This Year’s Business Relocation Trends

When a business pays the expenses for their employees to relocate to a new location, the process is referred to as corporate relocation. Many corporate business movers offer services to assist with this process varying from moving the employees belongs to finding housing and setting up phone, cable, electric services, etc.

Corporate relocation businesses are huge business, in fact, over fifteen billion dollars’ worth. The rise in business relocations over the past two years has fueled this growth, especially to states with fewer business regulations and lower taxes. The larger cities, such as New York City, saw the highest percentage of moves, due to the strict Covid rules that limited movement throughout the borough.

1. Remote Working

The acceptance of remoting working has made the move easier and less expensive because a company can retain a good employee who does not wish to move if the position can be satisfied remotely. This trend equates to fewer dollars in moving costs and less in overhead for that employee’s usual office expenses.

Although the government made hiring difficult for employers by offering more unemployment income than the employee earned working, the willingness to hire remote workers now makes it easier to fill positions, even in the large cities.

This trend has made earning a living much easier for freelance workers. Gone are the days when employers suspect a worker is sitting around eating bon bons if not overlooked throughout the workday. Freelancers have been working remotely for decades and have already proven they can be very productive working from home.

Even in office that have returned to full time office working, they have been successful in hiring and retaining employees by offering the option to work one day a week from home. It’s a win-win situation for both the employer and employee: the employee saves time and money commuting, and the employer can attract quality candidates with a cost-free benefit.

2. Lower Tax Cities

Many companies made the move to areas where they could save money on taxes, rent and other overhead. The prestige that came with having an office in the larger cities lost its luster and customers were less willing to travel to them, too. Hiring people in lower tax cities also allows the salaries to be adjusted to the going rate for that city.

3. Downsizing

With the increase of remote workers and less room required, many employers were able to transition to small workspaces to save on operating costs.

  1. Although less expensive to live and work in another city, most employees would not opt to relocate for a lower salary. Employers have had to step up their game to offer more attractive employment packages. Allowing employees unlimited time off is a popular choice because there is no added cost to offering it; the employee earns the same salary no matter the time off limitation. 

The pandemic has presented many difficult challenges for employers, but employees have benefited with better salaries and working conditions in the long run. Hopefully, the good changes will endure and lead us to higher quality work experiences moving forward.