Each year, relocation companies move approximately 200,000 families to their new locations. Although employee relocation policy differs from one organization to another, it doesn’t bar employees from seeking relocation.
Employee relocation policy dictates that an employee be issued a relocation package. The package differs from one company to another. This is why it's essential to understand your university employee relocation policy.
Keep on reading to learn more.
What’s in the Relocation Package?
When relocating to a new position, you’ll incur significant expenses in moving your family. Your company will cater for the relocation expenses if enough to cover you’re moving more than 50 miles away. The amount is reasonable to cover moving and work-related expenses.
Relocation policy best practices require companies to offer the package as a relief of the financial burden of relocation. A well-developed package provides peace of mind and also acts as an incentive to accept the new job position. On the part of the company, it reflects its reputation for attracting top talent.
For a successful relocation program, many companies designate an in-house relocation manager to oversee the process. Others rely on the services of a professional relocation management company. Whatever the approach, its success relies on having a comprehensive and competitive relocation package.
Depending on your company’s employee relocation policy, this is what you might get:
Full Pack and Unpack Services
The package comprises a moving company’s services. These help with packing the employee’s household’s goods at the time of moving. They may also include unpacking services upon arrival.
Moving Company Service
The package caters for quality moving services. The charges are usually based on total weight. Insurance should be equal to the full value of the goods in case of loss or damage.
Assistance with Home Sale or Lease Breaking
Help with the sale of your home comes in different ways. It could be in the form of company-sponsored reimbursement for money lost in quick sales. Other times, it could entail accelerated professional marketing.
Employers can also pay for contractual penalties for lease termination before maturity.
On the other end of the spectrum are house-searching services. The ideal program pays one or two companies to help the employee find a new home as soon as possible. Alternatively, the company pays for the house-hunting expenses the employee will incur.
These include lodging, transportation, meals, and childcare so that the kids can be taken care of as the parent house-hunts. Accommodation expenses stretch for at least 30 days according to most companies’ employee relocation policy.
Miscellaneous Expenses
The miscellaneous bracket caters for other small but very significant costs. They can include cleaning services, driver's licenses, utility hookups, and other related expenses. Most companies identify a cap to keep the costs controlled.
Depending on your industry, the employee relocation policy may incorporate more than these categories. If not, you may feel the need to negotiate for a bigger package.
For you to be successful in your negotiations, there are things you need to do.
I). Focus on Your Interests
One reason why you may want to negotiate a more prominent package is to meet your needs adequately. Before you decide what to ask for, ensure you're fully aware of what you want. Think broadly, without limiting yourself to financial expenses.
Some of your other needs could include assistance with choosing a school for your children. It could also be about getting a higher mortgage cost allowance. Other requests could consist of
- Temporary storage costs for your household goods
- Spousal employment assistance
- Trips home for employees on longer-term temporary housing
- Care for elderly parents if applicable
The most important thing is that you’re honest with your employer. The higher your position in the company, the more comprehensive your relocation package might be.
II). Ask for Practical Assistance
Before negotiating, find out from the HR department what the employee relocation policy covers. Compare this to other company policies and check if the same could be possible in your situation.
The items you identify for your relocation package should benefit both you and your employer. The company is more likely to meet your request if it benefits from it as well. Let the company know how you can be more productive if they meet some expenses on your behalf as you settle.
III). Put the Agreement in Writing
Once you’ve come into consensus about the package, ensure it’s put in writing. This doesn't call for a formal contract, but a simple signed outline detailing the assistance accorded. If you focus on collaborative negotiating, adequate preparation, and well-supported arguments, you're likely to win.
IV). Maintain Your Sanity
If you want to negotiate for items not within the relocation package, keep yourself sane. Relocation can be overwhelming, and you might become emotionally attached to the package. If the company isn’t able to adjust the package, don’t let this throw you off your career path.
Once you’re successful in negotiating the package, note that it may be administered:
- Through direct billing for all expenses
- As a lump sum
- As reimbursement
- Through expatriation assistance
Whichever method the company chooses, it’ll be a win-win situation for you and your employer. The most important thing is that your expenses are met to the level you’re most comfortable.
Employee Relocation Policy - Takeaway
When an employee is relocating to a new job location, the employer offers a relocation package. The components therein differ from one company to another depending on their employee relocation policy. The most crucial element of the package is that the employer caters for the relocation expenses.
As an employee, you can negotiate for more than what the company has to offer. However, successful negotiation depends on how far the company can stretch. Showing cause for your need for a bigger package is essential, not just for you but your employer as well.
Some of the components of the package include packing and unpacking services. It caters for moving services and temporary accommodation as you house hunt. It also helps that the company pays for child care for the period before you settle in your new home.
All these items go a long way in making your relocation period comfortable. You can reciprocate by being a productive employee in your new work station.
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