Attract Top Talent to Denver With Relocation Assistance

Posted by: Lauren Brown on May 23rd, 2022

In a time when companies are scrambling to find top talent to fill open positions, management is now having to think outside the box in terms of benefits – even before a potential employee comes on board. This is where a relocation package or assistance could come in.

There are many relocation services that can assist companies with this process. CapRelo, a relocation service for corporate, government & international companies, offers insight into what a relocation package & assistance looks like.

What is Relocation Assistance?

Relocation assistance occurs when a company assists new hires or current employees with relocating for work from one location to another, whether it’s a new city, state, or country. It is a benefit designed to help ease the financial burden of moving and get the employee started in their new position as quickly as possible. Relocation assistance may cover many areas, including packing and unpacking services, transportation and moving costs, temporary lodging, disposition of a residence, acquisition of a new residence, mortgage assistance, cultural training, and language training.

While these options can be pricey, it may be worth it to find talent that otherwise would stay in their current home state.

What employees are worth these high-dollar assistance packages? Relocation assistance was once provided only for management-level employees, but now it is becoming clearer that many recent college graduates to mid-career levels are staying put until they are offered a position that offers them convenience, less money out of their pocket, and the feeling of being valued.

Relocation Packages are Good for Both Sides

Most companies want to save as much money as possible in the course of job transfers while still ensuring that the employees and their families are comfortable and ready to get to work as soon as they arrive in the new location. A strong relocation package is a recruiting tool that can attract quality candidates and keep your company competitive in the global job market.

How to Mitigate Risk

Organizations invest a lot in relocations and frequently lose those investments when employees leave shortly after a move. A growing number of employers include a payback clause in relocation agreements to recoup those costs. Under a payback clause, a relocated employee agrees to reimburse the organization all or part of the employer’s expenses for the transfer if the employee leaves the organization within a specified period, usually a year to 18 months. Industries with high turnover rates tend to use these clauses more frequently.

Some employers choose not to include payback clauses, fearing the clauses may be a disincentive to relocate. Employers should confirm that state law permits payback clauses before implementing this practice.

In conclusion, now is the time for employers to “think outside the box” – literally and figuratively – to attract candidates. Candidates are willing to relocate and explore a different part of the country (and world) if it’s the right opportunity. If resources allow it, you could open your company up to its next great hire!

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Sources:

1.  “How Much Is The Average Relocation Package & What Is Included?“, by Heather Hudnall, CRP, GMS from CapRelo. February 11, 2014
2.  “Managing Employee Relocation“, shrm.org