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Examining Common Employee Relocation Costs

What Kind of Costs Are Involved When Relocating an Employee?

A primary concern for companies when offering relocation packages is the cost. It can be expensive to move an employee and their family to a new destination. But frequently, companies who cover relocation costs for their new employees can hire from a much wider talent pool than those that can only make offers to local candidates. When a company’s relocation packages are constructed by an experienced relocation management company (RMC) there is an increased opportunity for savings and the elimination of unnecessary costs from your relocation budget at each stage of the talent mobility process. 

Understanding what costs are associated with the relocation process and why they should be included in your relocation policies can help make sense of the price being paid. Before diving into some standard relocation costs, it’s important to point out that each company and its moving employees have different wants and needs when it comes to the moving process. This can make it difficult to generalize costs and prices for one-off relocations. However, these are some of the most common costs associated with talent mobility:

Real Estate and Corporate Housing Costs

One of the primary benefits offered in many relocation packages is real estate assistance. In many cases, employees only have a set number of days to move and will likely need help selling and buying a house or sourcing a temporary place to live in until a permanent home is found. Therefore, the most competitive relocation programs include a home-selling assistance program. Often, these programs have options where the company or the RMC will buy the home from the moving family then resell the property themselves to allow the employee to make their start date in their new destination on time. It is also prevalent for RMCs to urge companies to include specialized relocation real estate agents to assist moving families with selling and purchasing their homes during the relocation. 

Other relocation costs most employees want to see covered are house-hunting trips. After an offer is made and accepted for the open position, the new or promoted employee will ask the company to cover or reimburse for a trip or two to look at potential new houses and schools with their real estate agent. While this can be expensive, it can show that the company cares about the employee and family settling in comfortably at their new destination. 

For temporary housing assistance, many companies will cover anywhere from 30-90 days of corporate housing. Corporate housing, also known as short-term housing, is generally a furnished apartment for the employee to stay in while the relocation process is finalized. For example, employees may need to report to work for their new position while their family needs to stay back for a few days or weeks to tie up loose ends. Or, in some cases, the employee’s new home or apartment might not be available to move in for the first few days or weeks after they arrive.

Moving Costs and Shipping of Household Goods

The most obvious and sought-after relocation benefit is assistance with typical moving expenses, such as the movement of the employees’ household goods. There are a few different ways to approach moving assistance; in some cases, the company will handle hiring and coordinating the move with a vetted and approved moving company or van line. This type of relocation offer can usually save the company money as they can have direct insight into all expenses. In addition, multiple-bidding processes can further reduce costs by generating competition between potential suppliers.

The reimbursement of moving costs is another commonly extended benefit from another standpoint. Under this model, the employee may be responsible for sourcing their own movers while their company will reimburse a portion (if not all of) any allowable expenses, per company policy. Some companies may only offer assistance in the form of a lump sum relocation package. This means the employee will be provided a lump sum payment that is intended to help reduce the burden of moving costs to the employee – however the employee is generally left to their own devices in this scenario.

Household goods costs extend beyond “the movers.”. Many relocating employees need specialty or sensitive items shipped, such as automobiles or pets. And on top of that, many people who move need temporary storage units for their personal property while transitioning from corporate housing to their new full-time house.

Relocation Costs to Keep In Mind

While the list of relocation benefits a company can potentially cover is extensive, it’s essential to work with the RMC to ensure your policies are up to date by reviewing them every 12 months. This will ensure that your company stays competitive in the hiring field while also verifying the company is not wasting money on payouts for benefits that are not being utilized. Here is a quick look at some of the other typical talent mobility costs included in many relocation policies: 

  • Schooling assistance
  • Spouse/partner career support
  • Temporary storage
  • Language/cultural education 
  • Travel assistance
  • Tax gross-ups
  • Relocation coaching
  • And more

Evaluate Your Company’s Relocation Costs With a Courtesy Consultation

With current market forces, the price to relocate an employee can be unpredictable. It can also be costly if not done professionally. Global Mobility Solutions (GMS) is here to help with any questions about relocating employees. We make it a priority to assist your company in staying within its relocation budget. We know employee moving costs can add up quickly.

We offer various relocation tools and technology to make the relocation process for your employee as simple as possible. In addition, our qualified team can walk you through a comprehensive program review to see if your company can save money on your relocation packages. Contact us at any time when you’re ready to update or create global mobility benefits packages for your moving workforce. 

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How to Get an IMM 5257 Visitor Visa

Visitor Visa (Temporary Work Visa) in Canada

If you aren’t a Canadian citizen or a permanent resident of Canada but have plans of relocating up north, there are a few options you have for visas. First, you can come to Canada on vacation; you can come to see family or conduct some manner of business in Canada. Your stay is restricted, and you need to follow some rules. and one of them might be that you need a visa, especially if you plan to work in Canada.

These IMM 5257 visas will be significant for you to enjoy your stay in Canada, and they are also a little complicated to get. Are there certain visas and government documents those applying need? Thankfully, rather than dealing with the headaches that can arise when you try to get a visa alone, you can work with a full-service relocation company that can assist with all the hardships of applying for the IMM 5257. Check out the rest of this article to get all the help you need.

