A new survey from WRRI, one of the world’s leading relocation and assignment management companies, revealed that corporations are making fewer changes to their relocation policies and placing more focus on talent management.
WRRI’s recent survey, titled, “Mobility and the Current Real Estate Market” involves the input of approximately 200 U.S.-based relocation and human resources professionals responsible for over 43,000 annual moves, and reveal a steep drop in the rate of policy change, according to a press release from Weichart. The survey revealed roughly a 30 percent decrease in company relocation policies. Sixty-one percent of companies made changes to their relocation policies in 2011, compared to 90 percent in 2010 and 92 percent in 2009. The decrease in policy changes within companies allows for more time and effort to be put into talent management and for a return on investment (ROI).
“A slowly recovering economy, slightly improved employment picture and steadier housing markets have brought some much-needed stability to corporate relocation,” said Ellie Sullivan, vice president of consulting with WRRI and survey drafter. “As a result, our survey shows that companies are spending less time reacting to economic conditions and more time refining candidate selection and assessment approaches to meet long-term cost savings and talent management goals.”
The survey returned results that indicated that of the companies that did make changes, the most common concerned the marketing and sale of employee real estate.
According to the survey, the number of companies enforcing a minimum marketing period before employees can accept a guaranteed offer jumped from 75 percent last year to 88 percent. Ten percent increased the time or amount of temporary living coverage for employees who have difficulty selling their homes. Forty-three percent of companies allow current homeowners to become renters or otherwise delay home sale or purchase, stemming from significant declines in home values. Eleven percent added or tightened list price guidelines.
“The results of our survey reflect the expanding role of the corporate relocation professional,” said Sullivan. “In addition to their day-to-day focus on the bottom line, relocation and HR managers are thinking more strategically about the cost implications of each move beyond the move itself. Accordingly, we expect the alignment of relocation and talent management, already evident in pre-decision programs and payback agreements, to grow stronger in the coming years.”