Tag: Global Relocation Tips

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2020-21 Employee Relocation: Location, Location, Location

Portrait of a handsome young businessman standing outdoors

If your company’s 2020-21 employee relocation plans require a mix of new hires and current employee transferees, how can you be sure you will attract the most highly qualified candidates? Many job seekers are looking for career opportunities. However, they also have other interests such as home ownership and a desire to live in a growing and vibrant location.

With the COVID-19 pandemic leading many employers to institute Work from Anywhere policies, some may think relocation is no longer necessary to attract talent. Employers that pursue this line of thinking may believe they are offering a great value in their talent acquisition programs. Unfortunately, they may also be seen as a less desirable employer for job seekers to consider. Why? Because the employer’s location may be one of the most desirable points for job seekers who are seeking opportunities.

Location, Location, Location

When employers benchmark their relocation policy, they should keep “location, location, location” at the top of their mind for talent acquisition. Key point to remember: the employer’s location is where the job seeker wants to work and live. While the job opportunity carries significant weight, location is often a deciding factor for employee relocation.

Location Often at Top of the List for 2020-21 Employee Relocation

Location is often at the top of every job seeker’s list when looking for employment. Many people see moving for a new job an exciting adventure. Looking at the best cities to find a new job is almost a rite of passage for new college graduates. Even during the pandemic, many cities have more job openings than candidates with the requisite skills and qualifications. Location, then, is a critical consideration for job seekers, and one that employers should leverage in their 2020-21 employee relocation plans.

Beyond location, job openings, and future company growth, job seekers also consider a wide range of location-specific factors in their search. These factors may include:

  • Cost of living
  • Housing options
  • Demographics
  • Social networks
  • Weather
  • Safety
  • Educational opportunities
  • Professional networks
  • Local amenities

Pre-Decision Services are Critical for Success with 2020-21 Employee Relocation

The value of pre-decision services to talent acquisition programs has increased dramatically. Employers can more readily determine if new hires and transferees will result in a successful relocation. These services also help the potential employee learn about the area and understand all aspects of the relocation. Career support services for spouses and partners are also provided, and family matters are taken into full consideration.

There are many benefits of pre-decision services for both the client and the candidate, including:

Client Benefits

  • Increases job acceptance ratios
  • Highlights candidate concerns and issues prior to relocation
  • Minimizes policy exceptions
  • Provides cost savings
  • Increases budget accuracy
  • Increases successful relocations
  • Identifies candidates unable/unwilling to relocate

Candidate Benefits

  • Thorough orientation tours for candidate and family members
  • Expert counsel and assistance for all aspects of the relocation
  • Relocation industry professionals provide support and attention
  • Spouse, partner, and family support services
  • Dedicated consultant available to discuss any concerns

MyRelocation® Video Destination Spotlights Highlight the Employer’s Location

With so much interest in location and location-specific factors from job seekers, employer should consider how they present relocation opportunities to candidates. GMS offers its clients Destination Spotlights to North America and Global locations that provide a wealth of helpful information. GMS’ MyRelocation® Video Destination Spotlights are professionally crafted videos. These beautiful and engaging videos provide an overview of the location for the candidate.

What Should Employers Do About 2020-21 Employee Relocation?

Employers should examine their 2020-21 employee relocation plans to determine how they can be successful in attracting candidates with the necessary skills and qualifications. They should work with a Relocation Management Company (RMC) with knowledge and experience in developing relocation policies that follow industry best practices.

Conclusion

GMS’ team of global relocation experts has helped thousands of our clients understand how to develop relocation programs that attract candidates with the necessary skills, education, and experience. Our team can help your company understand how to use 2020-21 employee relocation plans to design an effective relocation policy. As a result, your company will be able to remain competitive in its industry and attract the best candidates for job openings.

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

New SafeRelo™ COVID-19 Knowledge Portal

GMS recently launched its new SafeRelo™ COVID-19 Knowledge Portal featuring a number of helpful resources including:

  • Curated selection of news and articles specific to managing relocation programs and issues relating to COVID-19
  • Comprehensive guide to national, international, and local online sources for current data
  • Program/Policy Evaluation (PPE) Tool for instant relocation policy reviews

Contact our experts online to schedule a complimentary policy review for your 2020-21 employee relocation plans, or give us a call at 800.617.1904 or 480.922.0700 today.

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 Mobility Global Relocation Global Relocation Challenges Global Relocation Tips Global Relocation Trends Immigration Rules Visas and International Travel

Mexico Immigration Alternatives in Response to Proclamation 10014

View of the Guadalajaran skyline.

Mexico immigration alternatives offer additional routes for US employers looking to hire foreign nationals. The Trump Administration’s Proclamation 10014 limits the entry of foreign nationals under several classes of immigration visas. The concept of “nearshoring” lets employers leverage a creative solution that may fulfill several business needs. Many countries near the US have less restrictions on their immigration policies than Proclamation 10014.

What are Mexico Immigration Alternatives?

GMS spoke with Michelle LePage, Founder/Managing Partner and Senior Global Administration Advisor at Global Mobility Partners, LLC. Michelle agreed to share her industry knowledge and immigration expertise on Mexico immigration alternatives.

