration
  • Travel coordination booking
  • International expense and compensation
  • Language and cultural training

2) International Relocation Costs

One of the most significant advantages of working with an RMC is cost control. It’s no secret that getting an employee from point A to point B can be expensive, even more so for an international move. When you work with an RMC, they can help keep costs in line because they provide a list of experienced vendors. Any great relocation service provider will have this list of vendors vetted and verified for top service. But the best way to save on relocation costs is to work with an RMC that accepts multiple bids in the pre-decision stage. If an RMC gets multiple bids from vendors on moving services, they can help assure that your company can provide relocation benefits without breaking the bank.

3) Immigration Compliance

A critical service for any international assignment or transfer is Visa and Immigration. Effectively managing and maneuvering through compliance laws can save your company time and money. Most RMCs will have a team that can handle all of the immigration services needed for your new employee and their family. 

Working with a top-ranked RMC can help you make sure you’re covered when it comes to: 

  • Passport application assistance
  • Document procurement and conditioning services
  • Post-arrival filing services
  • Work permit applications
  • Business visa applications
  • Entry clearances
  • Derivative family permits
  • Extensions of any of the documents mentioned above

4) Tax Compliance

Effective tax planning requires an understanding of international tax laws and how these laws apply to the employee’s new destination. This is why working with an RMC for global tax compliance needs gives your company the advantage of having experienced experts on hand. In addition, relocation tax professionals dedicated exclusively to the tax issues impacted by global mobility will know precisely how to handle the new employee’s tax needs. 

5) Household Goods Shipping

Moving an employee’s household goods to another country is not an easy task. When it comes to household goods shipping, teaming up with an RMC can make everyone’s life easier. There is a lot to handle when it comes to moving personal belongings. But an RMC can assist in handling all the details from start to finish. Including, as mentioned before, gathering multiple quotes to find the most cost-efficient company to hire for moving services. Most RMCs will also have relocation technology that may even help track where the employee’s household goods are in the process.

GMS Specializes in International Relocation Services

Global Mobility Solutions (GMS) is happy to assist your company with its global mobility policies. There are numerous advantages to partnering with GMS as your RMC. For over thirty years, we have been helping companies build successful employee mobility programs. We are here to provide international relocation services that meet the challenges of today with solutions for tomorrow. 

As the global mobility industry leader, GMS takes the time to understand your business’s needs, then customize comprehensive relocation packages based on your business needs. From pre-decision to destination arrival and beyond, GMS is here to address your needs with world-class services and industry-leading technology. Reach out to us today to schedule a free consultation with one of our relocation experts, or check out our cost savings calculators to see how GMS can save money while adding significant quality.

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What Is Global Mobility?

A Definition of Global Mobility and Why It’s Important

Global Mobility refers to a company’s ability to make its workforce mobile. You will also hear it commonly referred to as talent mobility and can even be better categorized as relocation assignments. 

Nowadays, countless companies are trying to expand globally due to leveraging technology to reach new audiences. However, if businesses want to succeed in expanding internationally, they will have to manage their talent pool. The best way to do that is to have global mobility policies set in place. 

There are various assignment types for companies setting up for global mobility, from permanent country moves to short-term international assignments. The ability to mobilize your workforce and provide relocation services for new employees widens talent pools to further depths. That assures your company is obtaining top talent.

Common Services Included in Global Mobility Policies

Any company looking to work with international relocation specialists to set up talent mobility policies should know that each company’s talent mobility needs are different. And should be handled as so. There is no short-cut method for handling global assignments; each needs to be tailored specifically. 

Each global mobility provider will have a different range of services. But here is an overview of the standard services most relocation management companies (RMC) provide: 

Pre-Decision Services:

– Needs Assessment/Pre-Decision Counseling

– Security Briefings

– Cost Projections and Tax Calculations

– Cost of Living Analysis

– Goods & Services Tables

– School Reports

– Virtual and Video Destination

– Mobility Assessments

– Pre-Hire/Decision Travel Booking

– Area Tour & Orientation

– Candidate Expenses

– Assignment Letter Development

– HR/Recruiter Debrief

 Pre-Departure Services:

– Program Counseling & Management

– Global Expense & Compensation Management

– Visa & Immigration Services

– Home Disposition Assistance

– Auto Shipment & Disposition Assistance

– Tax Equalization & Consultation

– Medical Coordination

– Assignment Travel Booking

– Area Tour & Orientation

– Global Home Finding

– Schooling Assistance

– Spouse/Partner Career Assistance

– Cultural Training

 Destination Services:

– Settling In

– Auto Lease/Purchase

– Language Training

– Air, Sea, & Surface Shipment

– Storage Management

– Global Banking

– Driver’s Education

– Temporary Living

– Career Assistance

– Education Assistance & Placement

 Ongoing/Repatriation Support:

– Ongoing Tax Consultation & Filings

– Security Monitoring and Alerts

– Global Travel Tracking

– Tenancy Management Services

– Emergency Services

– VAT Recovery

– Repatriation Program Counseling & Management

– Repayment Collections

Why Are Global Mobility Strategies Important?

