As a global mobility professional, does this question sound familiar? Are you more frequently being tasked with managing domestic moves along with your international responsibilities? Although you may think of domestic moves – transfers within the same country – as outside your purview, there are advantages to streamlining international and domestic mobility policies.
AIRINC recently ran a benchmark survey focusing on domestic moves in five locations: Australia, China, India, U.K., and the U.S.
The survey found that most companies aren’t addressing domestic moves with a global policy, but many firms are making decisions on how to treat domestic moves consistently among locations in terms of overall philosophy and benefit delivery.
Examples of this consistency include:
- Tiered support: Regardless of location, most companies (70% or more) vary support provided for domestic moves by factors such as job level, homeowner vs. renter, or employer vs. employee-initiated move
- Benefit delivery: Among all surveyed countries, between 50% and 68% of organizations deliver relocation benefits through a mix of reimbursement/in-kind delivery and lump sum/cash allowances
- Moving expenses: 79% to 100% (depending on location) cover moving expenses (packing and shipping household goods) to the destination location
- Temporary living: 79% to 100% provide temporary household goods storage in all surveyed countries
- Claw-back: 85% to 95% have a repayment provision in place regardless of location
By identifying benefits and processes that can be applied in all locations, you can create efficiencies in your domestic program.
However, there are country-specific considerations that will require variation in policy on a location basis. For example, home sale assistance is much more prevalent in the U.S. or the U.K. (provided by 85% and 71% of companies, respectively), compared to locations like India (only offered by 6%) or China (provided by 16%). Similarly, house purchase assistance is offered by 77% of companies in the U.S., but only 5% of companies in China.
It’s important to incorporate flexibility as needed and understand a country’s norms, especially in terms of housing, transportation, and family support, when designing effective domestic policies for that particular location.
Domestic and International Alignment
In addition to incorporating consistency among domestic policies in different locations, there are benefits to having uniformity between domestic and international programs.
Merging international and domestic programs provides a more holistic view of cost and talent management. Aligning both programs offers a broader assessment of your company’s talent pool to meet business needs and provides more cost transparency when domestic and international moves can be simultaneously evaluated.
Administration can be simplified through efforts such as aligning relocation support for domestic and international moves or the consistent application of travel benefits. These actions can result in the use of fewer vendors or streamlined services from existing vendors.
Coordinating communications program-wide with the same look and feel delivers a consistent message to employees and thereby enhances the employee experience.
These are just a few ways to gain efficiencies by linking your domestic program with your processes and policies for international moves.
AIRINC can help with your domestic moves!
If you’re looking to evaluate your existing domestic program, consider changes, or align your international and domestic programs through process, policy, or data, AIRINC can help! Click below to get the conversation started today: