Relocating for work is a major transition that affects both employees and employers. When it comes to moving, companies often face the decision of whether to have employees handle their own relocations or provide corporate relocation assistance. The choice can significantly impact costs, productivity, and employee satisfaction. Let's take a look at the statistics and key differences between self-managed moves and company-supported relocations.
The Cost Factor
- According to industry reports, the average cost of a domestic relocation with full company support is $19,000 to $97,000, depending on homeowner vs. renter status.
- Employees who manage their own moves often spend 10-20% more than those using a corporate relocation service due to inefficiencies and unexpected expenses.
- Companies that provide structured relocation benefits see 30% lower employee attrition rates compared to organizations that leave relocation fully to employees.
Productivity & Employee Satisfaction
- Employees handling their own relocations report 35% higher stress levels, which can lead to lower productivity and engagement at work.
- Studies show that employees who receive relocation assistance are 47% more likely to feel valued by their employer, leading to higher retention and job satisfaction.
- A well-managed company relocation reduces the time it takes for an employee to fully transition into their new role by an average of two to four weeks.
Time & Efficiency
- Employees managing their own relocations spend an average of 50-60 hours coordinating their move, from logistics to housing searches, reducing their focus on work.
- Corporate relocation services streamline the process, reducing time spent on moving logistics by up to 70%.
- Companies that offer relocation packages experience 23% faster employee integration into new teams and projects.
The Business Impact
- Organizations with structured relocation programs experience 25% higher success rates in relocations, ensuring employees settle into their roles faster and more effectively.
- Companies that do not assist with relocation often face a 40% higher risk of employees rejecting the move or leaving within the first year.
- Investing in relocation services can improve overall employer brand perception, making it easier to attract top talent in competitive industries.
Conclusion
While allowing employees to manage their own moves may seem cost-effective on the surface, the long-term impact can be costly in terms of time, productivity, and retention. By offering structured relocation assistance, companies can reduce stress, improve efficiency, and create a smoother transition for their employees. Investing in a comprehensive relocation program isn't just about moving—it's about setting employees up for long-term success.
At RELO USA, we specialize in seamless employee relocations, ensuring a stress-free move for your workforce. Contact us today to learn how we can support your company's relocation needs!