What Temporary Work Visas Can You Get?

There are two different types of work visas that you can apply for. The first is an employer-specific work permit that allows you to work in Canada while you follow the conditions on the license. These conditions include the name of the employer you can work for, how long you can work, and sometimes where you can work.

You will also need a full copy of your employment contract and the offer of employment number or a copy of the labor market impact assessment. This can be useful if a specific employer in Canada already hires you and is entering the country to work a particular job.

An Open Work Permit allows you to work for any employer in Canada during your stay, except for those on the list of blacklisted employees. 

Additionally, you may need a medical exam if you have lived in certain territories or countries for 6 months or more or have applied to come to Canada within one year. Additionally, suppose you plan to work in certain occupations (such as in the field of healthcare, with children, or within agriculture occupations). In that case, you will need a medical exam no matter what.

You will not need a medical exam if you want to work in Canada for six months or less and do not meet any of the above conditions. Once you have your work visa and all the paperwork from your employer, you can begin the application process.

Using an IMM 5257 PDF Template

Having a template to work off of can be a lifesaver, especially with government documents. You need to work off of an IMM 5257 PDF Template, and one that is correct and fully updated. Then, you can confidently fill in the blanks and submit your information correctly. No worries, no fuss, and you can work in Canada as long as your other documents are handled correctly.

How To Apply For A Temporary Work Visa

You can apply for a temporary work visa online and must submit various forms. These can include but are not limited to IMM 1295 – Application for Work Permit Made Outside of Canada. Schedule 1 – Application for Temporary Resident Visa. Family Information Form IMM 5645.

Additionally, you will need a valid passport, two applicable photos of yourself, police record certificates, and bank statements proving you have enough funds to remain in Canada while having enough funds to return home, and your resume. If you bring your spouse and family members with you, you will also need extra documents for them.

Now, all of this can be extremely overwhelming, and if you make a mistake, forget to include a document, or have another problem happen, you will need to start over. That can be a massive problem, especially if you have a job that can’t wait.

Can I Extend My Temporary Work Visa?

If your work permit is still valid, then you can extend it. Whether you have fallen in love with the job, the country, the food, or the people, you can extend your temporary work visa while in Canada as long as you meet the following conditions. 

You must make any changes, alterations, or extensions at least 30 days before the visa expires, and you can’t extend your work permit beyond the expiration date of your passport. However, other than those conditions, extending your temporary work visa is pretty straightforward. Whatever drew you to Canada, you can continue experiencing it until your passport expires.

No matter what you plan to do, you can get a temporary work visa in Canada. Just make sure you get the steps right the first time!


Contact Global Mobility Solutions today for more information on work visas and relocating to Canada.

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Top Tips for Writing a Relocation Offer Letter

Use These Tips & Templates for a Relocation Assignment Offer Letter

An employee transfer letter or relocation offer letter is a document given to an employee being transferred to another department, branch, or location under the same employer. These letters not only provide transferees common professional courtesy on the company’s behalf, but it also gives the relocating employee an overview of what they can expect and their benefits for the process. These ground rules should provide the moving employee an understanding of all costs and services they are entitled to during their move. 

Larger companies or companies that often relocate employees more than likely have relocation policies in place. These are typically lengthy 10 to 30-page documents covering every relocation protocol aspect. Companies that might have such policies will rely on customized employee relocation offer letters and emails for each employee willing to do so. 

Here is a look at some top tips for constructing employee relocation offer letters, along with an example of a basic offer letter format.

Tip 1: Identify the Reason for Relocation Offer

While the employee will most likely understand it, you’ll want to cover in the offer letter why, how, and when the employee will be transferred. This will help with recordkeeping and provide the employee with in-depth insight into why their position is needed in the new location.

Giving a specific explanation to the relocating employee in writing can help show the employee that you care. This will also take the stress off of your HR department because the employees will know all of the details about why they will be offered the relocation. As a result, this should help set the stage, allowing things to run smoothly from the beginning.

Tip 2: State the Exact Effective Date(s) the Transfer Will Take Place

Companies cannot expect an employee to relocate the next day; however, it also shouldn’t be up to the employee entirely as to when the transfer will occur. Setting realistic dates and times for the employee to move and to get settled is vital in ensuring a smooth transfer experience. 

It should also be stated at this stage in the letter, how long the employee is eligible for relocation benefits. For example, many companies will allow employees X number days or months to utilize the short-term relocation policy stated in the transfer letter. There are many variables that come into play when an employee is trying to move out of state.

Tip 3: Provide Names and Contact Info

The transferring employee is probably nervous, but excited to take on the new role for the company. It is a good idea to provide the employee with the name and direct contact info for who they will be reporting to. This will give the employee a chance to reach out to the manager with any questions or concerns regarding their new position. It also gives the employee the opportunity to let their new manager know if there are any roadblocks with the relocation process. 

Conversely, it could also be a good idea to urge the new manager to reach out to the employee directly. This communication will allow the manager to inform the transferring employee of any necessary information. 

Tip 4: Note Every Detail of the Employee’s New Job

The employee should be well-informed about this step, but to cover the company and the employee it is a good idea to list out all expectations, requirements, wages (including bonuses), benefits, and anything else that will be different for the employee once they move. This provides documentation for both parties if there are ever any issues after the relocation has occurred. Being crystal clear at this stage helps straighten out any communication breakdowns later on. 

