Remote work has been getting all the attention recently, but corporate relocations are still happening. Not everyone works from home. When an employee accepts a new job in a location, they may end up having to move to a different city, state or even country. Corporate relocations can occur on a larger scale when a company moves its headquarters.
Here’s what we’re seeing now with corporate relocations.
A Workforce in Flux
When the pandemic forced many workers into remote work arrangements, some of them took advantage of the situation by moving. According to NPR, some employees moved out of state, and they didn’t always seek permission from their employer first. Meanwhile, The Wall Street Journal says that the pandemic supercharged an already existing trend that saw people leaving big cities in favor of suburbs.
Now that offices are starting to reopen, the fate of some of these workers is in question, and there’s a big disconnect between what managers want and what employees want. According to a study from Future Forum Pulse, 44% of executives who are working fully remotely want to return to the office every day, while only 17% of remote employees feel the same way.
Some workers are willing to quit over the issue, or over other issues. The number of voluntary resignations has reached record highs in recent months. The Bureau of Labor Statistics recorded 4.3 million quits in August, 4.4 million quits in September and 4.2 million quits in October.
With so many workers moving and changing jobs, we can expect this trend to impact corporate relocations.
Companies Are Moving, Too
It’s not just the individual workers who are moving. Entire companies are moving, too.
Hoover Institution says that businesses with headquarters in California are leaving the state at an accelerated rate, and that this trend does not show signs of reversing in the near future. In the first half of 2021, 74 California businesses moved out of the state, which is twice the number of headquarter relocations seen in the three previous years. Both large and small firms are leaving California, and many are moving to Texas.
These companies will likely want to retain many of their key employees. As a result, many employees will have to move along with the corporations.
Mobility Insurance for Corporate Relocations
Relocating employees can be a massive undertaking. Our Mobility Insurance division provides insurance for corporate relocations and the various risks associated with them.
Corporate relocations can be complicated, therefore we work with multiple insurance service providers and relocation vendors to provide streamlined coverage that meets your needs. Coverage is available for both domestic and international relocations.
When your employees and their families need to relocate for a new job or assignment, count on Mobility Insurance for proper coverage, attractive rates and quality service.