Many businesses are going beyond their borders and setting up offices or partnering with companies outside their home office states or country. As a result, relocating employees has now become the norm for companies. But as mobility has increased to ensure success, growth, and expansion of business, the gravity of retaining the firm’s top talent while recruiting the best in the market has become aggressive.
Suppose your business is one of those that plans to relocate employees. In that case, it is mandatory that your relocation policy is robust. It is also critical that it is embedded in your HR policy and programs that align with each other. When it comes to relocation, part of the HR policy is never to see it as an after-offer feature. When you are offering the job to a prospective employee, a relocation policy should already be in place that would help you to retain your staff. It is time that you review your relocation policy as a part of your company’s key components to have a competitive edge in tapping the top talent in the industry.
How To Build a Robust Relocation Policy
Creating a robust relocation policy for employees is based on quite a few factors including the duration of relocation, place, project enhancement, and other economic factors. Every company that wants to expand beyond its locality needs to maintain and increase its employee relocation budget regularly. Some of the offerings that should be added in creating a relocation policy follows.
One of the crucial aspects of a relocation package is the benefits your company will cover for the employee. It is not only about what you will cover as an employer but also how much you will pay for the expense types, which can include the following:
- Packaging and Moving
- House Hunting
- Short-Term Lodging
Tiering the Package
While it is vital to offer security to your employee during the relocation, it is best to align the package based on the employee’s level in the company and offer the package that aligns to best practices for that type of position. Not all positions should warrant a relocation package.
After you have decided on the budget and the benefits that you will offer, it is time to consider how you will administer them. It can be categorized under the following:
- Full Coverage: you set the guidelines on what will be covered, whether you either book a service as the employer or reimburse the employee.
- Lump Sum: A certain amount of money is given to the employee for the relocation. It gives them flexibility, but it also means the employee has to plan the relocation details.
- Capped Allowance: You provide a certain amount of money to the employee for relocation, and whatever is not used will go back to the company.
If your employee wants to negotiate the relocation package details, the best thing for you to do is listen to what they are trying to communicate. Understanding them will help you decide whether to work on them or give a counteroffer, if the request is not reasonable.
The best way to ensure your employee’s loyalty is to give them a smooth transition when relocating to a new place. One of the factors that often impresses the employee is the personal assistance that a company provides:
- Employment assistance for the spouse or partner
- Obtaining information on schools
- Cultural training to help the employee and family learn about the new place and its culture.
Better Than Your Competitors
Research what your competitors are offering in their relocation packages. A relocation package is often determined by the industry, location, size of the company, and the employee’s level in the organization. Finding a way to stand out among your competitors with the package is best to ensure your employees stick with you. One way to warrant that is to hire a professional Relocation Management Company (RMC) to do the job for you at a competitive price.
Why Hire a Professional Employee Relocation Management Company (RMC)?
Instead of spending time on the research and coming up with relocation policies, you have less to worry about when you outsource the process. A good RMC will do the work for you while providing your employees with the best experience and highest customer service. There are quite a few benefits in hiring a professional employee relocation company:
- You will get a customized relocation strategy that has a transparent approach, along with a tiered system. If needed, the company can also offer benefits as per individual requirements (a la carte approach).
- They know their job and have the local and international resources to ensure a smooth transition for the employee by simplifying the process. A professional will also warrant the relocation complies with the new place and local regulations.
- Technology based solutions are offered by most prominent RMCs. They may integrate the system with your IT platform to facilitate the duties so that there is transparency in the process. In addition, cloud-based live reporting is used to ensure cost-effective and transparent procedures.
- Employees and employers can concentrate on the work that needs to be done while the RMC does the other work related to relocation.
If you want to mobilize the company’s talent, the best way to do it is to put yourself in their shoes. Consider that an employee must weigh the benefits of a new opportunity against the financial and emotional transition of starting a life in a new place. Hence, supporting them during this process will reflect on your company’s engagement with the employees and the positive culture that it harnesses. Having a comprehensive relocation program can be a persuasive tool for hiring and retaining talented, and having dedicated employees working for your company. The best way to go about it as an employer is to contract a professional relocation management company like WHR Group, Inc., which will care for you and your employee’s relocation needs.