Recap of the Proclamation 10014 Situation

The Trump Administration originally unveiled Proclamation 10014 on April 22, 2020. The proclamation has been referred to as “Suspension of Entry of Immigrants Who Present a Risk to the United States Labor Market During the Economic Recovery Following the 2019 Novel Coronavirus Outbreak.” On June 22, the Administration determined that this proclamation is subject to continuance through December 31, 2020. These proclamations result in limiting the entry of foreign nationals under several classes of immigration visas, including the following:

  • H-1B Specialty Occupations
  • H-2B Temporary Non-Agricultural Workers
  • H-4 Dependent Spouses and Unmarried Children Under 21
  • J-1 Exchange Visitors
  • L-1A Intracompany Transferee Executive or Manager
  • L-1B Intracompany Transferee Specialized Knowledge

Many technology industry companies  use these immigration visas widely, including industry leaders Apple, Google, Amazon, Salesforce, Facebook, and Twitter. Amazon Corporate LLC has filed 4,481 labor condition applications for H-1B visas from fiscal year 2017 to 2019, ranking at number 21 among all visa sponsors.

According to the Trump Administration’s intentions, Proclamation 10014 should drive these technology industry companies and many others to hire workers who are already living in the US. Still, many highly qualified workers are currently located in other countries, and companies may want to hire them domestically. Mexico immigration alternatives might provide another avenue for hiring highly skilled foreign nationals.

What are Mexico Immigration Alternatives?

US employers who want to hire foreign national employees may be able to use Mexico immigration alternatives. These alternatives will bring/keep the employee closer to the US than perhaps their country of origin. For employers that can meet the requisite criteria, a number of benefits may accrue, including:

  • Ease of business travel to/from Mexico
  • Lower costs and less time for business travel
  • Living in Mexico will increase foreign national employees’ experience and knowledge of other customs and cultures of North America
  • Mexico is the center of Latin America’s technology revolution
  • Startup GDL is a nonprofit organization working to make Guadalajara, Mexico’s second largest city, a leading technology hub

The United States-Mexico-Canada Agreement (USMCA) creates new opportunities for beneficial trade and economic growth throughout North America. USMCA is effective as of July 1, 2020. The agreement modernizes the 25-year-old NAFTA trade agreement between the three countries. U.S. Customs and Border Protection (CBP) administers the USMCA. As the second largest individual country trading partner to the US, Mexico already offers many strategic advantages including strong and established business relationships.

What are the Key Criteria?

At Global Mobility Partners, LLC, we have created a number of helpful documents that describe the requirements for various countries. For Mexico, the primary immigration category for temporary expatriates is known as a Temporary Resident Visa for Remunerated Activities (TRV). TRVs are for foreign nationals who are transferred to Mexico for a temporary assignment.

Our Mexico Work Authorization Summary Sheet notes three key criteria:

  • Assignment must be at least 180 days in duration
  • There must be a local sponsoring Mexican company holding current registration with the National Immigration Institute
  • The Mexican company must pay a portion of the employee’s salary

Mexico immigration alternatives such as the TRV are initially valid for 1 year, but may be extended:

  • Up to 4 years
  • Employers should initiate the application to extend temporary work status at least 6 months prior to expiration

Note: Our recommendation to start the extension application nearly coincides with the start date of the temporary assignment! Processing times may be lengthy and subject to change due to unforeseeable political situations.

What Should US Employers do About Mexico Immigration Alternatives?

The specific requirements for Mexico immigration alternatives require a thoughtful approach. We recommend US employers contact us before taking action. Important points for employers to note include the fact that spouses are not work authorized. However, non-married partners are allowed to accompany the employee, as are same-sex partners and children up to 17 years of age.

Employers should be sure the foreign nationals they seek to hire are aware of these and other specific requirements. Consultation with an expert from Global Mobility Partners, LLC is highly recommended. As a result, this will help US employers develop appropriate and effective solutions for Mexico immigration alternatives.

Conclusion

GMS’ team of global relocation experts has helped thousands of our clients learn about important issues such as visa and immigration options for their organization. Our mobility consulting team can help your company understand if it can leverage Mexico immigration alternatives with the assistance of the experts at Global Mobility Partners, LLC.

GMS was the first relocation company to register as a “.com.” The company also created the first online interactive tools and calculators, and revolutionized the entire relocation industry. As a result, 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 learn more about Mexico immigration alternatives, or give us a call at 800.617.1904 or 480.922.0700 today.

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.

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Global Mobility Global Relocation Global Relocation Tips Global Relocation Trends Visas and International Travel

Canada Immigration Alternatives in Response to Proclamation 10014

A young heterosexual Indian couple are together standing in front of a white brick wall. They smile at the camera and proudly hold up the Canadian flag.

US employers looking to hire foreign nationals but limited by Proclamation 10014 might consider Canada immigration alternatives. By leveraging “nearshoring,” employers can use a unique and creative temporary solution. Countries near the US often have immigration policies that are less restrictive than those of Proclamation 10014.

What are Canada Immigration Alternatives?

GMS spoke with Michelle LePage, Founder/Managing Partner and Senior Global Administration Advisor at Global Mobility Partners, LLC. Michelle agreed to share her industry knowledge and immigration expertise on Canada immigration alternatives.

What is Proclamation 10014?

