Employee relocations have become more of an issue for companies

Prior to the recession, companies used to be able to rely on career advancement and increases in compensation in order to win over an employee’s

concern regarding a relocation.

This is no longer the case.

There has been a certain degree of liberation for employees who no longer feel inclined to be loyal to their companies.

Many learned the hard way during the recession that loyalty isn’t always a two way street between an employer and employee and the workplace has changed now as a result.

There is a statistic that suggests that since 2008, less than 1% of the workforce is now open to relocating which is down from 3% in years prior.

So only 1/3rd of the people that used to be movable are actually movable today.

The potential move to a faraway city or town while disrupting family and lifestyle, followed by a downsizing or a sudden lack of further career growth in the new location, has reduced the appetite for many to even take the transfer in the first place.

  Outside of New York, Chicago and Los Angeles, The U.S. no longer draws what is used to in offering a work visa.  

In Canada, we are still seeing downsized executives who are without work, preferring to wait out a period of inactivity rather than accept an executive role in another part of the country.

Unless a company plans to hire more local talent externally for a relocation which will almost always cost more time and money, greater care and communication needs to occur with an employee.

It is essential to understand their backgrounds, their motivations, their family support base, personal interests for both them and their families, their hobbies and other family dynamics.

These are important notes that should be accumulated over a few years and there should be dialogue to go along with these items.

Do not wait to start collecting this data a couple of months prior to presenting a relocation position.

There is also much more investment needed by companies in arranging realtor escorts who actually competent in what they do for a living.  These people should be location experts and advocates for the company so a simple referral of a local real estate agent may not be enough to get the job done for a company.

Items that need to be thoroughly discussed include highlighting neighborhoods, nightlife, schools, parks, museums etc.

This process can take more than a couple of trips by family stakeholders so companies need to adopt patience with this process, otherwise a quick and unorganized exploratory trip for a spouse is likely to lead to an overwhelming state of mind and when that occurs it becomes much easier for a family to decline the relocation.

Farewell,

Mike