Use This Employee Transfer Letter Example

[Date]

[Sender’s Name]

[Sender’s Address]

Dear [Recipient’s Name],

We are pleased with the work you’ve completed with us so far and management sees great potential for you to grow in [transfer location]. The management team would like to extend you an offer for promotion to [new position] where you will be responsible for [responsibilities of the position].

This will provide you with an opportunity to expand your skillset as you move from the [current position] in [current location] to a new position in [transfer location]. 

The company is here to help you and your family relocate and readjust to your new role by providing relocation benefits. This letter summarizes that support in several areas.

New Job Title: 
New Supervisor/Manager: 
Department: 
Effective Date of Transfer:

New Duties: 

New Compensation/Bonuses: 

Below is a summary of the relocation benefits that are extended to you as part of this offer. 

Relocation Expenses
[Details of what the company will and will not cover.]

Household Goods Moving
[Moving expenses the company will or will not pay for.]

Home Marketing Assistance
[Info on home selling assistance ]

Home Finding Assistance
[Explain which resources the company can provide]

Repayment Agreement Terms
[Details of the repayment agreement that the employee is subject to]

Please review this information at your earliest convenience. You can contact me directly or Human Resources with questions, comments, or concerns. I would appreciate your acceptance or denial of this new position by [desired date].

From,

[Sender’s position and name]

GMS Is Here For You

Global Mobility Solutions (GMS) is a leader in the employee relocation industry. In addition to assisting with employee transfer letters, GMS would love to help your company create and implement customized relocation policies for your mobile workforce. Our team specializes in almost every area of the relocation process, so we can equip your staff and transferees with the knowledge and technology they need to make their move as seamless as possible. 

Getting started with us is easy. Contact us today for a free consultation with one of our relocation experts. From there, we will help you decide the best course of action for your company regarding your global mobility needs. Whether your company relocates internationally or just within the US or Canada, we can assist you in creating the best offer letters and relocation policies in your industry.

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Sustainability in the Relocation Industry

Relocation Management Companies should be aware of sustainability

Most companies’ interest in corporate environmental sustainability is on the rise. Everyone is looking to reduce carbon footprints without disrupting their business practices. A World Economic Forum report showed a 16 percent increase over the last five years in global public concern for nature. 

Having a grasp of sustainability in the context of the global mobility and relocation sector enables organizations to implement beneficial transformations that benefit both their staff and the environment. 

At Global Mobility Solutions (GMS), we are all looking for ways to protect the environment and reduce costs for our clients and their employees. When looking at ways to improve your global mobility program’s sustainability and how to reduce your carbon footprint, here are some things to consider.

Partner with a Professional Organizer

Partner with a “Discard and Donate” company that offers a professional organizer to assist your employees in preparing for their move.  This saves the client money by reducing the shipment size, and the program cost will always be less than the savings on the move.  Consider updating your relocation policy to cover some of these program costs to help encourage your employees to purge before moving. This can help reduce wasted materials and ensure that unwanted household goods go to good use instead of the trash. 

Also, Introduce a weight cap on your household goods moves.  This cap can vary by tier or by homeowner vs. renter. This will encourage your employees to consider discarding unwanted items before shipping them on your dime.

Partner with Move for Hunger

GMS is a proud partner of Move for Hunger. Move for Hunger offers your employees the option to donate their non-perishable food to a local food bank at the origin location. Items such as canned veggies, fruits, stews, soups, beans, tuna, pasta, sauce, baby food, flour, cereal, oatmeal, juice, rice, peanut butter, and jelly can be donated.  

Since its inception in 2009, over 10 million pounds of food have been donated through Move for Hunger and its partners to help feed the food insecure in the US and Canada. We suggest adding policy language to encourage transferees to contribute to this cause.

Offer Employees Furniture Rental Allowance

For international relocation assignments, GMS urges clients to consider extending a furniture rental allowance instead of shipping household goods.  Many relocation management companies partner with furniture rentals for temporary furnishings, another cost-effective way to reduce the carbon footprint.

Make Sure Your Vendors Are Green

GMS has a strict vetting process for working with household goods movers and corporate housing providers. We don’t just work with anyone. During our interviewing process, we ask vendors about their sustainability protocols and what they do to go green. Suppliers who use green clean methods help cut down on wasted resources.

Add Virtual Tools to the Relocation Process

First off, partner with real estate agencies that offer virtual tours and virtual closings for properties to minimize the need for in-person meetings and reduce the environmental impact of transportation. 

Contract with household goods providers who are experienced in using virtual surveys. GMS aims to streamline the relocation process while minimizing its environmental impact. Virtual surveys allow for accurate estimations of shipments without the need for physical visits, reducing unnecessary travel and fuel consumption. Additionally, GMS encourages suppliers who utilize recycled packing materials, further contributing to waste reduction and sustainability efforts.

Virtual services encompass a wide range of offerings within GMS, including assistance for spouses and careers, language and cultural training, and, whenever feasible, support for housing, banking, and registration in the destination country. These services can be provided in different ways, such as through video calls, virtual tours of potential homes, and online platforms for cross-cultural training, with the help of local consultants. 