On April 22, 2020, the Trump Administration unveiled Proclamation 10014. The proclamation is sometimes referred to as “Suspension of Entry of Immigrants Who Present a Risk to the United States Labor Market During the Economic Recovery Following the 2019 Novel Coronavirus Outbreak.” Additionally, as of June 22 this proclamation is subject to continuance through December 31, 2020. These proclamations serve to limit entry of foreign nationals under several classes of immigration visas, including:

  • H-1B Specialty Occupations
  • H-2B Temporary Non-Agricultural Workers
  • H-4 Dependent Spouses and Unmarried Children Under 21
  • J-1 Exchange Visitors
  • L-1A Intracompany Transferee Executive or Manager
  • L-1B Intracompany Transferee Specialized Knowledge

These classes of immigration visas include several that are in wide use among technology industry companies such as Google, Apple, Facebook, Salesforce, and Twitter. Google alone is responsible for over 6,500 applications for H-1B visas in 2019. In theory, Proclamation 10014 should drive these companies to hire workers that are already in the US. However, Canada immigration alternatives might provide another avenue for highly skilled foreign nationals.

What are Canada Immigration Alternatives?

US employers with foreign national employees may be able to use Canada immigration alternatives that will bring/keep the employee close to the US. For employers that can meet the requisite criteria, a number of benefits may accrue, including:

The ease of immigration into Canada versus the US makes Canada immigration alternatives a particularly viable option for US employers.

What are the Key Criteria?

At Global Mobility Partners, LLC, we have created a number of helpful documents that describe the requirements for various countries. For Canada, the primary immigration category for temporary expatriates is covered by an Intra-Company Transfer (ICT) Work Permit. ICTs are designed specifically for foreign nationals who are temporarily transferred by their employer to an affiliate office in Canada for a temporary work assignment. A major benefit of the ICT is that it does not require a Labor Market Impact Assessment.

Our Canada Work Authorization Summary Sheet notes three key criteria:

  • Employee must meet minimum education and/or experience requirements in order to qualify as either a Specialized Knowledge Worker or a Manager
  • Must be transferred to a branch, subsidiary, or affiliate of the current employer
  • Employee must have worked continuously for the current employer at least one year in the preceding 3 years in a position similar to the Canadian position

Canada immigration alternatives such as the ICT are initially valid for 1-2 years, but may be extended:

  • Up to 5 years for a Specialized Knowledge Worker
  • Up to 7 years for a Manager

What Should US Employers do About Canada Immigration Alternatives?

Because of the specific requirements in the immigration process, we recommend US employers contact us before taking action. There are several important points for employers to note. For example, Canada has strict limits on allowable activities for business visitors. Also, any criminal history may render a foreigner as inadmissible to Canada depending on the nature of the infraction and length of time passed. A thorough legal analysis will determine if this is applicable. Consultation with an expert from Global Mobility Partners, LLC, will help US employers to develop effective plans and solutions for Canada immigration alternatives.

Conclusion

GMS’ team of global relocation experts has helped thousands of our clients learn about important issues such as visa and immigration options for their organization. Our mobility consulting team can help your company understand if it can leverage Canada immigration alternatives with the assistance of the experts at Global Mobility Partners, LLC.

GMS was the first relocation company to register as a “.com.” The company also created the first online interactive tools and calculators, and revolutionized the entire 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 learn more about Canada immigration alternatives, or give us a call at 800.617.1904 or 480.922.0700 today.

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.

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Global Relocation Global Relocation Challenges Global Relocation Tips Global Relocation Trends Immigration Rules Job Market Job Seekers Relocation Challenges Talent Mobility United States Economy Visas and International Travel

Administration Limiting Immigration Visas due to High U.S. Unemployment Levels

The Trump administration will be limiting immigration visas in order to protect U.S. workers suffering from job losses during the COVID-19 pandemic. The order also bars groups of foreign workers. Several types of visas fall under the new executive order. The administration believes the new restrictions are necessary to counteract the impact of high unemployment levels.

The Proclamation issued on June 22, 2020, amends the Proclamation 10014 of April 22, 2020 to have an expiration of December 31, 2020. An important point to note in the Proclamation is that it only applies to any alien who, on the effective date of the Proclamation:

  1. is outside of the U.S.
  2. does not have a valid nonimmigrant visa
  3. does not have an official travel document other than a visa that permits travel to the US for entry

The Proclamation also requires three Secretaries to confer and consider any necessary modifications within 30 days of June 24 and every 60 days from then on. The three Secretaries that will review conditions limiting immigration visas are responsible for these U.S. Departments:

  • Homeland Security
  • State
  • Labor

Limiting Immigration Visas: Impact

The new executive order limiting immigration visas will impact several visa categories, including the following:

H-1B Specialty Occupations

H-1B visas are subject to the Trump administration’s skills-based immigration plan. They are also subject to the U.S. Citizenship and Immigration Services new online H-1B visa lottery registration system.

Basic Requirements:

  1. Theoretical and practical application of a body of highly specialized knowledge
  2. Bachelor’s Degree or higher level of education

H-4 Dependent Spouses and Unmarried Children Under 21

H-4 visas are a temporary, nonimmigrant visa for the spouses and unmarried children (under 21 years of age) of H-1B visa holders. In some cases the U.S. has provided work permits for H-4 visa holders that are valid as long as their H-1B visa holding spouse remains H-1B eligible. Visa holders in this category are dependent upon any issue limiting immigration visas for their H-1B visa holding spouse or parent.

Basic Requirements:

  1. Is the spouse (or child) of an H-1B nonimmigrant
  2. The H-1B nonimmigrant spouse:
  3. Must be the principal beneficiary of an approved Form I-140, Immigrant Petition for Alien Workers
  4. Has been granted H-1B status

H-2B Temporary Non-Agricultural Workers

Basic Requirements:

After USCIS approved Form I-129 Petition for a Nonimmigrant Worker, prospective H-2B workers who are outside the U.S. must:

  • Apply for an H-2B visa and then seek admission to the U.S.

or

  • Directly seek admission to the U.S in H-2B classification at a U.S. port of entry in cases where an H-2B visa is not required.