Talent mobility is highly beneficial for international growth-focused organizations. However, before moving staff members overseas, it’s essential to consider various mobilizing factors, such as immigration requirements. A strategy set in place with a qualified global mobility service provider ensures that each employee’s international deployment process is seamless.

It should also be noted that the global marketplace is constantly changing for each industry. Therefore, you should work with your human resources team and global mobility consultants to review and update your strategy annually to reflect the current international mobility offerings of your competitors.

Once a global mobility strategy is created and implemented, global deployment is more cost-efficient, consistent, and compliant. All this leads to the best possible relocation process for your employees.

GMS Provides Excellent Global Mobility Service

Global Mobility Solutions (GMS), an international relocation management company, is the industry leader in global mobility consulting. Since 1987, our relocation experts have assisted companies and put talent mobility strategies in place for their businesses and employees to succeed in new countries. 

When you set up a free consultation with us, we will listen to all of your needs, wants, and goals. Then help you construct comprehensive global mobility service packages that will help your business thrive. Contact us today with any questions regarding international relocation or domestic relocation.  

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Zoom Town Options for International Relocation

Check Out These Countries That Offer Relocation Incentives

Countless companies are continuing to allow their teams to work remotely. These changes have primarily been due to the COVID-19 pandemic and the resulting shift in corporate culture. Working remotely from home has become a new normal for numerous industries. It has gotten to the point where “home” can be somewhere new almost every year. Employees are relocating to where they are most comfortable for their personal life as they no longer need to report to a physical office on a daily basis. Because of this, many cities and provinces are seeing an influx of new workers (and new taxpayers) as their populations grow.

What Are Zoom Towns?

A Zoom Town can be loosely defined as a town or province seeing an increase in population due to remote employees opting to move in. The phrase was coined from the broadly popular corporate movement to allow people to work remotely during the pandemic and the meteoric rise of “Zoom” as the virtual meeting platform of choice. 

 

Due to this phenomenon, various local and regional governments around the globe are getting creative in their competition for new wage earners. It has gotten to the point where these destinations are offering relocation incentives to remote workers considering a move within their borders. Many of these towns are looking to revitalize and compete by growing their population and gaining more working professionals. 

 

Now that people are accustomed to working remotely, many are looking into international relocation. There are Zoom Towns in other countries, some offering lucrative relocation incentives. If you’re looking to relocate internationally within the next year, here are some of the fastest-growing Zoom Towns abroad:

Switzerland

The village of Alibnen in the mountains of Switzerland is offering a rich relocation incentive. The town will shell out USD 25,200 to newcomers. On top of that, the Swiss government will give USD 10,000 per child that relocates with the family. Of course, there is some fine print for this great incentive. First off, applicants have to be under the age of 45. The property purchased in Alibnen has to be a permanent home, not a secondary residence. Also, the property has to hold a minimum value of 200,000 francs (about USD 201,600).

Italy

When many people think about Italy, they think about gorgeous landscapes and delicious food. This is why it is a popular destination for remote workers researching international relocation destinations. If you are considering Italy, it is worth looking at the town of Candela. This small town is offering grants of €800 euros per person and up to €2,000 for couples with children. Applicants of the grant can also take advantage of tax breaks. The only major requirement for this program is that the relocating workers have to live in Candela full-time, rent a house, and have a job with a minimum yearly salary of €7,500.

Greece

Another example of a creative incentive program is the Greek island of Antikythera. The program is closed as of the time of this article, but the island of Antikythera was trying hard to boost and revitalize it’s population number of 50 residents by offering relocation incentives. Those willing to relocate there could apply to receive housing, land, and an allowance of 500 euros a month for the three years from the Greek Orthodox Church, approximately USD 20,000 in incentives. 

 

Fortunately, Antikythera’s incentives worked! The island has seen an influx of young families and is now home to a climate research center.

Croatia

Legrad is a small town in northern Croatia that is looking to increase its population of just over 2,000 residents. In doing so, anyone looking to relocate to Legrad can bid on a house starting at just $0.16 (1 kuna). While an entire home for only 16 cents sounds great, there is a drawback. There are a limited number of homes in the town that can be purchased at the incentive price. However, there is good news – the mayor of Legrad pledged up to $3,979 (25,000 kuna) towards any refurbishments that newcomers would like to make to their houses. 

GMS Can Help with International Relocation

Global Mobility Solutions (GMS) is the industry leader in the corporate mobility market. Since 1987 we have been helping companies relocate their employees both domestically and internationally. Our relocation-specialized team stays up-to-date on all the government-provided relocation incentives offered in various cities, states/provinces, and countries. 


Our team also can help with any visa and immigration questions you may have when it comes to moving an employee to a new destination. You can contact us today with any questions or book a free consultation with one of our experienced consultants who can provide you with a courtesy review of your current relocation program and provide feedback on how to maintain a competitive talent mobility program.

