A wide variety of employees are relocated each year, ranging from new college graduates all the way to CEOs. Aires recently conducted a Pulse Survey to determine what benefits are offered to the employees that fall on the non-exempt/hourly end of this spectrum. While not all companies offer support at this level, the 45 responding companies that offer support typically provide either a lump sum only (40%) or a combination of managed services/reimbursed expenses/cash allowance (49%). Only 11% offer full managed services/expense reimbursement.
Key findings of the survey include:
- Just four industry categories make up the majority of survey respondents: financial services, manufacturing/construction, retail/restaurants, and technology.
- Most respondents offering support to non-exempt/hourly employees have done so for 5+ years.
- Lump sum amounts offered range from $3,000-$15,000, with approximately half of the respondents noting $5,000.
- A cash allowance, household goods shipment, and final travel are the most common services offered in a managed program.
Lump Sum Only
The following findings are noted for those clients offering a lump sum only:
- 64% gross up the lump sum payment
- While 88% of respondents noted they have not updated their policies recently, 30% stated they were considering changes, most commonly to enhance the program to include additional managed benefits.
- A repayment agreement with either a one-year or two-year agreement is typically required to receive the lump sum, with 65% of respondents requiring the longer two-year commitment.
Managed Services/Reimbursed Expenses
Aires found the following key information for those clients offering managed services/reimbursed expenses.
- 80% of respondents offer a cash allowance, with 45,000 being the most common amount offered; 75% gross up the cash allowance.
- The most common other benefits offered under managed services were:
- Household Goods Shipment (83%)
- Final Travel (70%)
- Home Finding Trip (54%)
- Temporary Living (48%)
- Similar to those offering lump sum only, the number of respondents confirming no recent changes to their program is high (92%); 24% anticipate future changes to most commonly include increasing a capped relocation amount and aligning benefits offered with those of other homeowners and renters.
For a copy of the full Pulse Survey results, please contact your Aires representative.