L-1A Intracompany Transferee Executive or Manager

Basic Requirements:

  1. The employee must have been working for one continuous year within the immediately preceding three years prior to U.S. entry
  2. Seeks to enter the U.S. to provide service in an executive or managerial capacity

L-1B Intracompany Transferee Specialized Knowledge

Basic Requirements:

  1. The employee must have been working for one continuous year within the immediately preceding three years prior to U.S. entry
  2. Seeks to enter the U.S. to provide services in a specialized knowledge capacity

Executive Order Limiting Immigration Visas Includes Exchange Visitors

The U.S. Department of State administers the exchange visitors program. The Department also designates the sponsors for exchange visitors. Many of the categories in the exchange visitor program cover students and teachers.

J-1 Exchange Visitors

J-1 classification is for those who intend to participate in an approved program for the purpose of teaching, instructing or lecturing, studying, observing, conducting research, consulting, demonstrating special skills, receiving training, or to receive graduate medical education or training.

Basic Requirements:

  1. Submit a Form DS-2019, Certificate of Eligibility for Exchange Visitor Status to the U.S. Department of State (no blank DS-2019 Forms exist; each is printed with a unique identifier)
  2. Upon obtaining Form DS-2019, apply for a J-1 visa through the U.S. Department of State at a U.S. Embassy or Consulate

What Should Employers do About the Administration Limiting Immigration Visas?

Companies should continue to stay informed about the administration’s interest and activities limiting immigration visas. This new executive order may have a significant impact on an employer’s ability to recruit and hire foreign talent. As a result, knowing what to expect can help companies determine how to leverage strategic resources and respond accordingly to meet corporate objectives.

Companies should also work with a knowledgeable and experienced Relocation Management Company (RMC). RMCs can help companies design a robust talent acquisition program. Also, RMCs can help a company design an industry-leading relocation program that will give them a competitive advantage in the global market for highly skilled employees.

Conclusion

GMS’ team of global relocation experts has helped thousands of our clients understand how to respond effectively to issues regarding travel and immigration. Our team can help your company understand how to develop plans to mitigate the impact of the administration limiting immigration visas.

GMS was the first relocation company to register as a .com. The company also created the first online interactive tools and calculators, and revolutionized the entire 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 interest in learning more about the Trump administration limiting immigration visas, or give us a call at 800.617.1904 or 480.922.0700 today.

Request your complimentary Visa Program Assessment

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Domestic Relocation Domestic Relocation Challenges Domestic Relocation Tips Domestic Relocation Trends Global Relocation Global Relocation Challenges Global Relocation Tips Global Relocation Trends Relocation Challenges

Flexible Transportation Solution for a Changing Mobility Landscape

The young Family is enjoying their new Home

Many GMS clients currently reviewing their relocation policies and international assignment programs find they need a flexible transportation solution. Responding to issues around the COVID-19 pandemic, companies are recognizing that shared and public transportation may not provide an optimal solution.

Issues of concern may center on proximity to others, sanitation and cleanliness, or reduced service levels impacting commuting patterns. As a result, the need for a flexible transportation solution for transferees has become a priority as both the return to work and remobilization of talent begins to unfold.

GMS spoke with Afia Arneja, Senior Vice President, International AutoSource (IAS). Afia agreed to share her expert guidance on this topic.

Growth Ahead for Short Term Assignments, Long Term Business Travel

Afia believes the relocation industry will experience an increase in short term assignments and long term business travel due to the current pandemic. These aspects of relocation may be driven by different factors. However, both short term assignments and long term business travel will require employers to address transportation for the employee in the new location. IAS has seen an increase in requests from companies who have transferees experiencing longer trips and challenges with public transportation options.

ReadyDrive Program Provides Flexible Transportation Solution

Employees who are on travel or assignment need some form of transportation to ensure they are able to commute and travel to work. However, not all will require permanent vehicle ownership in their new location. Many local government officials are asking residents to avoid using public transit. Afia notes that IAS has an ideal solution with their ReadyDrive program. The ReadyDrive program offers a unique service to support this growing group of global talent.

What is the ReadyDrive Program?

The ReadyDrive program is a worldwide car rental program that Afia states was created exclusively by IAS for the global relocation industry. The program provides an all-inclusive, flexible, and full service rental car option for both international and domestic assignees, as well as business travelers.

The ReadyDrive program is an ideal solution for:

  • Any assignment lasting 30 days or more
  • International short term assignments
  • Domestic short term assignments
  • Any assignee who may not require a traditional car lease or loan
  • Any assignee who may be on an assignment less than 2 years
  • Newly arrived employees who may receive the benefit of a monthly car rental from their employer
  • Contract workers
  • Project workers
  • Long term business travelers

Employees on any of these types of assignments can use the ReadyDrive program to ensure they are mobile from the moment they arrive in the new location.

What are the Benefits of the ReadyDrive Program as a Flexible Transportation Solution?

