Tag: relocation package

How to Negotiate a Relocation Package

Post author By Gina Crittenden
Post date February 13, 2024

two women discuss relocation packages in a job interview — The mature adult female business owner smiles encouragingly at an unrecognizable female job applicant.

When interviewing for a new job, make sure your relocation needs are met

Negotiating a relocation package involves understanding what is covered, discussing expectations with your employer, and being willing to compromise. Read on for a comprehensive look at arranging a relocation package with your employer so you can confidently navigate your move with ease and peace of mind.

Understanding what is covered in a relocation package is crucial before negotiations. Typically, a relocation package includes moving costs, temporary housing, transportation, and even assistance with selling or renting your current home. It is essential to clearly understand what expenses will be covered and what will not be so that you can plan your budget accordingly.

Negotiating a relocation package requires a certain level of flexibility and compromise. While it is essential to advocate for your needs, it is also crucial to understand that your employer may have limitations or constraints. Be open to discussing alternatives or finding creative solutions that benefit both parties. For instance, if your employer cannot cover certain expenses, they may be willing to provide a higher salary or additional benefits to compensate.

Remember, maintaining a positive and collaborative attitude is critical to successful negotiations. Approach the conversation with a willingness to find common ground and reach a mutually beneficial agreement. Be prepared to provide supporting documentation or evidence to justify your requests, such as cost estimates for moving services or rental prices in the new location. This will demonstrate that you have done your research and are making reasonable demands.

Here are some points to cover when negotiating for relocation assistance:

Understand What Relocation Expenses are Covered

Employers typically offer a relocation package to assist with the costs associated with moving. This package can encompass various expenses, such as:
– Costs relating to travel, including transportation and hiring professional movers.
– Assistance with selling your current residence or purchasing a new one.
– A lump sum of money is provided to cover general moving expenses.
– Support in obtaining a work visa if necessary.

It is crucial to clarify which expenses will be covered when negotiating your relocation package with your employer. Understanding the specifics beforehand will allow you to plan accordingly and ensure a smoother transition during the relocation process. Whether you must pay for these expenses upfront or are eligible for reimbursement, having this information beforehand is essential.

Discuss Your Expectations

Being honest and open with your employer regarding your expectations and desired outcomes is crucial. Communicate the specific assistance you require from them, and provide any relevant information that could impact their decision-making process. Additionally, it is advisable to inquire about the company’s policy on relocation and the usual support provided. By clarifying these details, you will better understand the extent of their offer and determine the level of additional support you may need. For example, you might need extra time off for the relocation or other funds to cover temporary living expenses.

Do Your Research

After you have clearly outlined the particulars of your relocation and thoroughly discussed your expectations with your employer, it is crucial to delve into the specifics. Take the time to research the cost of living in your prospective new city, and be ready to request additional assistance if it significantly surpasses your current location.

It is advisable to be upfront and straightforward about your specific requirements for the relocation package, whether it be extra time off, a salary increase, or supplementary funds to cover expenses.

One crucial aspect to consider when negotiating your relocation package is the cost of living in the new location. Research the average housing prices, groceries, transportation, and other essential expenses to understand how far your relocation package will stretch. This will help you determine if the financial assistance provided by your employer is sufficient or if you need to negotiate for additional support.

Be Open to Compromise

Final Negotiation Tips

Additionally, it is crucial to familiarize yourself with the local laws and regulations of the new city or country. This includes understanding the visa requirements, tax obligations, and other legalities affecting your relocation. You can avoid any surprises and ensure a smooth transition by being well-informed.

Furthermore, don’t hesitate to reach out to colleagues or contacts who have previously relocated to the same destination. They can provide valuable insights and advice based on their own experiences. They may also recommend reliable real estate agents, schools, or other services to assist you during your move.

Lastly, remember to take care of yourself throughout the relocation process. Moving to a new place can be emotionally and physically draining, so prioritize self-care. Stay organized, maintain a positive mindset, and lean on your support network for assistance.

In conclusion, negotiating a relocation package requires thorough research, practical communication, and a clear understanding of your needs. By following these steps and considering all the necessary factors, you can ensure a successful and stress-free relocation experience.

Global Mobility Solutions (GMS) has provided clients with the best relocation services since 1987. Our expert team can assist in getting employees from point A to point B, no matter how far the move is. Contact us today to set up a free policy review!

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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.

