Trends you will see in relocation… including one trend you will see in all industries in 2015!

As we move through Q1 in 2015, I want to share a few relocation trends in the market when it comes to moving your employee household goods.trends

  • Longer deliver spreads… The driver shortage and government regulations are creating some challenges for the moving industry when it comes to moving household goods from one city to another. As you might know, the delivery spread is the window of days planned to deliver the household goods once shipment has been loaded. The delivery spread is based on weight and miles. In 2014, we saw the delivery spread extended due to some of the new legislation including reducing the driver work/ hours from 11 to 10 hours per day. Safety is our #1 priority when it comes to drivers and I expect we will continue to see this trend. The key to success is communication with employee at the start of the move process.
  • More “Guided” Lump Sum programs… Many companies provide a lump sum relocation benefit to help their employees relocate to the new location, or offer some type of lump sum benefit to assist with relocation expenses. One of the trends we are seeing is more focus on a “guided” lump sum program to give the employee assistance without being consumed in the moving process. There are different options to consider from “Flexible spending” programs to the more popular “Core/Flex” program. Companies want to help the employee and find this balance creates a better relocation experience for the family…. and for the employer including some tax savings along the way.

But here is one trend I am hearing and expect to see in all areas of relocation, as well as many other industries…

  • Reviewing every process for effeciencies…. Companies are looking at every process, identifying the non-effective parts, and eliminating or automating them. One example in our industry is the self-directing or self-managed relocation program that can make it easy and cost-effective for the employee. I expect to see more of this approach in our industry.

Call to action: If you provide your employee with a check and “we will see you at destination” type of lump sum program…. Consider meeting with your relocation provider to discuss strategy to provide a more “guided” lump sum program. It will elevate the experience for the employee and family during the relocation.

This has been a “Relocation Minute” update on “Relocation Trends in 2015” with Bruce Waller, For more information, call 972-389-5673, or email bwaller@goarmstrong.com or check out our my social media Facebook and twitter page.

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