Afia notes the ReadyDrive program offers several distinct benefits to support employers and their employees:

  • Globally Minded – ReadyDrive offers rental car solutions in over ten thousand locations across the US and in over 150 countries worldwide.
  • Cost Effective – With preferred rates regardless of location and season, the competitive pricing is fixed, with structured pricing globally. This offers both assignees and companies a resource for managing budgets and costs. There is no seasonal inflated pricing, or popular location surcharges.
  • Comprehensive insurance – Included with each monthly rental is collision and 3rd party liability coverage. Rental car insurance can be extremely expensive with monthly costs totaling hundreds of dollars. By comparison, IAS offers coverage at no cost to assignees.
  • Unlimited mileage per month – No mileage restrictions ensure renters are free to drive as needed.
  • Spouse and coworker sharing – Renters may share the vehicle with a spouse or coworker who will be automatically covered under the insurance. There are no additional driver fees.
  • Scheduled vehicle maintenance – Long term renters will enjoy a well-running vehicle with convenient options for vehicle exchange and regular service.
  • Basic roadside assistance – No charge roadside assistance. This supports any driver and ensures vehicle towing and replacement if there are any mechanical failures with the vehicle.
  • Safety – There are many global directives for individuals to avoid public transportation. IAS rental partners take extensive safety measures to ensure all renters have clean, safe, and reliable transportation.

ReadyDrive Team Members Manage Every Step of the Rental Process

The ReadyDrive program offers a flexible transportation solution that is unparalleled in the mobility industry. Afia states that ReadyDrive team members manage every step of the rental process with assignees, from initial quotation, through rental bookings, and finally with vehicle return. The ReadyDrive team provides ongoing support to customers and companies with all aspects of their rental experience, including rental extensions, incidents, claims, and more. The ReadyDrive program provides business travelers and assignees with high touch service throughout the entire rental period.

Customer Comments Show Appreciation for a Flexible Transportation Solution

Afia also shared some recent customer comments from participants in the ReadyDrive program. She believes the comments show how the ReadyDrive program results in higher assignee and business traveler satisfaction:

  • “Thank you for the follow-up. The experience was great. The pick-up was quick and fast.” 
  • “Everything was perfect, the car and especially the kindness and professionalism of the agent who assisted me yesterday when I picked the car up.” 
  • “Everything is great so far. I’m satisfied with the vehicle and the service.” 
  • “Yes, all is well with the car and the service was excellent!”

IAS offers employees a flexible transportation solution that will meet all of their requirements and more. As employers begin mobilizing their workforces, the ReadyDrive program is an ideal solution for local transportation needs.

What Should Employers do?

Employers with employees on short term assignment or traveling for business should look into a flexible transportation solution. The current COVID-19 pandemic results in guidelines that support clean, non-public transportation options. IAS’s ReadyDrive program is an ideal solution for local transportation. IAS provides superior solutions that give employees peace of mind for their vehicle needs.

Conclusion

GMS’ team of corporate relocation experts has helped thousands of our clients understand how to identify assignee and business traveler needs. Our team can help your company understand how to provide a flexible transportation solution through the IAS ReadyDrive program.

GMS was the first relocation company to register as a .com. The company also created the first online interactive tools and calculators, and revolutionized the entire 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 need for a flexible transportation solution for assignees and business travelers, or give us a call at 800.617.1904 or 480.922.0700 today.

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
Global Mobility Global Relocation Global Relocation Challenges Global Relocation Tips Global Relocation Trends

Totalization Agreements Help Employers Avoid Paying Duplicate Social Security Taxes

Business woman in the City of London
A confident business woman in the City of London holding a cup of coffee and a tablet device

Totalization Agreements between the United States and other countries help employers avoid paying duplicate social security taxes. But how can such a situation arise? First, ask these questions:

  • Are you a U.S. employer with operations in other foreign countries?
  • Are you sending your employees to work temporarily across borders?

If the answer is yes to these questions, your company and its employees may benefit from bilateral social security agreements. These are agreements that the U.S. has concluded with certain other countries to address social security taxes. As a result, these agreements are usually called Totalization Agreements, and they eliminate dual country social security taxation.

GMS spoke with Erika Beddow, Business Development Manager at Global Mobility Tax, LLP (GMT).  Erika has over 20 years of experience in public accounting and in the global mobility industry. Erika agreed to share her expert guidance on this issue.

What are Bilateral Social Security Totalization Agreements – and Who is Covered?

Sending employees to work on a temporary assignment outside of the U.S. can trigger social security taxation in the other country in addition to income taxation. The employer and employee will likely have social security tax liabilities in both the home and host country on the same earnings causing double taxation. The U.S. has entered into Totalization Agreements with several countries designed to eliminate the double taxation that can occur with respect to social security taxes.

How Does an Employer Apply for Relief Under U.S. Totalization Agreements?

While both employer and employee are responsible for reporting income and remitting social security taxes in both home and host countries, there is relief for double taxation for social security taxes. If the U.S. has a Totalization Agreement with the country your employee is working in, the company can apply for a “Certificate of Coverage” from the United States Social Security Administration.

The Certificate of Coverage serves as evidence that the employee temporarily working in another country meets the requirements of a Totalization Agreement shared by both countries. As a result, it allows both the company and the individual to be exempt from paying social security taxes in the country where they are working.

How long is a Certificate of Coverage Good For?

Once a Certificate of Coverage has been issued, it is good for the length of the assignment. It will typically max out at 5 years.

Are There Risks for Non-Compliance?

Yes, there are risks for non-compliance. Similar to the risks associated with not paying income tax, a company and/or individual may face corporate or individual fees, interest and other charges for not being compliant in paying social security taxes.

How Should an Employer Identify Their Specific Risks and Plan Strategically?

