How to Manage a Company Relocation Package

A company relocation package is a compensation package that is offered to job candidates to entice them to relocate to a new city in order to take on a new job. These packages typically include things like temporary housing allowances, mileage, airfare, moving-company fees and other reimbursements for moving-related expenses. To stay competitive in tight markets where there are few quality candidates for important company positions, or for jobs that require extremely rare qualifications, a company needs to manage its relocation package appropriately.

Instructions

1. Know what other companies are offering in their relocation packages. By keeping tabs on what the competition is offering to the top candidates in your field, you will be able to make adjustments to your relocation packages to make them more appealing.

2. Understand what the top people in your industry want in a relocation package. This will also help you to make the adjustments needed to attract the best of the best. For example, candidates may want mileage, temporary housing allowances and extra allotments for family members who are part of the move. Many companies will offer mileage and temporary housing allowances; however, few are willing to chip in the extra expenses to fly out family members or cover the added moving costs they entail. You can attract better applicants by providing a provision for extra funds if the candidate has a larger-than-average family she needs to relocate, or if she has special needs that need to be taken into consideration, such as moving an elderly parent to a new nursing home that is closer to the new job.

3. Lead the market but be financially responsible. While having the best company relocation package in the country is desirable, for most companies, this simply isn’t practical. Make sure the benefits you offer are both appropriate to the level of the candidate and the financial resources of the company.

4. Review your company relocation package annually. This will ensure that your package is still competitive, is relevant to the wants and needs of contemporary employees and reflects the financial and market position of your company. If changes need to be made, don’t just scribble them down somewhere. Work with a committee to research what other companies are offering, what employees want and what your company can afford to offer. Then draft up a new company relocation package, debate its pros and cons, make adjustments and have the owner of the business sign off on the new package before it is implemented.