2013 saw a lively debate on a global scale about the importance of offering relocation support to new employees and assignees, but more importantly, the discussion centered around the way in which that support was delivered. Everyone from small startups to large multinational corporations weighed in on the merits of traditional packages against newer forms of support, such as managed lump sum moves. MOVE Guides takes a look at the trends expected in 2014 for companies large and small.
High-growth startups face the constant battle of attracting the best talent for their business, with far fewer resources at their disposal than their larger counterparts. It has very much become the norm to offer relocation support to new recruits in order to remain competitive, but lean recruitment teams rarely have the time to hand-hold employees through the specifics of their relocations. Many startups already offer support via a cash stipend, and we expect to see more companies turning to managed lump sum support to ensure efficiency and controlled costs for the business.
2013 saw pressure on global mobility teams to reduce costs, whilst also increasing the scale of their programs as mobility and talent development teams worked together to achieve corporate goals. Many businesses turned to lump sum policies as a way of controlling costs and forecasting program spend effectively. This year we expect to see more companies moving away from traditional relocation policies for specific groups of employees and implementing managed lump sum programs, particularly for interns, graduate hires and middle management.
With the global talent war showing no signs of abating, companies continue to strive to offer best in class experiences to ensure they are able to attract the brightest talent. With the UK and US now ranked 7th and 9th respectively on the Global Talent Competitive Index 2013 (INSEAD, HCLI and Adecco Group), relying on the draw of the city or country alone is no longer a given. As such, we see the focus in relocation shifting to employee experience and closing the post-candidate experience gap. With immense resources funneled into sourcing and recruiting the best talent, companies are becoming acutely aware of the need to ensure that the employees feel supported, empowered and involved in their process from recruitment right through to the onboarding process once in the office. Relocation support is a key part of this experience, and we expect to see many more companies turning to managed lump sum policies in order to enhance the employee experience.
Curious about how you can reduce your costs, drive efficiencies and enhance employee experience? Get in touch today to learn more about how you can implement a managed lump sum policy.