Employers should begin to identify their specific risks by planning early in the process. They should also engage with experts that understand Totalization Agreements. GMT can assess whether a Certificate of Coverage is beneficial. This will help employers to plan strategically, and ensure compliance while providing tax savings opportunities.

A thorough review of the assignment details and documents will help unlock opportunities. Applying for a Certificate of Coverage eliminates double taxation of social security taxes. This allows both the employer and employee to remain on the home country social security tax program. As a result, this also minimizes worldwide social security taxes.

What Does an Action Plan for Dealing With Totalization Agreements Consist of?

Employers should identify the employees that are eligible to apply for the Certificate of Coverage. Then, the next step is to submit the application for the Certificate of Coverage with the Social Security Administration. Employers should plan for how they will track the duration of the Certificate of Coverage. A company may need to send an employee to a location where there is no Totalization Agreement in place. In these situations, GMT can provide social security tax cost estimates and other advice. This will help employers to strategize and remain compliant.

GMT can assist employers with tracking employee information, including:

  • Assignment location
  • Duration
  • Certificate of Coverage availability

Employers would have ready access to this information through GMT. It is also used to ensure timely filing and renewal of the Certificate of Coverage, as needed.

GMT has a quick guide in PDF form for employers to help them understand some of the tax issues surrounding Certificates of Coverage and Totalization Agreements. GMT is always ready to help employers learn more about tax compliance and building internal processes to support their mobile workforce, and Erika states that she is available for preliminary consultations.

Conclusion

GMS’ team of domestic relocation experts has helped thousands of our clients learn about important issues such as tax compliance for their organization. Our mobility consulting team can help your company understand if it can eliminate double taxation for social security taxes through the benefit of Totalization Agreements with the assistance of the experts at Global Mobility Tax, LLP.

GMS was the first relocation company to register as a .com. The company also created the first online interactive tools and calculators, and revolutionized the entire 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 learn more about Totalization Agreements and Certificates of Coverage, or give us a call at 800.617.1904 or 480.922.0700 today.

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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Immigration Application Fees May Increase to Cover USCIS Anticipated Shortfall

An Indian husband and wife are indoors in a new home. They are wearing Indian-style clothing. They are using a laptop computer and writing with a pen and paper.

U.S. Citizenship and Immigration Services (USCIS) is requesting to have a 10% surcharge added to immigration application fees. As a result of the COVID-19 pandemic, USCIS is experiencing a large decline in revenue from processing applications. The agency believes receipts will decline by over 60% through 2020. The U.S. restrictions on immigration due to COVID-19 has dramatically limited the number of applicants. However, USCIS is nearly entirely funded by these fees.

USCIS FY 2019 Final Statistics

For the FY 2019, USCIS breadth of services shows the expansive reach of the agency. Receiving immigration application fees is just one part of the agency’s mission.

Overall, in FY 2019 USCIS:

  • Granted lawful permanent residence to 577,000 individuals
  • Naturalized 834,000 new citizens
  • Received 2.2 million employment authorization applications
  • Approved 500,000 petitions for non-immigrant workers
  • Processed 40 million cases through E-Verify
  • Granted immigration relief to over 25,000 individuals

FY 2019 represents an 11-year high in new oaths of citizenship for the USCIS. However, the number of applications pending for green cards declined by 14%, and the number of applications for naturalizations declined by 12%.

What are Green Cards?

Green Cards, officially known as “Permanent Resident Cards” let the holders live and work in the U.S. on a permanent basis. The process to apply for a Green Card depends on the individual’s specific situation. Eligibility requirements vary based on the application’s submission category.

USCIS notes that most people who apply for a Green Card will need to submit at least two forms, along with the correct immigration application fees. Depending on the situation, the forms may include one or more of the following:

  • I-130 Form, Petition for Alien Relative
  • I-140 Form, Immigrant Petition for Alien Worker
  • I-730 Form, Refugee/Asylee Relative Petition
  • I-589 Form, Application for Asylum and for Withholding of Removal

Other USCIS petitions include:

  • I-360 Form, Petition for Amerasian, Widow(er), or Special Immigrant
  • I-526 Form, Immigrant Petition by Alien Entrepreneur
  • I-918 Form, Petition of U Nonimmigrant Status
  • I-929 Form, Petition for Qualifying Family Member of a U-1 Nonimmigrant

As a result, fees for forms can add up quickly. Adding a 10% surcharge on immigration application fees may increase the total amount of fees significantly, depending on the individual as well as their family members’ situations.

What are the Current Immigration Application Fees?

USCIS has several forms with associated fees depending on the specific applicant need. To apply for naturalization, applicants must submit Form N-400, Application for Naturalization. There is an online portal to help applicants calculate their total fees. Form N-400 fees include a fee for the form itself, and another fee for biometrics. An average Form N-400 fee includes:

Biometrics$85
N-400$640
Total$725

What will the Immigration Application Fees rise to?

If the 10% surcharge is added to immigration application fees, the total cost to file Form N-400 may rise by $72.50 to a total of $797.50 (assuming biometrics fee also rises by 10%). If an employer has several employees impacted by this surcharge, the increase in costs may be significant.

What Does This Mean?

Depending on the form, the 10% surcharge may be as low as $6.50, or as high as $1,779.50. In some cases, these fees may be paid by employers who employ H-1B visa holders. Employers should review the fees for the various forms to understand if the 10% surcharge may cause significant changes to budgets and costs associated with compliance to USCIS requirements.