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4 Products in Low Supply: Impact on Relocating Employees

Pricing on these products could affect relocation

It can be more complicated than just hiring a moving company to ship their household goods when relocating an employee. Many factors need to be taken into consideration when getting a transferee to their new destination. One of the significant factors to think about is the cost of living difference between their current home and the new destination. When certain products or materials are harder to get or are experiencing pricing increases, it can place additional pressure on the employee and jeopardize the relocation. 

Since the COVID-19 pandemic began, there have been supply chain issues and shipping delays around the world. Some products are back-ordered for months at a time, ultimately increasing prices on many products, further complicated by lack of manufacturing productivity. This can affect those moving for a new job through increased prices on common cost of living items such as food and fuel, potentially increasing employees’ wage requirements. While companies can’t always raise salary expectations right away, keeping the cost of living changes in mind when sending the employee an offer letter is recommended. 

If your company relocates employees, these four product shortages might affect their lives in their new destination:

Food Costs

This one probably hits close to home for a lot of people. With grocery stores also having labor challenges and with problems in food production, grocery prices may stay higher than usual in 2022. COVID-19 and its variants upended operations in food manufacturing plants around the world. As workers called in sick or day-to-day production policies had to be changed to keep workers safe, many fell behind in their order fulfillment and still have not caught up yet. Food product shortages are also due to the trucker driver shortage that the US and Canada are experiencing right now. 

When you look at the difference in food costs from city to city, that alone creates a cost of living increase or decrease. Typically, groceries are more expensive in high-end markets such as San Fransico, CA than in Topeka, KS. The addition of product shortages and shipping problems adds to the total price for someone moving from a mid-sized or small city to a larger one.

Lumber

Lumber prices have soured as of late to the point where homebuilders are increasing prices in an attempt to offset the demand. Many lumber mills were forced to shut down during the pandemic due to safety concerns. Then when the mills reopened, they were already behind in producing enough lumber to fulfill the extreme housing market needs. The real estate trends in calls for lumber were not just new-build homes either. As many workers started working from home and mortgage rates dropped to new lows, there was a rise in home remodeling

Many people might not realize that the price of wood also impacts moving supplies such as paper and cardboard. Lumber prices for the shipping industry also impact items such as shipping crates and pallets, which are produced for moving companies. Increases in material prices are naturally passed along to the end-customers who are moving.

Furniture

Always known as the “hidden cost of moving,” buying furniture for a new home is something that most people don’t calculate when making offers on houses. The furniture industry saw a boom when work from home became the new normal for many workers. People were more likely to spend more updating their furniture in order to be comfortable while spending most of their days from home. Because many U.S. furniture parts come from China, the global shipping container shortage has delayed many shipments that have some furniture companies months behind on orders. Once again, because of all the issues with shipping containers, the furniture industry can only ship out so many sets each month.

Semiconductors

Demand for computer chips has naturally lowered supply. Many companies are shifting their workforce remotely, meaning more laptops and computer products are needed for employees working from home. Semiconductor manufacturers are trying to ramp up production, but with sky-high demand, it is hard to see them catching up to the curve before the end of 2022. 

Additionally, semiconductors are used in vast swathes of products these days, including vehicles. Near the onset of the pandemic, rental car companies sold perceived excesses in their fleets. Demand surprisingly skyrocketed, but due to shortages in semiconductors, vehicle manufacturers couldn’t keep up with rental fleet production demand which, in turn, caused shortages of rental vehicles. This has caused significant increases in rental car costs for employees who are relocating and need temporary transportation while traveling.

GMS Keeps You Up to Date with Industry News

At Global Mobility Solutions (GMS) we take pride in being the industry leader for providing global mobility services. Our team assists companies in relocating employees and providing benchmarking studies specific to our clients’ industries. We also keep our customers on top of industry trends in relocation, real estate, transportation, and more. Fill out the form below to receive courtesy information on your particular industry today!

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A Complete Guide to Relocation Services

Moving Out-of-State for Work? Everything You Need to Know About Relocation Services

There’s little question that today’s job market is becoming more competitive. Many qualified job seekers receive multiple job offers, weighing the pros and cons of each. Employers who can offer the best compensation and benefits typically land the best talent. Typically, many people think of common benefits, such as health coverage, dental insurance, or 401k options. However, a benefit that is often overlooked when extending an offer to out-of-state job seekers is relocation assistance.

 

When sending out offer letters to job candidates, companies should consider including relocation services. Relocation benefits may be the deciding factor for your preferred candidate as moving their family out-of-state is not cheap. With the right relocation package available to them, the employee can feel at ease knowing the company has their best interests in mind. HR departments that help relieve the employee of the burden of moving by including relocation services in the hiring process note increased job acceptance rates and employees that arrive at their destination ready to work. 

 

Oftentimes, companies will work with a relocation management company (RMC) to develop and manage their relocation programs while delivering a wide range of relocation services. From the packing and shipping household goods to the delivery of visa or real estate assistance, there is a lot that goes into family moves. A reliable RMC can help companies have competitive relocation packages ready and will coach the moving employee and their family through the entire process. 

 

Additionally, for companies that provide their employees a lump-sum relocation package (in lieu of a comprehensive relocation policy), having an RMC on your side can be a great benefit. The relocation company can provide value-added assistance to the employee by helping them manage their lump sum budget, source vetted vendors, such as household goods movers, and provide access to technology that will assist the employee with their self-managed relocation.

