We are considering some out of state recruiting for our tougher to fill executive positions.  I'm curious what kind of relocation packages are being offered these days?  We want to be competitive with the market.  Any suggestions?

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We see quite a range of what clients offer for the relo packages. And there are still some that currently don't offer relocation or very limited, but that is not usually the case for executive level. I haven't seen many covering any real estate selling fees, etc in the last few year. For the most part, clients seem to be offering: 

Pay for all packing and moving services, sometimes including a relocation company to assist candidate.

Pay for 1-2 trips for candidate and family to the area for housing searches , etc.

Temporary housing housing for up to 6 months.

 

Depending on the position and candidate preference, we also have a few clients who will agree to a flat, lump sum amount paid to the candidate which they use for the relocation expenses in whatever ways they choose.

@Amy, 

Amber's info is correct.  Relocation packages for executives can include home purchase on one-end and help with home purchase on the other-end.  Temporary living, furniture moving and storage.

Sign-on bonuses are typical in some industries as well as tax gross-up; spousal job placement assistance and house hunting assistance.

Your best sources for such relo info is to check the company history.  You may be surprised to discover that relo packages have been made to some of your current executives.  If so--you have a precedent you can follow and adjust as needs require.  If not, I suggest you go to your local SHRM Chapter--some will be happy to share what works for them in the local market.  The local group's website in Washington State is:  http://wastatecouncil.shrm.org/  1-800-283-7476, option 3 (U.S. only) 

An important document to get from SHRM is a "sample" relocation policy statement.  Your HR group should have one in the books with the Compensation Manager (since relocation costs amount to "income" and are thus taxable income along with salary and sign-on bonus).

Nestle (when I worked there) used Prudential Relocation Solutions* - http://www.prudential.com/view/page/public/11535 - this service takes care of (actually almost holds the hire's (and spouse) hand throughout the relo process making it a positive experience (because some can go negative for a number of reasons).

*Corporate Clients and Employees
Mobility services designed to optimize your organization's relocation investment and help ensure the satisfaction of your relocating employees.
FYI -- there is even a relocation (mobility) association...who may be of assistance for info sharing.

Relocation Appraisers (U.S. and International)

  • Thomas C. Bliss -- Mahon & Rutledge Appraisal Group -- (Seattle, WA)
  • Michael Curtis -- Curtis Appraisal Consultants -- (Seattle, WA)
  • Patrick G. Dunn -- Cascade Appraisal L.L.C. -- (Seattle, WA)
  • Cathy Gillispie -- Appraisal Consultants -- (Seattle, WA)
  • Mark J. Kopcho -- Sterling Appraisal Group/MJK Appraisal Services -- (Seattle, WA)
  • George N. Nogatch, CRP -- George N. Nogatch & Associates -- (Seattle, WA)
  • James Poliyanskiy -- Appraisal Group of the Northwest -- (Seattle, WA)
  • Alan L. Pope, CRP -- Alan L. Pope & Associates, Inc. -- (Seattle, WA)
  • Ronald S. Prevost, CRP -- Steel Lake Appraisal -- (Seattle, WA)
  • Paula Ranson, CRP -- Ranson Appraisals -- (Seattle, WA)
  • Farhood Samimi -- NW Residential Appraisers -- (Seattle, WA)
  • James R. Sanders -- Sanders Appraisal, Inc. -- (Seattle, WA)
  • Thomas G. Weaver -- Pyramid Appraisal, Inc. -- (Seattle, WA)
  • Wm. Bryan Willison -- Willison Appraisal Service -- (Seattle, WA)

(https://www.worldwideerc.org/Directory/Pages/ssl-us_appraiser2a.aspx)

 

Finally, always remember, once you start giving creative relocation packages that's a precedent you'll have to monitor and keep fair.  Because if you give relo perks to one and not another you will have employee relations problems.

Good luck.

 

 

What I am seeing right now is pack and move of household goods, house hunting trip, temp housing for between two weeks and three months, shipping or transporting of cars if needed, transport and boarding of pets. Hiring bonus to cover misc. Moving costs and travel expense.

The main thing to consider for executive relo is that you want the new employee to be able to take the job without it costing them to move. Very few companies are buying homes but some are paying real estate comish for the sale of a home. Since relo needs are different for each family it is normally best to say relocation assistance is available then take each situation on an individual basis.

Some companies are simply offering a flat relocation allowance. If the company is billed direct it is not taxable to the employee. If the allowance is paid direct to the employee it is grossed up for tax purposes. Take a look to be sure that a relocation bonus does not kick the employee into a higher tax bracket.

In our industry the norm seems to either be a flat amount of money that you can use for relocation or in some cases, companies will offer an ala carte type of program where one can choose from a menu of offering bascially consisting of: Household goods movement, transportation, temp housing or a lump sum to cover temp housing and sometimes closing costs reimbursement on the sale and purchase of a home.

 

Most programs have a 12 month window.

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