 What Should Employers do About Immigration Application Fees?

Employers should work with a knowledgeable and experienced Relocation Management Company (RMC). RMCs with experience will be able to help employers understand how to identify costs and other issues that may arise from the USCIS surcharge request.

The RMC will also have knowledge of a number of alternatives that may provide employers with valuable and cost-effective solutions. As a result, employers may be able to mitigate the impact of the 10% surcharge and other issues surrounding immigration as it relates to COVID-19 restrictions.

Conclusion

GMS’ team of global relocation experts has helped thousands of our clients understand how to respond effectively to issues regarding the USCIS and immigration. Our team can help your company understand how to plan accordingly for increases in immigration application fees.

GMS was the first relocation company to register as a .com, created the first online interactive tools and calculators, and revolutionized the entire 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 interest in learning more about how to plan for increases in immigration application fees, or give us a call at 800.617.1904 or 480.922.0700 today.

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.

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Border Restrictions in the United States to be Extended Indefinitely

American and Canadian flags waving at sunset

The Centers for Disease Control and Prevention (CDC) has amended and extended a rule that allows the Trump administration to extend border restrictions for an indefinite length of time. The rule, effective May 19, is officially known as the “Amendment and Extension of Order Suspending Introduction of Certain Persons from Countries Where a Communicable Disease Exists.” The original order was issued on March 20, and then was first extended on April 20.

What are the Specific Areas that the Order Covers?

The order’s amendment is to clarify the areas that are covered by the order. Specifically, the order applies to U.S. Customs and Border Protection managed areas and installations including:

What is the Duration of the Order Implementing Border Restrictions?

As written, the duration of the order will depend on the determination of the Director of the CDC, Robert R. Redfield, MD, as to the following:

  1. The Director determines the danger of further introduction of COVID-19 into the US Is no longer a danger to public health
  2. The continuation of the order for border restrictions is no longer necessary to protect the public health

Who does the Order Apply to?

The order’s wording is specific, and states that it applies to all persons travelling from Canada or Mexico, regardless of the country of origin. This is an important point that greatly expands the range of the order and its impact on travel and immigration. A significant number of expulsions have been occurring at the border since the first order was put into place.

Are there Exceptions to the Order?

There are a few exceptions to the order for border restrictions. Certain persons will be able to pass through a POE or a Border Patrol Station. However, the U.S. Department of State has issued a Global Level 4 Health Advisory: Do Not Travel guidance. In general, people should avoid unnecessary travel. The exceptions to the order include:

  • U.S. Citizens
  • Lawful permanent residents, their spouses, and children
  • S. members of the armed forces, their spouses, and children
  • Associated personnel of the armed forces, their spouses, and children
  • Persons from foreign countries:
    • With valid travel documents arriving at a POE
    • In the visa waiver program, not subject to travel restrictions, arriving at a POE
  • Persons determined by customs officers to be excepted on a case-by-case basis subject to overall circumstances such as interests related to:
    • Law enforcement
    • Officer and public safety
    • Humanitarian
    • Public health

Ultimately, the U.S. Department of Homeland Security will consult with the CDC to determine how to approach these case-by-case exceptions to ensure consistency.

What Should Employers do About Border Restrictions?

Companies should continue to stay informed about U.S. border restrictions. These restrictions may have a significant impact on an employer’s ability to recruit and hire foreign talent. As a result, knowing what to expect can help companies determine how to leverage strategic resources and respond accordingly to meet corporate objectives.

Companies should also work with a knowledgeable and experienced Relocation Management Company (RMC). RMCs can help companies design a robust talent acquisition program. Also, RMCs can help a company design an industry-leading relocation program that will give them a competitive advantage in the global market for highly skilled employees.

Conclusion

GMS’ team of global relocation experts has helped thousands of our clients understand how to respond effectively to issues regarding travel and immigration. As a result, our team can help your company understand how to develop plans to mitigate the impact of US border restrictions.

GMS was the first relocation company to register as a .com. The company also created the first online interactive tools and calculators, and revolutionized the entire 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 interest in learning more about the US border restrictions and their impact on travel and immigration, or give us a call at 800.617.1904 or 480.922.0700 today.

Request your complimentary Visa Program Assessment

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Best Travel Tools for Relocation Programs

Business meeting on the train

Companies should incorporate the best travel tools into their corporate relocation programs. Global Mobility Solutions’ industry benchmarking study shows that only 23% of Relocation Management Companies (RMCs) provide any form of travel tools. GMS is a leader in the relocation industry on this point, providing a full range of useful resources for transferees.

Industry Benchmarking Studies Highlight Best Travel Tools

GMS has recently published several Industry Benchmarking Studies to help companies learn whether their company’s relocation program is designed following industry-specific best practices. There are many benefits to a corporate relocation policy benchmarking. For example, companies can learn whether their relocation program offers the best travel tools as compared to those offered by competitors in their specific industry.

The relocation industry’s best practice is to schedule a relocation program and policy review every 12 to 18 months to ensure your company maintains its competitive position. This review will also help your company learn about the relocation industry’s many solutions to meet ever-increasing client requirements and employee needs.

Five Best Travel Tools for Relocation Programs

There are five best travel tools for relocation programs. All of these tools can be designed to work seamlessly with each client’s travel policy and relocation programs:

1. Compliance to Company Travel Policy

An online travel tool quickly and easily communicates guidelines to employees. Best travel tools for compliance also show specific features and options for each client’s policy. Limits that match policy guidelines should also be shown, to help employees choose the most appropriate options.