Advantages of Relocation Services

There are plenty of advantages to leveraging relocation experts when utilizing relocation services in your talent acquisition efforts. The first and foremost benefit is a reduction of stress on your workforce. Moving across town is hard enough to coordinate but managing an out-of-state move while trying to start a new job is even more difficult. Relocation Consultants (Relocation Coaches at GMS) can help with the coordination of the move, allowing the employee to focus on their new job position and the onboarding process.  

 

Cost savings is also another advantage that both the company and the employee will enjoy. For the employee, relocation costs can represent a significant financial burden. Largely, companies that offer relocation benefits include expense management as a core portion of their relocation policies, essentially providing financial assistance for a range of approved benefits related to the move. 

 

Additionally, companies themselves can realize savings on the cost of relocation services through the usage of an RMC with a vetted and competitive network of providers. The usage of a multiple-bid process allows the RMC to “shop around” to obtain competing quotes of key services, such as household goods transportation. This results in a more cost-efficient program and increased customer satisfaction. 

 

Time management is another huge advantage. RMCs have helped thousands of people move before with established processes and technology, so they are prepared to make it as time efficient as possible. The RMC will perform the coordination of services, such as booking short-term housing, setting dates with movers, and assisting with the sale of the employee’s home. 

 

This time savings is beneficial to a relocating employee as they may only have a few weeks to get to their new destination. By allowing a quality relocation management company to orchestrate the relocation, you can mitigate the risk of delays, which could potentially push back an employee’s start date.

What Is a Relocation Package?

Relocation packages, also known as relocation policies, are benefits and support that companies offer employees who are transferring to a location for a position. These policies cover a range of supporting benefits spanning a wide range of relocation-related services. These may include visa/immigration assistance, real estate/rental assistance, the shipment of the employee’s household goods, global tax services, culture/language training, temporary housing assistance, spouse/partner career support, miscellaneous expense allowances, and more. 

 

There are a variety of different relocation packages that a company may offer an employee, with differing levels of support that are aligned by the employee’s position, their assignment, or other factors, as determined by the employer. As every company has differing needs and objectives related to their workforce mobility program, the specific structure and benefits offered in their policies will vary from company to company. However, it is common practice across many industries to utilize a multi-tier program, generally separated by employee level.

What Should a Relocation Package Include?

The most common relocation services will include most of the basic relocation needs including:

 

Moving services: The transportation of the employee’s household goods is one of the most needed relocation services. Safely packing, shipping, and storing the employee’s household goods is a critical relocation benefit offering. 

 

Short-term housing: Also known as corporate housing or temporary housing is a benefit that typically includes 30, 60, or 90 days in a furnished apartment while the relocating employee finds a full-time home in their new area.

 

Real estate & rental support: Buying and selling houses can be a confusing process. Most relocation service providers urge companies to include real estate assistance in their packages. Home sale programs allow employees to have options when it comes to selling their current home. Assistance with home finding is also commonly provided, allowing the employee to tour their destination and look at properties that align with their needs. For renters, benefits may include lease break assistance with their current apartment, tours of communities at their destination, and lease negotiation services.

 

Visa and immigration support: For companies that move employees internationally, assistance with the visa and immigration process is important. With the complex range of laws, visa types, and reporting rules, leveraging your RMC’s immigration experience will ensure your company is compliant with international laws.

 

Other benefits: Apart from the above, most companies decide to include the following relocation services: pet moving specialists, automotive transportation, destination services, travel assistance, family support programs for spouses and school-aged children, expense management services, and more.

How Much Do Relocation Services Cost?

The cost of relocation services and packages will depend on the policies that the company is willing to offer for new or promoting employees. It can also depend on the specific needs of the employee who is moving. How many family members is the employee relocating with? What size is their home and what support is needed to move their personal items? Does the company feel the need to cover auto transportation? Does the employee have a home to sell or a lease to break? Is the employee receiving a comprehensive benefits package or a streamlined lump sum?

 

Depending on the answers, the total costs can vary. It is important to have a conversation with your relocation management company regarding program costs, methods of cost control, and when and where to use certain relocation benefits. Robust and detailed reporting should be provided by your RMC to ensure you have complete visibility into your program’s total spend and where that money is being spent.

How to Address Relocation Costs

Relocation packages have a range of what they can and cannot cover. Some of the more common methods used to address relocation expenses include:  

 

Direct Billing: The RMC will source, coordinate, and pay the vendors hired in the relocation process. Invoices are handled and later paid by the employee’s company. This type of expense management can be pricey for the company but ensures the moving employee gets the most bang for their buck. 

 

Expense Reimbursement: This solution is set up to where the employee pays for all relocation expenses upfront, then receives compensation checks from their employer after the move is complete. This type of package can be tricky to handle if the benefit is not written by a professional RMC. 

It is also common to see a blend of direct billing (for large-ticket items, such as HHG transportation costs) and expense reimbursements (for smaller relocation expenses that may be covered by a miscellaneous allowance provided by the company).