Minimizing the need for in-person visits has a positive impact on the environment, as fuel consumption is reduced. Additionally, the assignee benefits from increased support from the local consultant, as less time is spent on transportation.

Ensure You’re Working with Real Estate Agents Who Practice Going Green

Real Estate agents can also help the relocation process be more environmentally friendly.  Most agents work from home and are completely paperless. Because they spend a lot of time in their cars, many offer to carpool with clients for a more sustainable transportation option.  

When showing properties, agents encourage using energy-efficient light bulbs and turning off lights before leaving any property. By promoting properties with energy-efficient appliances, solar panels, and sustainable building materials, agents can help reduce the carbon footprint of the real estate industry.

When selling a home and the potential cost of utilities is on a client’s mind, agents often suggest they use native plants in landscaping, which require less water and maintenance than exotic species. Desert landscaping is also recommended in dry areas. This not only helps conserve water but also supports local biodiversity.

Many Realtors have obtained a NAR Green Designation. The course focuses on People, Property, Planet, and Prosperity. By completing this course, real estate experts are equipped to provide guidance and access to resources that can assist homeowners in enhancing the efficiency of their residences. This support ranges from affordable solutions and do-it-yourself initiatives undertaking extensive renovations or constructing new homes.

By implementing these practices, our preferred real estate agents can significantly impact the environment and contribute to a greener future. Together, we can create a more sustainable real estate industry that benefits our clients and the planet.

GMS Leads the Relocation Industry in Sustainability

At GMS, we understand the importance of responsible business practices and strive to impact the environment positively. By partnering with like-minded household goods and corporate housing providers, we can collectively work towards a more sustainable future while providing exceptional service to our clients.

In conclusion, GMS prioritizes sustainability and responsible business practices and offers flexible relocation policies to accommodate the diverse needs of our clients. Relocation Policies empower transferees with small shipments to arrange their self-move quickly and flexibly, ensuring a hassle-free experience. Partner with GMS today and let us handle your relocation services needs while working towards a more sustainable future together.

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Engage Your Relocation Management Company Early in the Relocation Process

Learn why it’s essential to work with an RMC every step of the way

Employers should engage their Relocation Management Company (RMC) early in the relocation process. Employers often go to great lengths to define the questions they ask RMCs in their Request for Proposals. Several employees from departments including Human Resources, Accounting, Legal, and Procurement may spend a significant amount of time finding and selecting an RMC with the knowledge and experience that will ultimately serve the needs of the company, transferees, and new hires.

With all of the effort to find an RMC that best matches their requirements, wouldn’t you think employers would actively engage the RMC in their relocation process? Most companies do a good job communicating to their hiring managers and others throughout the organization how to utilize their RMC’s resources. However, even with this communication, the hiring manager or others sometimes do not engage the RMC early in the process. This may lead to several consequences for transferees and new hires.

Actual Case of an Employer That Did Not Engage Early

What happens when employers must engage their RMC early in the relocation process? Global Mobility Solutions’ Senior Vice President of Business Development, Sam Hoey, met a transferee and heard a first-hand account of their experience. Their employer’s hiring manager did not initiate their relocation process promptly, and they were left scrambling to find their own movers, real estate agents, mortgage provider, and temporary housing, all within just a few weeks before the new job start date. As a result, the transferee was stressed and unduly burdened by processes that the company’s RMC could have managed for them with greater ease. Let’s look at a few of these areas in detail to understand better what they entail.

Van Line Delays

The busiest time of the year for relocations is during the summer months. Children are out of school, travel is relatively easy to arrange, and weather delays are minimal. As a result, van lines that move household goods are often hectic during this time. They may have bookings for moves going out four, five, or up to six weeks in advance.

Employers looking to relocate an employee should understand the length of time their RMC needs to arrange to book a move of household goods at van lines, keeping in mind the preferred van lines may already have several weeks of booked moves on their schedules. With enough time, transferees may be able to find their household goods movers.

Real Estate Processes

When a transferee or a new hire receives notice of a job offer that requires them to start work within a few weeks, this gives them little time to make living arrangements. They may have a short time to determine how to proceed in several areas. Here is a list of just a few of the specific points they might need to address before starting their new position:

Specific Points

  • Engaging a real estate agent/company to handle a home sale
  • Selling a home
  • Handling the closing process for the home sale
  • Finding temporary housing
  • Engaging a real estate agent/company to handle a home purchase
  • Finding a new home
  • Obtaining a mortgage, including applications and paperwork
  • Handling the closing process for the home purchase

If you have ever bought or sold a home, had to find an apartment, or sought a mortgage, think of those processes. How long did they take you to complete? These processes often require several steps, including applications, reports, inspections, financial transactions, arranging the services of a notary public, and research to verify the new location meets the needs of everyone who is relocating, such as spouses, partners, children, and pets.

Employers looking to relocate an employee should be aware of the processes their RMC needs to manage to help the employee find suitable housing arrangements. RMCs with experience in these processes are vital to ensuring the success of a relocation, as they help the transferee or new hire in many areas. This, in turn, helps the employee feel happy and confident in their choice to relocate.

