Not all employers offer benefits for company relocations. The offerings depend on how valuable you are to a company. If they want you, they will offer a relocation incentive.
There are no hard and fast rules to incentive plans. When they are offered, the packages cover the employee’s reasonable moving and other work-related expenses. Any job relocation package is a blessing to new employees. The incentive package is not just a cost-saving bonus, but it will take all the stress and worry out of most relocation moves. An incentive package is a good way for a company to boost its reputations and obtain top-level employees.
Incentive packages vary from company to company. Some firms have in-house managers who help set up the entire move for company relocations. Others will reimburse you for moving expenses.
Here are some examples that come with standard packages for company relocations:
- Full pack and/or unpack services.The employee’s household goods are packed by a moving company, saving the employee time and stress. After arriving at the new destination and home, moving company personnel unpack the household goods.
- Quality moving company service with reasonable insurance coverage.Some moving companies are known for quality moves, some are not. Since moving charges are usually based on total weight, insurance for damaged or lost goods should be equal to your goods’ value.
- Home sale or lease-breaking penalty assistance.Home sale help can come in a variety of ways, from company-sponsored reimbursement for money lost on quick home sales, to professional marketing help to accelerate the timing of sales to the employer buying the home. Renters can expect employers to pay contractual penalties for early lease termination.
- House-hunting trip, minimum one.Standard relocation programs commonly include at least one, preferably two, company-paid house hunting trips of short duration to give the transferee and family opportunities to find new homes. House-hunting expenses incurred in looking for a new home: transportation, lodging, meals and in some cases, childcare so the kids can stay home (and out of the way) while the parents can house-hunt in peace. According to the Illinois-based search firm Witt Kiefer, companies are increasingly encouraging families with younger children to leave them home, and reimbursing them for the expense while looking for a new house.
- Temporary housing.Standard relocations include at least 30 days of temporary housing for transferees.
- Transportation, including auto moving to the final destination.Most relocation packages include reimbursement for transporting your transferee and his/her family to the new location. If the transferee can travel by auto, reimbursing for mileage expenses is common. Should the move require plane or train transportation, standard packages often include reimbursing the cost of moving the transferee’s vehicle(s).
- Miscellaneous expenses.As usual the “miscellaneous” category can encompass a lot of small costs. These can include driver’s license fees, pet registration and licenses, cleaning services at the new home, utility hook-ups and other move-related expenses. To keep this category cost controlled, identify or cap most eligible costs.
Relocation expenses covered in a standard relocation package may also include:
- temporary living expenses when transferees must meet hard deadlines to move
- storage costs for household goods before employees can move into new homes
- spousal employment assistance in the new location
- childcare costs and elder help for transferees caring for elderly parents.
- school location assistance for school-age children
- a loss-on-sale allowance in the event your present home sells for less than its purchase price (not uncommon since the Great Recession)
- trips home for those in longer-term temporary housing, usually limited to one every 30 days
None of these examples are set in stone. Be sure to discuss all relocation needs with your new company. If you feel you deserve more, or believe the company is not doing all it can to cover a relocation, do some research and see what competitors offer their new workers.
At the moment, the national unemployment rate is at near historic lows. Companies want skilled workers. That gives highly sought-after employees the advantage. It means, some workers can expect relocation offers.
A recent survey by Atlas Van Lines reported an increase of 13 percent over a three-year period among companies offering relocation assistance. This may indicate that companies know that that a strong, attractive relocation package build company loyalty and enhances a firm’s standing in the marketplace.
Are you facing a move? Do you need help creating an effective job relocation plan for your firm? If so, give Buehler Companies a call. We will help with any move, any relocation. We are here for you.