Tags relocation benefits, relocation package, relocation services

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Company Relocation Policy Checklist for 2024

Post author By Sam Hoey | CRP, GMS
Post date December 12, 2023

Use this checklist to perform a review of your company relocation policy — Aerial view of the Bay Bridge in San Francisco, CA

Things to keep in mind when reviewing Relocation policies

Offering relocation benefits to new or promoted employees is a great way to ensure that your company can hire the most qualified candidate for the position. As the new year is now upon us, HR managers should start to review their company’s relocation policies. Most relocation assistance companies recommend checking and renewing policies annually, usually in Q4. As the global mobility industry sees continuous change over time, reviewing policies at least once per year helps ensure that the relocation policies offered are still competitive within your industry, and ensure cost efficiencies are adapted to your current business environment.

Whether you are going out to bid for a new relocation company or just want to ensure that your relocation policies are above the standard, use this 2024 relocation policy checklist to ensure all of the joint pain points are met.

Our recommendations for global mobility planning cover both short-term and long-term initiatives. Here is the 2024 relocation checklist:

Short-Term Assignment Policy Review Points

Identify all instances relating to immediate and upcoming needs for your relocating employees, including visas, work permits, immigration status changes, and cross-border travel. Determine appropriate action plans for each case.
Document policy exceptions relating to the pandemic. Consider adjusting the company relocation policy or adding an addendum to account for the effects of the pandemic and other major relocation disruptions.
Review all assignments that were placed on hold during 2022 and 2023. Determine if they are still critical to corporate objectives for 2024. If yes, implement a talent acquisition plan.
Examine all data sources and information flows for integrity and accuracy. Form a relocation integration program project team to Identify instances that can be automated with effective relocation advanced programming interfaces (APIs).
Identify current short-term assignments that can be further extended in support of corporate objectives. This will reduce costs relating to repatriation and re-assignment.

Long-Term Assignment Policy Review Points

Determine areas in the relocation process where the company owes a higher duty of care than previously expected. Examples include programs and costs relating to transferees unable to return to their original locations due to pandemic-cause restrictions.
Correlate talent acquisition and management programs to ensure consistency in achieving objectives across the company.
Leverage virtual relocation solutions that enhance the transferee’s experience and provide added value to the company.
Focus on process simplification and cost reduction. Use the lessons from 2020’s expanded virtual relocation solutions to modify your company relocation policy to adopt new technologies and procedures.
Look to future corporate initiatives to determine appropriate company relocation policies, plans, and budgets. Ensure alignment with company objectives relating to growth, expansions, mergers, acquisitions, and divestitures.

Get in Touch with GMS for More Helpful 2022 Tips

At GMS, we understand that each company runs differently, meaning everyone will have different needs regarding relocation benefits. Our team has been helping companies construct some of the most competitive relocation packages for over 25 years. With 2024 now here, it’s time to ensure all your bases regarding relocation are covered. GMS recommends that clients thoroughly review their company relocation policy every 12 to 18 months. Following all the impacts of the COVID-19 pandemic on relocation, this review is critically important to ensure your company can respond effectively for regulatory, tax, and reporting purposes.

If you found this company relocation policy checklist useful, please refer to our Knowledge Base for more helpful blogs, case studies, and industry news. If you want to continue success with your employee relocation program and relocation packages, please feel free to reach out to Global Mobility Solutions for all your corporate relocation needs.

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Tags checklist, company relocation policy, global mobility, long term, long term assignment policy, Relocating Employees, relocation package, relocation programs, short term, short term assignment policy

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What Should be Included in New-Hire Relocation Packages?

Post author By Sam Hoey | CRP, GMS
Post date July 26, 2022

new hired employee being greeted by boss — Colleagues enjoying to meet and talk in the office

What does an employee relocation package typically include?

There are numerous approaches to take when putting together employee relocation packages, but in the end, every company is trying to do the same thing; that is, to find the perfect middle ground on relocation benefits that don’t blow the company’s budget while also being lucrative enough to attract the right candidate for the open position.

It’s not uncommon for a company to try to construct relocation policies on their own before realizing they are in over their head and need the assistance of a relocation management company (RMC). RMCs give insight and can provide statistics and studies that help companies form relocation packages that land in that happy middle ground mentioned before.

But even working with an RMC, it can be hard to know what should be included in talent mobility options offered to newly hired employees. So here’s a look at some of the common aspects that should be covered in relocation packages:

House-Hunting Trips

That’s why it is recommended that companies cover at least one or two house-hunting trips. These trips allow employees to scoop out their new destination and view some homes with a specialized relocation agent. Employees can also check out some schools for their kids.

Temporary Housing

Temporary housing, also known as corporate housing, is usually given from 14 to 90 days. This can help the employee transition to the moving process. There are a few different factors that require a new-hired employee to need corporate housing. The most common is if the relocating employee’s new home isn’t ready. Another common is if the employee could not purchase a place to live within the timeframe given.

RMCs can help companies set up corporate housing leases with apartment complexes or townhome owners so that it is affordable for the company and extremely helpful for the transferee.