 

Lump Sum: A lump sum relocation policy is basically a set amount of money given to the moving employee upfront to handle any moving costs as they see fit. Usually, the most popular type of relocation package due to its ability to provide simple controls over costs and easy budgeting, this method also provides the least amount of support to the employee and exposes them to potential risk.

 

Core-Flex: Some RMCs can offer core-flex relocation packages, where the relocation policies incorporate a core relocation benefit section, along with a menu of optional benefits. For example, a core relocation benefit may be HHG moving assistance. An optional “flex” benefit might include spouse/partner career transition assistance.

GMS Specializes in Relocation Services

Since 1987, Global Mobility Solutions has assisted companies and employees with all their relocation service needs. From creating relocation policies to coaching employees through the process, our experienced and talented team can assist in any way. We are always available to field your questions, contact us today to get all your corporate relocation or international relocation questions answered.

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Are you ready to talk to a Mobility Pro? Learn how GMS can optimize your mobility program, enhance your policies to meet today’s unique challenges, receive an in-depth industry benchmark, or simply ask us a question. Your Mobility Pro will be in touch within 1 business day for a no-pressure, courtesy consultation.

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Tokyo-based Employees Urged to Use Relocation Incentives

Japanese government is offering workers perks to relocate to less-populated areas

Tokyo, always known for being one of the most populated cities in the world, is starting to get just a little too crowded. The dynamic lifestyle of this great city is what brings many people to it in the first place. Many relocate to Tokyo for school but then remain for job opportunities. With so many people living in Japan’s capital now, it is estimated that 30% of the country’s entire population is concentrated in the greater Tokyo metropolitan area. This resulted after 25 years of year-over-year hikes in the population numbers. The number of inbound migrants in 2020 was about 38,000, a significant decrease from about 87,000 in 2019 (down about 56%), but still of significant volume.

This centralization of the Japanese population in Tokyo has been identified as a significant national risk. The potential (and realized) damages to the country and the economy that can be caused by disasters such as infectious diseases and earthquakes occurring in such a densely populated area have highlighted the need for a change in thinking. The mitigation of the impact of such disasters occurring in Tokyo can be helped by working towards the building of a decentralized society.

Additional benefits of this new direction can create a positive impact on the people that live in Japan. While there is much to do in Tokyo, like all major cities, there are a few drawbacks. The crowds in this big city atmosphere can make life harder, especially in a pandemic setting like most of the world as seen in the past two years. Additionally, the cost of living is not cheap. Living in the greater Tokyo area can be extremely expensive compared to more rural countryside areas of Japan. In fact, Tokyo is consistently ranked as one of the most expensive cities in the world.

So, what is Japan doing to promote citizens to consider moving to more rural and less crowded parts of the country? The government is offering relocation incentives to those who are able to work remotely from their new home. This big urge to relocate people to less crowded areas can be financially beneficial for those willing to do so.

Financial Support Relocation Incentives

Hoping to revitalize the rural parts of Japan, the government is offering individuals grants of up to 1 million yen (about $9,000 USD) to move out of Tokyo, while working remotely of course. Remote work is an important aspect of this program, removing the need to commute in and out of Tokyo for work. It has been reported that the government is committed to shelling out more than $10 billion yen in grants for this program. 

On top of the grants, local governments are also offering programs to attract new residents to their cities and towns. Many municipalities are providing ongoing support to help new residents find employment. Some of these programs are even geared toward helping entrepreneurs establish a new business in a local storefront. There are also some relocation programs that are helping movers either purchase or rent a home in their new area.

Experience Relocation Support Through GMS

Japan is one of many countries right now offering government relocation incentives. Contact GMS today with any questions regarding your relocation program, policies, or needs. Our qualified team has been helping people relocate all over the world since 1987. We will listen to your needs, examine your relocation program, and provide expert feedback on how to develop a competitive program based on industry best practices.

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Properly managing a visa and immigration program involves meticulous coordination, precise communication, and worldwide interaction with government agencies, corporate personnel, and relocating employees.

At GMS, we provide you with peace of mind in knowing your mobility program is fully compliant and being managed by the best in the industry.

Request a no-pressure, courtesy consultation from a GMS Mobility Pro. We’ll be in touch within 1 business day.

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Advantages of Creating Competition Between Suppliers for Relocation Services

GMS Always Fields Multiple Bids from Suppliers on Key Services

No one wants to pay more than they need to, this is especially true when it comes to the outsourcing of employee relocation services to a Relocation Management Company (RMC). Cost is generally the #1 driver of any procurement process, and it is wise to ensure you’re getting the most for your money before you sign on the dotted line. While saving money is a no-brainer, have you considered what steps your RMC is taking to ensure they deliver on cost savings for your relocation program?  

Many relocation companies have their own supplier base. These suppliers may consist of critical (and expensive) services, such as household goods transportation companies and temporary housing agencies. It is important to understand how your relocation company is leveraging these suppliers to reduce the impact of these services.

