Will Lump Sum Be the Go-To Post-COVID-19 Relocation Package?Friday, July 10th 2020
At surface level, it would be easy to assume that one of the impacts of COVID-19 on the global mobility industry would be Lump Sum packages becoming the option of choice for corporate relocation.
In many ways it makes sense. Many corporations will be looking to reduce their relocation expenses as part of an overall cutting of the cloth.
The likes of Uber, Airbnb, Groupon and many, many more making significant workforce reductions is a surefire signal that the days of costly corporate-managed relocations are likely to be postponed, at a minimum.
And many people might think that this move away from corporate-managed relocations would have a negative impact on the employee experience.
That is the stereotype that has been commonly held across the industry - that Lump Sum packages inevitably can’t provide transferees with the same quality and service level of relocation experience as managed relocations.
That stereotype is something we have been fighting against at Shyft.
We believe that the Lump Sum relocation package can provide a world-class moving experience
Probably the best data we have on mobility, from the U.S. Census Bureau, points to around 800,000 households moving for work purposes each year.
Of these, up to 300,000 are estimated to be corporate-sponsored relocations, with most of the remaining half a million or so transferees and new hires being given Lump Sum relocation packages. Essentially they are being left to manage their own moves.
Traditionally this has been a source of stress for many transferees and new hires, and a cause of lost productivity for their employers.
Why? Because managing their own moves is complicated and stressful, full of known unknowns and unknown unknowns.
The transferees have to think about managing the financial side of their move, finding trusted movers, packing and unpacking, transportation, settling into their new community, and much more.
With all this before they worry about settling into their new role, it’s no surprise that moving is consistently ranked as one of life’s most stressful events.
At Shyft, a major part of our mission has been advocating for the power of the Lump Sum relocation package to give transferees an awesome moving experience.
A moving experience without all the stress of having to plan everything. Without the worry of choosing the best neighborhood and finding the perfect apartment. And of course without the moving expenses of the managed move.
With the unprecedented jobs market, we’re facing, and the uncertainty HR leaders and global mobility managers are dealing with, we expect to see Lump Sum relocation packages become more and more popular.
As they do, we want to give Lump Sum transferees and new hires the incredible relocations they deserve.
Our aim is to provide an incredible relocation experience to Lump Sum transferees
We have built our product with the aim of giving Lump Sum transferees a service level to match a corporate-managed move, but without the moving expenses that come with it.
With that in mind, we have built our solution with the following features:
A Move Coach offering 24/7 personalized concierge-style support to transferees and new hires through their move, ensuring every step goes smoothly.
A Virtual Video Survey that removes the need for the transferee to have a stranger in their house when preparing for their move, by allowing for remote virtual video consultations which produce 95% accurate inventory lists in an hour or less. These are used to offer quotes with guaranteed prices from a network of trusted partners within one hour.
A Move Marketplace for the best moving options, finding accommodations, and a range of exclusive discounted lifestyle services - so transferees and new talent can settle in smoothly.
Combined, these features go a long way to providing the world-class level of customer service talent expects when relocating. All are provided as part of a Lump Sum package.
So the exorbitant moving expenses often associated with corporate-managed relocations can be avoided, but the moving experience maintained at the cost of an average relocation package. Lump sum moves are likely to become more and more popular at companies look to reduce the costs of the relocation programs.
Let Shyft be your Lump Sum relocation shortcut, and give your transferees and new hires the world-class moving experience they deserve.