2. Tracking Travelers (GPS)

Tracking employee travel is important for several reasons. Companies need to ensure the safety of employees during their travels, so knowing where they are at any given time is extremely valuable. Also, companies need to track the number of days-in-country for reporting requirements.

3. Compliance for Entry, Re-entry, and Taxes

Companies need to track the number of days an employee stays within a country for reporting requirements that may relate to tax issues, or specific work permits. Also, countries may have specific entry/re-entry requirements.

4. Best Travel Tools Bill Direct to Client, or to GMS

Many companies appreciate the option of direct billing. Billing travel costs directly to the client, or to GMS with no markup back to the client, has many benefits:

  • Paperwork reduction
  • Administrative cost reduction
  • Simplified processes
  • Employees don’t need to submit for reimbursements
  • Itemized invoices show all travel expenses

5. Custom Reporting Options

Comprehensive reports that show every element of travel and costs are helpful to clients for managing travel budgets and programs. Reports that are customizable can help measure program effectiveness and readily highlight areas that are out of compliance.

How Can Companies Learn About the Best Travel Tools?

Companies should review their current travel policy and relocation program to determine if they are using the best travel tools. RMCs with expertise and experience in travel policies for relocation programs are a valuable resource for policy reviews. Companies should schedule a policy review on a regular basis to learn about the latest features to streamline and enhance reporting and compliance requirements.

Conclusion

Global Mobility Solutions’ team of corporate relocation experts has helped thousands of our clients benchmark their relocation program and incorporate the best travel tools into their business travel policy. Our team can help your company understand how to provide the best travel tools for your traveling employees.

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

Learn how to incorporate the best travel tools into your company’s relocation program. Contact our experts online or give us a call at 800.617.1904 or 480.922.0700 today.

Request your complimentary relocation policy review

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Travel Guidance: Staying Ahead of the Curve

A multi-generation African-American family sitting together on a park bench on a sunny autumn day. A 10 year old boy is hanging out with his father and his great grandfather.

In the midst of urgent travel guidance from the United States, federal agencies, and other nations, employers should practice due diligence in assisting their employees on assignment. The U.S. Department of State has issued a Global Level 4 Health Advisory: Do Not Travel. Even within the United States, additional travel restrictions are arising. For example, the state of Texas has implemented travel restrictions on those who want to enter the state. Several other locations may be considering local restrictions. Many US cities have “shelter-in-place” mandates aiming to protect citizens most at risk during the COVID-19 pandemic.

Employees on Assignment During Travel Guidance

Worldwide ERC® reports that over 13,500 US citizens have requested assistance from the State Department to return to the United States. Such assistance is becoming extremely challenging as airlines reduce their number of flights, and other nations close their borders to travel. Major regions such as the European Union are developing plans to restrict non-essential travel from other countries.

For employers that have employees on assignment in other nations, support and communication are critical. It is possible that some employees may need to remain in place for an extended period of time. Employers should be sure to inform employees on all aspects of their situation. They should also provide as much support as possible, so the employees and their family members can have peace of mind.

Relocation Management Company Resources for Global Assignees

Relocation Management Companies (RMCs) have a wealth of knowledge, experience, and resources to provide assistance for global assignees. GMS recently shared information with its clients to cover many of the issues surrounding travel guidance and how to provide support for global assignees.

Important Points for Employers to Consider for Global Assignees Include:

  • Extending temporary housing for those employees on global assignment who need extra time to determine how to repatriate to their country of origin
  • Extending relocation benefits to allow for more than one year
  • Many clients have initiated a global assignment but are asking their employees to work at the home location for the time being. Clients need to be thoughtful about how this may impact visa and taxation issues. GMS recommends clients consult their tax and immigration provider for support
  • Approving additional tenancy management, home maintenance, and grocery delivery when necessary
  • Since almost all business travel has been restricted, restrict all home leave trips for global assignments as well
  • Due to travel guidance restrictions, offer virtual services such as destination support and settling in services, immigration assessments, and visa country spotlights

What Does This Mean?

During the COVID-19 pandemic, travel guidance is constantly changing. Employers may have global assignees impacted in several ways by various restrictions, border closures, and reduced means of transport. As a result, employers should work to ensure continual and up-to-date communications with employees on global assignment. They should also consider revising several aspects of their relocation and travel policies to ensure employees receive as much support as possible as they try to navigate changing travel guidance, restrictions, and closures.

What Should Employers Do About Travel Guidance?

Employers with global assignees impacted by travel guidance, restrictions on movement, and other issues impacting their mobility should speak with an experienced and knowledgeable RMC. RMCs with established local presences and vast networks of top providers offer valuable insight into how best to communicate issues and resolve difficult situations. They can also provide the necessary resources and support for employees and their family members. Experienced RMCs will be able to offer technology and resources directly, locally, and even virtually as each individual situation requires.

Conclusion

GMS’ team of global relocation experts has helped thousands of our clients understand how to respond to changing travel guidance, border closures, and other issues and restrictions affecting global workforce mobility. Our team can help your company understand how to assist global assignees with virtually any relocation issue. As a result, this will help them and their family members have peace of mind, and be able to focus on their assignments.

GMS was the first relocation company to register as a .com. The company also created the first online interactive tools and calculators, and revolutionized the entire 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 learn more about how our company can help your global assignees during times of continually changing travel guidance and other restrictions, or give us a call at 800.617.1904 or 480.922.0700 today.

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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