We are entering a new era of talent mobility and 89% of companies believe their mobile talent will increase in the next two years (PwC). Companies around the world are evaluating legacy mobility policies and looking to streamline and simplify policies and programs. This is bringing a widespread shift toward managed budget relocation policies.
This policy type provides a capped relocation allowance that employees can use on a set of defined services. It gives employees the flexibility to decide how they want to spend their budget, and it gives companies the structure to decide the budget spend on critical relocation services in a tax-efficient way.
Many companies question how to deliver a managed budget relocation. Solutions like MOVE Guides’ Talent Mobility Cloud help companies to set this budget for employees, define which services it can be spent on and then communicate it to employees. Employees can then use an intuitive technology platform to spend the money on defined vendors and services, and companies can easily pay vendors through the platform.
For more information on managed budget relocation, check out our industry White Paper in our resources section.
Reduce your global mobility program costs
- Around the world, 47% of companies are increasing use of managed budget and lump sum moves, principally to reduce mobility program costs and deliver flexibility to employees. Managed budget policies deliver important simplicity, flexibility and cost reductions for talent mobility programs.
Deliver mobility for changing employee preferences
- Today’s employees value flexibility, simplicity and technology in their mobility benefits. Long gone are the days of the traditional expat with lavish mobility packages. Talent mobility today is about many types of mobile employees managed together in a central and seamless way.
Foster talent mobility for career development
- Amid rapid globalization, employees with international experience have become a valued commodity. Twenty-four percent of all board and executive level employees have international experience, and 83% of firms say that mobility has a positive impact on career progression.
Provide mobility benefits your talent acquisition partners
- Implementing a managed budget or lump sum policy for new hire supports employees for a successful start and ensures transitions are completed successfully. This protects critical recruiting and onboarding investment, and allows your company to get the right talent in the right place.
Streamline mobility processes and administration
- Mobility departments have limited internal resources and traditional employee relocation packages require significant involvement from mobility managers. Managed budget policies offer a viable way to increase move volumes without a linear increase in internal resources.