What should employers do?

Employers should review their relocation programs to better integrate their RMC into the front end of the relocation process. Helpful tips to ensure the RMC is engaged early in the process include the following:

  1. Implement Pre-Decision Services, so the employer, hiring manager, transferee, and/or new hire are actively engaged with the RMC early in the relocation process, and information can be shared that is helpful to the employee, the employer, and the RMC.
  2. Insert language into offer letters describing the RMC and the programs specific to the transferee or new hire.
  3. Integrate the RMC into Human Resource Information Systems and Talent Management Programs so hiring managers and program administrators always have ready access to information they can share with the transferee or new hire.

Conclusion

GMS’ team of corporate relocation experts has helped thousands of our clients develop relocation programs that attract and retain qualified employees. Our team can help your company by using industry best practices to design your relocation program so that you engage your RMC early in the relocation process.

GMS was the first relocation company to register as a “.com.” The company also created the first online interactive tools and calculators, revolutionizing the relocation industry. GMS continues to set the industry pace as the pioneer in innovation and technology solutions with its proprietary MyRelocation® technology platform.

Contact our experts online to discuss your company’s relocation program needs.

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Tips & Tricks Navigating the Legalities of Corporate Relocation

Understanding Corporate Relocation

Navigating the legalities of corporate relocation can be a complex yet vital task for any organization considering a shift in their base of operations. This blog post aims to act as a compass, providing valuable insights into this intricate process.

Relocating your corporate headquarters is more than just a physical move. It entails transferring your business’s operations, assets, and sometimes, even employees to a new location. Various factors can spur this decision—expanding business operations, accessing a new market, or seeking cost-effectiveness. However, the process involves navigating numerous logistical, operational, and legal hurdles.

Legal Considerations in Corporate Relocation

First and foremost, let’s delve into the lease and property agreements. These contracts form the bedrock of any relocation process. Understanding the terms, especially regarding early termination, potential penalties, and the legal requirements for setting up a new lease.

Next, zoning laws and regulations are often overlooked but are equally important. Adhering to local ordinances is vital. Additionally, some locations may require special permissions or permits.

Lastly, the impact on your workforce is considerable. Employment law considerations are necessary when managing employee relocation, understanding termination rights, and modifying employment contracts.

Impact of Corporate Relocation on Taxes

Transitioning to the subject of taxes, relocation may significantly affect your corporate tax liabilities. Understanding the nuances of federal and state tax laws is paramount. Moreover, familiarity with double taxation agreements can prevent unexpected costs.

Interestingly, many regions offer government relocation incentives to attract businesses. These can offset some of the costs associated with moving, so it’s worth exploring these options.

Navigating International Corporate Relocation

On the other hand, international relocations present unique challenges. Not only do you need to understand international law, but you also need to manage the complexities of international tax rules. Moreover, cultural and ethical considerations play a crucial role in the success of an overseas relocation. One of the significant challenges of international corporate relocation is ensuring a smooth transition for your workforce in a foreign environment.

Tips and Tricks for Navigating Corporate Relocation Legalities

Now, let’s equip you with some practical tips. Early consultation with legal experts is a must. They can help you navigate the legalities of corporate relocation, ensuring you’re on the right side of the law. Keep the following in mind: 

  • Keeping thorough records and documentation of all aspects of the move is equally important. Such records serve as a reference and can be vital in legal disputes.
  • Moreover, consider utilizing corporate relocation services. These experts can manage the logistics, allowing you to focus on maintaining business operations.
  • Compliance with all relevant laws and regulations is non-negotiable. It protects your organization from legal repercussions.
  • Lastly, communication with all stakeholders helps manage expectations and facilitates a smoother transition.

Case Study: Successful Corporate Relocations

Several organizations have successfully navigated the legal maze of corporate relocation. Their experiences underscore the importance of early planning, legal consultation, and effective communication. These lessons can provide a valuable roadmap for your own relocation process. You can download free corporate relocation case studies here.

The Role of Moving Companies in Corporate Relocation

Amid all the legal and logistical considerations, hiring a professional moving company can be a game-changer. These experts handle the physical aspects of the move and often provide valuable advice on how to streamline the process when moving on a tight schedule. By doing that, they are sure to help you move your office quickly. A reliable moving company will ensure your business assets’ safe and efficient transportation, thereby reducing the risk of damage or loss.

Helping Employees Adjust After a Relocation Assignment

Also, helping your employees adjust after a relocation assignment is another crucial aspect. Providing support, such as cultural training or financial assistance, can help mitigate relocation stress and promote faster adaptation to the new environment.

Cultural understanding becomes crucial when relocating to a new area, especially internationally. This entails studying the new location’s business etiquette, social norms, and communication styles. On the other hand, ethical considerations involve respecting and integrating local customs into your company culture, ensuring a smooth transition for your employees, and fostering positive relationships with local businesses and communities.

Post-Relocation Considerations

Even after the relocation is complete, the work is still ongoing. Post-relocation evaluations are necessary to assess the move’s success and identify areas for improvement. These insights can be invaluable for future relocations or other companies looking to make a similar move.