GMS Process to Keep Relocation Costs Down

Global Mobility Solutions, like most relocation companies, has its own, trusted network of suppliers. However, our network model is different due to our Multiple-Bid Process on key services. This process creates ongoing competition between our suppliers which ultimately results in lower prices and major relocation cost savings for our clients’ overall mobility spend. 

So how does it work? GMS analyzes each relocating employee’s unique needs, develops a service delivery plan, and then reaches out to at least two different suppliers for bids on key services. The suppliers’ estimates are audited for accuracy and submitted to you for final selection and approval based on the criteria most important to your organization. It should be noted that these are not just random or first-time suppliers who place bids with GMS. Each supplier is trusted and vetted by our network management team to ensure great service and competitive pricing. The process also allows us to develop creative service strategies to address every unique relocation need from each transferee. 

What makes GMS different is our independence and transparency in our supplier selection process. As we are not affiliated with any of our suppliers (van lines, corporate housing, real estate, destination services, immigration, or otherwise) we can subjectively vet our supplier base, ensuring the best possible quality for the best possible price across all of our key services. Some RMCs own or are owned by the suppliers they utilize which prevents the ability for true competition amongst the sub-suppliers servicing your account.

Additionally, GMS benchmarks and reviews our supplier pricing and negotiated rates on a quarterly to annual basis to ensure competitiveness by service in your specific relocating markets. These two features provide GMS clients with an umbrella of cost savings coverage while enhancing the quality of each relocation.

Let GMS Provide Relocation Services for Your Company

Operating a workforce relocation program can be expensive, but in many cases, it’s the best way to ensure your organization remains competitive in the acquisitions of talent to fuel your ongoing success. To have a better shot at cutting down relocation costs during the process, it is important to ensure your RMC utilizes a competitive bid process between suppliers on key services, such as household goods transportation, corporate housing, and more. Competition is always good for the consumer, driving down prices and increasing quality. GMS ensures the best price possible 100% of the time. For more information on corporate relocation services and program management from GMS, reach out today to schedule a call with one of our qualified team members.

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Are you ready to talk to a Mobility Pro? Learn how GMS can optimize your mobility program, enhance your policies to meet today’s unique challenges, receive an in-depth industry benchmark, or simply ask us a question. Your Mobility Pro will be in touch within 1 business day for a no-pressure, courtesy consultation.

Categories
Global Mobility Global Relocation Global Relocation Tips Household Goods Relocation Management

The Shipment of Household Goods

Shipment of Household Goods Explained

When planning a family move or relocating for a new job, one of the main points that may come to mind is how to move everything in one’s home. Looking around the house to take stock of your many possessions can cause stress. From clothes to dishes, artwork to vehicles, office equipment to bedroom furniture – decisions must be made on what stays and what goes. Working with a reliable moving company that can promptly and safely pack, and then move your household goods can make that process easier. 

 

What are household goods? While there is no exact definition, household goods (commonly abbreviated as HHG) are most often referred to as a mix of items, utensils, clothing, and furniture that reside in your house. Because there is such a wide range of what fits into the concept of “household goods” it can be difficult (mentally and physically), risky, and time-consuming for an individual or family to move on their own. 

 

If the move is taking place because of a new job or a personnel transfer, many corporate relocation benefit packages include some form of provision for the shipment of the employee’s household goods. In many cases, the relocation management company (RMC) that is managing the employee’s move has access to a reliable HHG transportation company to perform the heavy lifting related to the move. Conversely, some organizations may leave their relocating employees to their own devices to find an appropriate moving company. In these situations, some limited financial support or reimbursement is provided to the employee once the move is complete.

Why You Should Use a Professional Moving Company

Let’s start by pointing out the obvious. If household items are not packed by professionals there is a risk of items being broken or damaged upon delivery. Companies that specialize in household goods shipping can properly pack items to assure reduced risk of the item being broken. Many reliable moving companies will also have insurance for items if something is broken, damaged, or misplaced. In fact, eligibility for shipment coverage may be predicated on the movers performing the complete packing of the household goods.

 

It is also worth stating that if the relocating employee attempts to pack, move, and transport their household goods in a rental truck, there runs a risk of serious injury. The movement of larger items, improper lifting techniques, and repetitive movements can lead to an injury. This may impact the timeline of the relocation, or possibly result in a workers compensation claim if the move is company-sponsored.

 

Another fact that many might overlook is the transfer of these personal goods to the new city or state. Traveling cross country in an unfamiliar truck or pulling a trailer is not easy, and can take more time than many might realize. If the relocation is international, the logistics become increasingly complicated and out of the reach of the majority of transferees.

 

Allowing a professional moving company to pack, handle, and ship the employee’s household goods is more time-efficient. Every relocation consists of many moving parts. Stressing about the packing and moving of the transferee’s household goods doesn’t need to be a complicating factor. Additionally, if moving for a new job or position, there might be a short timeframe in which the relocation has to be completed due to a job start date. Hiring a moving company can help ensure that the household goods are moved quickly and will not hold up the relocation.