Family and Spousal Support

It’s not always just the employee moving, and it can be their whole family. Language and spousal career support add some family assistance benefits to relocation packages. Language training is an obvious one for those who are relocating internationally with kids. Giving them the resources to learn a new language can help them in school.

And the transferee’s spouse may have to leave their job when the relocation occurs. This is why it can be beneficial for the family if the relocation policies include career services such as help with the job hunt and resume review assistance.

Real Estate Assistance

Employees’ main stress points about relocating are selling and buying a home. Real estate transactions can take weeks or months, making it a scary process when the move takes place in a short period. Any reputable RMC would recommend relocating employees with some home buying and selling programs.

Three of the most used real estate assistance programs RMCs refer to are Direct Reimbursement, Buyer Value Option (BVO), and Guaranteed Purchase Offer (GPO). Of course, each will have different advantages depending on the transferee’s needs. But giving the new-hired employee some help in either buying or selling their home can help assure they can get to their new destination promptly.

Shipping of Household Goods

When people think about the relocation process, it is the only part that comes to mind but moving a transferee’s household goods is a crucial stage so it should not be overlooked. Packing, moving, and storing the employee’s furniture and belongings should be done by a reliable moving professional who can provide a great price. Every transferee’s nightmare is that the movers will not show up on the right day or their stuff will get broken.

Any knowledgeable RMC will get multiple quotes from moving companies for the transferee. This way there are options to assure both the company and the employee are being taken care of for costs and customer service.

How Much Should Companies Spend on Relocation Packages?

That is the age-old question that is hard to answer. Too many variables must be reviewed before a realistic quote can be given on how relocation costs should be allocated. Some variables on this include number of relocations per year, distance on the moves, what relocation services the company is willing to cover, and visa and immigration services needed?

One of the best ways to keep relocation costs under control is to update relocation policies every 12 to 16 months at a minimum. Service prices change so much that if companies are not updating their relocation packages, they could be spending unnecessary money or in some cases, they might not be spending enough money, forcing qualified candidates to walk away from the job.

GMS Will Help Put Together the Best Relocation Package

Global Mobility Solutions (GMS) is the industry leader in employee relocation. Our expert team has been assisting companies put together comprehensive and competitive relocation packages for 30-plus years. We listen to your needs and then tailor relocation policies that best suit those needs at a cost-efficient price so that you can get your employees from point A to point B in a seamless transition. In addition, we will make sure that all the relocation services you need are included in all new hire’s offer letters.

GMS strives to be the best in customer service, so we will assign a relocation coach to each of your employees to help in the relocation process every step. If you’re ready to hear more about how GMS can help, contact us today to schedule a free consultation. And to get other questions you may have about talent mobility answered, check out our Knowledge Base.

We're Here to Help! Request a Courtesy Consultation

Tags Domestic Relocation, relocation, relocation package, relocation programs, relocation tips

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A Complete Guide to Relocation Services

Post author By John Fernandez | CRP, GMS, SSB
Post date December 1, 2021

Metropolitan cityscape at sunset — The City of London, financial district of the Metropole, just after sunset with illuminated buildings and cloudy sky, United Kingdom

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

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

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

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

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

Advantages of Relocation Services

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

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

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

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

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

What Is a Relocation Package?

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

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

What Should a Relocation Package Include?

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

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

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

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

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

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

How Much Do Relocation Services Cost?

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

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

How to Address Relocation Costs

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

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

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

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

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

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

GMS Specializes in Relocation Services

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

We're Here to Help! Request a Courtesy Consultation

Tags relocation companies, relocation package, relocation services

When interviewing for a new job, make sure your relocation needs are met

Understand What Relocation Expenses are Covered

Discuss Your Expectations

Do Your Research

Be Open to Compromise

Final Negotiation Tips

We're Here to Help! Request a Courtesy Consultation

Things to keep in mind when reviewing Relocation policies

Short-Term Assignment Policy Review Points

Long-Term Assignment Policy Review Points

Get in Touch with GMS for More Helpful 2022 Tips

We're Here to Help! Request a Courtesy Consultation

What does an employee relocation package typically include?

House-Hunting Trips

Temporary Housing

Family and Spousal Support

Real Estate Assistance

Shipping of Household Goods

How Much Should Companies Spend on Relocation Packages?

GMS Will Help Put Together the Best Relocation Package

We're Here to Help! Request a Courtesy Consultation

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

Advantages of Relocation Services

What Is a Relocation Package?

What Should a Relocation Package Include?

How Much Do Relocation Services Cost?

How to Address Relocation Costs

GMS Specializes in Relocation Services

We're Here to Help! Request a Courtesy Consultation

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