Mastering the legalities of corporate relocation can seem like a daunting task. However, the process can be less overwhelming with early legal consultation, careful planning, and clear communication. Working with an experienced relocation management company such as Global Mobility Solutions (GMS) can help reduce the stress of an office move.

Remember, each relocation is a unique journey, but with the right tools and guidance, you can turn this challenging process into a successful venture. This guide is your first step towards understanding the complexities and, in turn, executing a smooth and compliant corporate relocation. Reach out to GMS today with any questions you may have about corporate relocation.

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Language Barriers to Overcome During International Relocation Process

Here are some ways to overcome language barriers when moving abroad

Many workers seek job opportunities outside their home country despite the perceived language barrier challenge. Now more than ever, companies allow employees to work their complete schedules with remote work policies. This has opened up opportunities for employees to consider international relocation options as they no longer have to be in the office daily. 

But moving abroad isn’t always seamless, and there are some obstacles to overcome before enjoying life in the new destination. When heading to a new country, the test of learning the native language looms large. But this shouldn’t stop employees from relocating to the country they always wanted to live in. Expat numbers have risen recently, with remote work positions becoming the norm. 

CEOWorld says the number of expatriates living globally has grown by over 4.7% annually. It is projected to continue doing so in the coming years. This is likely due to the higher employment rate in the EU, where citizens living in a different EU country had a 73.1% employment rate compared to those in their country of origin, with 72.4%. This suggests that individuals are willing to overcome language barriers to benefit from better job and salary opportunities.

It is important not to downplay the difficulties of a language barrier. Such a barrier can cause many problems in both personal and professional life. Working with a relocation management company that can provide language service resources is a good idea when moving abroad. Overcoming these issues with extra effort and the right mindset is possible. Read on to learn more.

Relieve Culture Shock

Connecting with other cultures can be difficult, particularly in formal settings with power dynamics. According to TIBR studies, expat faculty and employees often face racism and hurtful comments, resulting in an even greater divide between locals and outsiders during the Covid-19 pandemic. To ease these tensions and build relationships, it is crucial to be open-minded and take the initiative to initiate contact. It is also possible that your coworkers are just as nervous as you are.

Language Services Help Cut Down on Frustration

Misunderstandings are a natural part of travel and international relocation, and locals may find it challenging to remain patient when simple errors could have been avoided with more language knowledge. Understanding a language is complex and can be discouraging when you don’t make the progress you’d like. Even professional diplomats, who are prepared for culture shocks, can be overwhelmed. Learning a language isn’t just about understanding grammar and vocabulary; there is much more to it.

Understanding a community’s underlying characteristics, such as demographics, personalities, and beliefs, is essential. Maryville University’s guide on international studies and relations explains that learning a language gives an individual a broader perspective on humanity and culture which supports them in gaining a more profound grasp of their new home faster. This change can help replace any frustration with success.

Lack of consistency in an employee’s work

The inability to communicate effectively can have serious consequences, particularly for specific jobs requiring high skill levels. For example, a small error in healthcare can have devastating results. Despite this, there is a growing need for international medical professionals to address the exhaustion of local personnel.

When going through the international relocation process, they must receive language and cultural training to succeed in their new environment. Philip Andrew suggests that taking classes online and reading books can help with language barriers, and cross-cultural training can help with cultural awareness. Being an expat can be complex, with challenges such as homesickness and financial insecurity. Still, when one can manage these issues, many rewards and opportunities can be gained, such as increased financial security, new relationships, and treasured memories.

Work with GMS for International Relocation

Global Mobility Solutions specializes in international relocations. We work with the best language service providers in the industry to assist employees with seamless relocation. Our relocation experts will help with document translations and online language training classes for employees and their families. 

Do not let language barriers hold you back from the move you have always wanted to make. GMS can help you and your family. Contact us today to discuss the pre-decision services we provide regarding international relocation.

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Corporate Relocation Global Mobility Global Relocation Global Relocation Challenges Global Relocation Tips Relocation Best Practices Relocation Challenges

The Challenges of International Corporate Relocation

Use this international relocation guide to overcome some of the common challenges

The international corporate relocation process can be a daunting venture. It requires extensive planning and coordination to get employees to their new home country. For growing companies, relocating employees abroad has become an all-too-familiar task. From efficient shipping protocols to secure job placement services upon arrival, the complexities of the global mobility process must involve a strategic approach. For this reason, today, we will discuss the challenges of international corporate relocation. We will assess the steps you must take to overcome these challenges to seamlessly get employees from point A to point B.

1. Paying Suppliers Internationally

Managing international relocation for a business involves countless vendors, often requiring payment across different countries and currencies. This creates numerous logistical challenges. The main one is, finding secure methods to pay local suppliers abroad and ensuring the payments are authorized. However, many relocation management companies have recently expanded the number of digital payments they support. This means that nowadays, it’s much less of a hassle to go through this process than it was in the past. As long as you are working with a reputable vendor, you don’t have to fear potential payment delays or have any security concerns.