The Networks That Support Household Goods Shipping

Unlike the local movers many might think of when discussing moving, relocations generally occur over great distances. The van lines that are contracted to perform these types of moves will use larger trucks and a sophisticated logistics network to move the goods across the nation, or even around the world. Components of this network will include semi-trucks, train/rail cars, airlift vans (special containers for air shipments), and even ocean containers loaded onto vast ocean-based vessels. These networks are used to consolidate shipments and speed the overall transportation process. Commonly, local agents of the transportation company on both sides of the move will be called upon to assist with the loading and unloading process. 

 

Additionally, specialty companies may be called in to perform special crating services, remove and package wall-mounted televisions, prepare sensitive items for transport, or even ship your automobile. Storage solutions are also on tap in the event you need temporary storage at your destination while you find a home, or if you are on an overseas assignment.

 

Lastly, animal shipments are a commonly overlooked necessity for those relocating. Pets are more than just animals, they are beloved members of anyone’s family. As such, specialized animal transport companies help to ensure the transferee’s pets are traveling under safe conditions. Transporting pets can require additional documents, immunizations, quarantines, and specialized kennels/crates. Transportation methods geared towards animals significantly reduce the amount of stress on the pet as well as instill confidence in the employee’s knowledge that their beloved family member is being well-cared for.

Why You Should Use a Corporate Relocation Company

Working with a corporate relocation company like Global Mobility Solutions can help reduce the stress of household goods shipping. We provide access to our vetted, certified, and highly competitive network of household goods specialists. By including HHG services in a thoughtfully designed relocation policy and moving process, you can ensure that your transferees arrive at their destination on time and with as little distraction as possible, ready to focus on their new position. GMS can be contacted as early as today to discuss the shipment of household goods to any location in the world.

We're Here to Help! Request a Courtesy Consultation

Are you ready to talk to a Mobility Pro? Learn how GMS can optimize your mobility program, enhance your policies to meet today’s unique challenges, receive an in-depth industry benchmark, or simply ask us a question. Your Mobility Pro will be in touch within 1 business day for a no-pressure, courtesy consultation.

Categories
Employee Development Global Mobility Global Relocation Immigration Rules

Employer Immigration Compliance Must Be Spoken: Guidance for Cross-Border Mergers & Acquisitions

Get Ahead of Problems Faced in Cross-border Mergers and Acquisitions

Merging branches or acquiring new businesses is a complex process. These transactions involve numerous parties and have an abundant number of moving parts. This is the case, even more so, with cross-border mergers and acquisitions (M&A). What happens when the merger or acquisition is obtained in another country? 

Businesses are understandably focused on the economic and financial aspects of the deal, not so much on employer immigration compliances. However, these compliances are important and should not be overlooked. Imagine trying to relocate or transfer employees from one branch to another, only to be held up by visa and immigration issues. The issues that delay employment transitions and the assessment of liabilities are best addressed early in the process to allow your organization enough time to overcome any compliance risks. 

In almost any merger, acquisition, or change of entity, employers will need comprehensive plans to ensure relocating employees are able to validate their immigration status for their new country of employment. Employers who fail to accurately assess their immigration needs risk major business and labor disruptions, or the loss of key employees due to visa and immigration holdbacks. 

An effective M&A agreement will be prepared and determined appropriate based on the following points:

Deal Structure

Is it a stock/share deal?
With a stock purchase, the legal entity being purchased is often maintained and the purchasing company inherits all of its foreign workers. It will be up to the purchasing company to confirm that all these workers’ permits/visas are compliant and if any changes to immigration status will be needed.

Is a new legal entity being created?
As often is the case with a merger, an entirely new entity is created. Under some jurisdictions and work permit types, foreign employees are only authorized to work for the original company that sponsored them. In these situations, a new work permit may need to be applied for, or at the very least, an amendment made to the existing permit.

Change in Staffing

Will the deal affect any employment contract type or status?
In many countries, a foreign worker’s employment authorization is tied to the employment contract they signed with their original employer. If this contract is made void through a merger or acquisition, the status of the work permit could be as well. It is important to check with the local immigration authorities to see if amendments are needed. 

Will the deal cause any employee on a work permit/visa to be promoted or demoted?
Often a foreign employee’s type of work authorization is tied to their seniority/position or their income level. Depending on the jurisdiction and the terms of the work permit/visa there may need to be a change of status filed with the local authorities. 

Will the location of work permit/visa holders change?
In some countries, a foreign worker’s visa/permit may be tied to a particular province/state or even city. If workers are going to relocate to another region because of a merger or acquisition, an amendment may need to be made to their work authorization. 

Will job titles of work permit/visa holders change?
Depending on the country and type of work authorization originally granted, if a merger or acquisition results in the changing of job titles for foreign workers there may need to be an amendment made to their work permit.  

Will job descriptions of work permit/visa holders change?
If a work authorization was originally granted based on a foreign worker’s particular skills and the type of work they perform, it is important to check if new work authorizations will be required if their job description is going to change. 

Will salaries of work permit/visa holders be adjusted?
In some countries, a foreign worker’s visa/work permit type is often tied to their income level. If there are changes, he/she may require a new work permit or have an amendment made to their existing work authorization.