2. Language Barriers

When moving abroad, language barriers can be a considerable challenge. This can be an issue even in countries where English is relatively widespread. Therefore, business owners need to consider the complexities that nuances and culture bring to the table when relocating. As a company owner, you must be aware of these potential differences and prepared to address them if necessary by providing employees and their families with language training. This is the only way to guarantee a successful corporate relocation. That being said, while reliable translation services can help minimize issues with language, businesses shouldn’t stop there. Depending on where you are relocating your company, offering extensive employee training may be necessary. Furthermore, one of the work productivity tips is to enable your employees to learn and speak a new language. This is one of the best ways to stay productive as they assimilate into their new environment.

3. Cultural Differences

Navigating cultural differences often poses the biggest challenge for businesses undergoing international relocation. Different countries have different cultures and customers. As we’ve mentioned, this includes language barriers but doesn’t end there. It also includes religious differences, social etiquette, and more. These things can create difficulties for companies settling into a new community. As such, businesses need to educate their staff on the culture of their new destination. Companies must also ensure that their relocation policies align with local societal norms. Furthermore, pairing up with experienced consultants familiar with the local culture is crucial. This will ensure a smooth transition.

4. Immigration, Tax, and Legal Issues

The legal and tax implications of relocating a business or employees internationally can be confusing and complex. Professional guidance and assistance are often necessary to ensure nothing goes wrong once the company settles in. That being said, professionals can help companies navigate local regulations and compliance requirements of domestic and international tax systems. Additionally, company owners, as well as their employees, must consider any current permits or visas that are necessary for residence in the new country. This also includes consideration for their existing financial obligations. For this reason, thoughtful planning and research are key. Therefore, if you are moving your company, plan ahead and figure out as much as you can before you get into the relocation process.

How to Ensure a Successful International Corporate Relocation

As we’ve said, there is no better way of ensuring a successful international corporate relocation than planning ahead. This is a huge process, and it may necessitate months of preparation. As an employer, you need to develop relocation policies around short-term housing options, relocation allowances, visa applications, and various other aspects of relocation. The goal is to make global mobility as easy as possible for your team. If you fail to do this, you may have issues with employees accepting an international assignment. Offering your employees help will make them feel comfortable in the new environment. However, once the relocation is over, you should also help your employees transfer funds and open bank accounts. Adequate preparation and policies in place will not only make for a successful move but will also help maintain morale and productivity during the period of transition.

GMS Provides Resources for Companies Looking To Relocate Employees Abroad

Global Mobility Solutions (GMS) is here to assist with the process of international relocation with comprehensive knowledge and technology that can help companies with all their questions and concerns. Our team of international moving experts can aid your employees in making a smooth transition to a new work environment. With these resources at your fingertips, employees will be able to cross borders and settle in at their new destination confidently.

International corporate relocation can be a complex process. However, by understanding and planning for the challenges ahead, and working with GMS, companies can minimize the risks involved. With careful research and proper preparation, there’s a chance to reduce costs and make a better transition for employees. Reach out to us today to set up a risk-free consultation.

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.

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Global Relocation Global Relocation Tips Global Relocation Trends Relocation Best Practices Relocation Programs

What Are The Benefits of Outsourcing Global Relocation Programs?

learn why your company should work with a relocation management company for talent mobility

What are the benefits of outsourcing global relocation programs? For companies that have steady moving needs, there are many benefits to outsourcing this strategic function. Most learn they need to gain the knowledge and experience to manage talent mobility with in-house resources effectively. Outsourcing this critical activity provides them access to the industry’s best practices and thought leadership that will help their company’s international relocation program achieve success with virtually all relocation assignments.

There are five distinct benefits clients can gain from outsourcing their global relocation services with a trusted relocation management company (RMC):

Cost Management

For most clients, managing relocation costs is one of the most important reasons driving their choice to outsource relocation. 71% of companies working on relocation in-house need to be made aware of their total internal operating expenses. A lack of knowledge of the actual costs of relocation prevents the company from understanding how to utilize resources efficiently. They also cannot gain the most benefit from their global relocation program. A solution that provides full expense tracking and reporting is one of the top features clients seek as they consider outsourcing their global relocation program so that costs can be fully identified and reviewed for budgetary impact and program performance.

Savings With Outsourcing Global Relocation Programs

Outsourcing global relocation services should allow clients to obtain more significant cost savings. Some RMCs are not independent. As a result, they often do not seek multiple bids for household goods shipments and other services. An independent RMC provides clients with several opportunities to receive and review bids on services, and this helps keep costs lower than other RMCs that don’t seek competitive bids.

Compliance

Transferees and their families often have questions about tax issues, visa applications, and other reporting requirements related to their global relocation assignment. To avoid putting the client’s company at risk for providing incorrect or insufficient guidance and advice, outsourcing global mobility management can provide expert guidance on unique relocation needs to help transferees find the right solution and help clients avoid any risks related to transferee requests.

Program Enhancements Through Outsourcing Global Relocation Programs

In-house programs only sometimes provide enhancements such as pre-decision tools, candidate assessments, auto lease programs, home purchase programs, and other value-added services. Choosing to outsource relocation services provides access to these services. Transferees and their families highly value these relocation program enhancements. Additional valued services include community tours, language training, outplacement services, school reports, and moving cost estimates.

Focus on Their Core Competencies

Working with an RMC lets human resources, compensation, benefits, and recruiting professionals focus on their core competencies. As a result, they can provide the best service in these business areas. In turn, experts at an RMC give the client’s international relocation program the best service. Choosing an RMC with the knowledge and experience to manage their entire program provides peace of mind and assurance that costs will be managed effectively, relocations will be successful, and transferees and their families will be satisfied with their experiences.

Work with the Best Global Relocation Service Provider

Global Mobility Solutions (GMS) has been helping customers get their employees from point A to point B since 1987. Our wide range of services and expert relocation specialists give your company the opportunity to get the package they need. GMS will assist your company put together a global relocation plan that makes sense for your company and employees, all while staying within a realistic budget. If you are ready to discuss more about our offerings, please set up a free consultation with one of our business development managers, by filling out this form. We look forward to working with you!

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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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Home Purchase Relocation Best Practices Relocation Challenges Relocation Management

2023 Real Estate Trends: States People Are Moving to and Why?

These are the states that are seeing a significant increase in population and some possible reasons why

Relocating for professional or personal reasons can be an excellent decision for both. New beginnings bring new opportunities to advance your career or grow yourself in a new destination. For 2023, we will use real estate trends to predict which states people will migrate to.

But before we start to look at which states are drawing new people in, let’s review some of the significant factors in why people are looking for a relocation change.

Cost of Living and Affordability

Housing affordability is decreasing as Americans seek cheaper homes and cheaper living in other states/cities. 2022 saw many moving due to money/costs, but 2023 looks to have a more steady housing market, making moving possible for many.

Americans searching for economic stability evaluated the financial implications of city vs. suburban life. Remote work has enabled many who live in costly cities to transition to cheaper places without giving up job prospects. This U.S. relocation trend explains the growing number of people departing urban regions for the suburbs.

Remote Work Options

Since the Covid-19 pandemic, most previously office-based companies have moved to either full-time remote work or hybrid schedules with remote work options. Now that many people in the workforce have the opportunity to work remotely, they now can choose to live wherever they want. 

In the past, employees would have to live within driving distance of their office to be at work on time, which made significant cities the apparent hotspots in the country. But with people able to log into work from the comfort of their homes, they are looking for homes in less crowded destinations. 

In 2023, working from home will be a permanent fixture for many companies. This will have employees seeking a new destination they have always wanted to live in. States with warmer weather and cheaper costs of living are the prominent front runners for those looking to move this year while working remotely.

Top States People are Moving to in 2023

2022 saw significant growth in certain states, trends that may repeat in 2023. Those with more room, cheaper living and remote work will be the best spots to reside in America. Here are the top four states people are migrating to in 2023:

1) Arizona

Arizona’s year-round sunny weather makes this an obvious destination for those looking to relocate to a place for outdoor activities. The Phoenix suburbs are growing in population yearly, with towns in the East Valley like Mesa and Gilbert leading the way. Hiking and golfing are activities that can happen in Arizona any day of the year.

And if taking in the sun by the pool or on the golf course isn’t something you’d want to do every day, northern and eastern Arizona have plenty of forests to explore with four-season weather. And let’s not forget the great wonder of the world, the Grand Canyon, which is a driving distance from the Phoenix area, for a weekend getaway.

2) Georgia

Georgia anticipates a rise in population. This Southern state has an impressively low unemployment rate of 2.9% compared to the national average. Furthermore, the cost of living and taxes are relatively low, making it an attractive place to live. 

Living in urban areas such as Atlanta and Savannah offers many job prospects due to the presence of renowned corporations like Home Depot, UPS, Delta Airlines, and Coca-Cola. When not working, Georgia’s inhabitants can explore the Chattahoochee-Oconee National Forest by hiking, camping, or biking, or visit the Georgia Aquarium, meander around the City Market in the Landmark District, or take in spectacular sights at Rock City atop Lookout Mountain.

3) Idaho

Idaho has a high population growth rate due to its desirable mountain location and low crime rate. People are moving into the state, particularly to the city of Meridian, faster than they are leaving. Those looking for more space and a good job have the opportunity to join a thriving economy in Boise, one of the top U.S. cities for job-seekers. People nearby enjoy going to well-known places in the state such as Craters of the Moon, Sawtooth, Lake Coeur d’Alene, and Shoshone Falls Park.

4) North Carolina

North Carolina’s low cost of living and substantial job opportunities have attracted many people. Areas like Charlotte and Raleigh have experienced population growth in recent years. Research Triangle Park comprises Oak City, Durham, and Chapel Hill, a hub for science and technology and great for young STEM professionals.

Asheville is one of the top cities to live in in the South. One of the locals’ favorite activities is bird-watching at Cape Hatteras, hiking Chimney Rock State Park, and driving the Blue Ridge Parkway.

Keep Up with GMS for Real Estate Trends

As the industry leader in relocation services, Global Mobility Solutions (GMS) always stays up with industry trends and news. Real estate trends are not only something our relocation experts monitor but study. We take great pride in knowing that our team always strives to gain as much global mobility knowledge as possible. 

If you are considering a relocation for you and your family, contact us today to see if you can take advantage of our Employee Choice Program. If you are an HR or hiring manager looking to create or update relocation policies for your company, set up a free consultation with one of our business development managers.

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.

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