Assess Potential Red Flags

Understand visa/work permit processing time
If changes or amendments are needed to foreign workers’ work permits/visas, it is important to understand what processing times will be applicable. Processing times can vary drastically in different countries, and if not correctly managed a company might find itself in a situation where many of their foreign workers are not able to legally work immediately after the date of a merger or acquisition.

GMS Can Help with Employer Immigration Compliances

Global Mobility Solutions can help businesses with all of their global mobility needs and concerns, including companies who face problems with cross-border mergers and acquisitions. We partner with top visa and immigration companies to assure our clients’ their employees and their families are taken care of. Don’t let employer immigration compliance keep your company from merging or acquiring new branches. Contact us today to discuss your needs with a professional relocation expert.

We're Here to Help! Request a Courtesy Visa Program Consultation

Properly managing a visa and immigration program involves meticulous coordination, precise communication, and worldwide interaction with government agencies, corporate personnel, and relocating employees.

At GMS, we provide you with peace of mind in knowing your mobility program is fully compliant and being managed by the best in the industry.

Request a no-pressure, courtesy consultation from a GMS Mobility Pro. We’ll be in touch within 1 business day.

Categories
Global Mobility Global Relocation Job Market

An Employee & Employer’s Guide to Expatriate Health Insurance

What Is Expatriate Health Insurance?

Relocating employees is not necessarily the easiest process. There is a lot that goes into moving a candidate to fill a role, from home-selling assistance to transportation of household goods to tax gross-ups, companies have to assure that the many needs of their relocating employees are covered. Typically, health insurance is something that is discussed in the negotiation stage of hiring. But what if the candidate is moving from another country? Each country has different health care systems and requirements for health insurance coverage, and employees’ existing insurance plans may not provide complete coverage when the employee is moving internationally. Newly hired employees moving internationally might have a concern about their coverage for the period before the new job’s health plan goes into effect. 

When hiring international applicants, it is recommended that companies have expatriate health insurance options in their relocation benefits packages. Expatriate medical coverage (also known as expat insurance) is temporary insurance that is provided for people living outside their home country. Many plans are designed to cover employees who are staying in one country or will be traveling to multiple countries during their work assignments.

Why Is Health Insurance Important for Expatriates?

Expat insurance comes into play when a relocated employee is considered a foreign national and does not qualify for plans offered by local insurance companies. An easy example would be a Canadian citizen who is living in the US for an extended period for work. Does their home health insurance provide the same level of coverage and cost-benefit when they are outside of their home country?

For the Employer

Companies may want to consider covering expatriate insurance benefits because it can help attract and maintain talented employees. When trying to fill a seat in the company, having the option of being able to interview, and ultimately hire, international applicants opens up more options.

For the Employee

International relocators should take advantage of expatriate insurance when offered due to the varied health coverage in different countries. As each country has its own healthcare system, it can be very confusing to know how the system works and what is and isn’t covered. Uninsured individuals who seek treatments could end up with massive bills later on. 

Expatriate health coverage also gives the moving employee peace of mind, not only knowing they’re covered for unexpected healthcare needs but in knowing they are protected financially as well. If an emergency or sickness were to pop up, that employee knows their coverage will help with medical bills.

What Type of International Health Insurance Plans Are Available?

When it comes to expatriate insurance coverage options, the line does not stop at just medical. There are plans offered by providers which also include: 

  • Health Insurance
  • Life Insurance
  • Disability Insurance
  • Group Insurance
  • Evacuation and Medical Evacuation Insurance
  • Dental and Vision Insurance
  • Property and Liability Insurance
  • Travel Insurance

All of these different insurance types can help attract the best possible candidate for any job opening. Again, people who travel internationally for work assignments might desire these types of insurance because in their home country they may already be covered by them.

Considerations to Take When Choosing Expatriate Insurance

While there are a few providers who specialize in expatriate insurance plans, it’s always a good idea to look into which plan will work best for any given person. Is the favored policy set up for travelers or locals? Does the insurance company have a good reputation? Are the brokers and employees of the company certified for their specific field/job? Can the company pay claims from abroad? How do claim payments affect taxes or reimbursements? Does the employee have a choice of local healthcare at public and/or private hospitals? Does the policy cover a range of conditions, or is it limited to medical emergencies only?

All of these questions are fair to ask when inspecting a provider. But the big question to ask is if pre-existing medical conditions are covered and how they’re handled. Pre-existing conditions in the employees’ medical history could be the make-or-break deciding factor in choosing a provider. Companies should be sure their employees can get treatment coverage for conditions that are disclosed at the beginning of their health insurance policy.

Incorporate Expatriate Health Insurance into Your Relocation Program

Providing relocation benefits is one of the best ways to assure a company that they have the best shot at hiring the right person for the right seat. Global Mobility Solutions has been assisting companies in setting up their relocation programs for over 30 years now. If your company is ready to implement expatriate health insurance coverage into their policies then reach out to us today. Making sure employees are covered in case of an emergency medical situation is important. Our qualified team can help set up relocation benefits with expatriate health insurance included.