What should I expect the company to pay when relocating for a position?

ESS Candidate Newsletter – February 2019

Columbus, OH • February 01, 2019

In this month’s, ask the recruiter, we discuss what’s okay to expect the company to pay for.

Introduction – Aaron Wandtke
Positions Filled in the last 30 days|
Ask the Recruiter What should I expect the company to pay when relocating for a position?”

Introduction:

At the beginning of each year, we spend time in January analyzing our prior year. We do this because we want to observe trends in the market and find ways to improve the services we provide. These reports offer valuable insight to our recruiters and help them guide you through the process armed with important information. We wanted to share some of our recent findings with you.

33% – The percentage of candidates who relocated for their new role.  This trend is consistent with our 2017 reports that showed the percentage was 30%.  This tells us that companies prefer local candidates to those who require relocation.  While companies are still willing to pay to relocate top talent, candidates fare better when they find positions that are accessible to their current location.

LinkedIn – LinkedIn has been our number one source for finding candidates the last couple of years. With the plethora of job finding apps coming on to the market, LinkedIn remains the best tool to use. Our advice is to have your information available and updated for companies and recruiters to review.

55% – The percentage of people who received a pay increase in 2018. This tells us that people change jobs and careers for a number of reasons, with money only being one of the factors.  In 2017, this number was 65%.  This also tells us that companies are getting better at providing other competitive benefits, such as generous time off policies, growth opportunities, and better work-life balance.

Job market conditions continue to evolve and regardless of the tools people use, the recruiting process will always be personal.  We know each candidate is an individual with personal reasons for making a career change, and it is our job to understand and communicate those desires with our clients. If there is anything we can do to help you in your job search or to help you attract top talent in 2019, please let me know.

Ask the Recruiter – “What should I expect the company to pay when relocating for a position?”

The answer to this question is simply that it depends. Each situation is different, and in our 19 years in the recruiting industry, we have seen relocation packages change over time.  Below are the most common types of relocation components out there in today’s job market:
1.  Sign on bonus – Some companies prefer to give you money and let you manage it however, you feel best. This provides 100% autonomy to the candidate, which many people prefer.  Companies will normally pay this amount in the first 30-60 days.  You want to make sure to ask if the money has already been taxed so that you know exactly the amount to expect. Most companies providing a sign on bonus require a pay back if the new hire leaves within a certain period, typically one year.
2.  Reimbursement – Some companies will let the new employee pay for everything and simply reimburse the amounts once the paid receipts are submitted.  This is a straightforward way to complete relocation.  You may want to ask what the financial limits are before spending any money to ensure you stay within the allowable reimbursement.
3.  Buying the house or paying points – Even with our most senior roles, this relocation practice seems to be going away.  Moving costs are expensive and companies are no longer willing to throw money to the process.  They want to make it as stress free as possible while still being financially responsible.

Relocating can be stressful.  If you find yourself in this situation and would like to know other questions to ask to dampen the stress of moving, please give me a call or send an email.

I can be reached at 614-885-8490 or by e-mail at aw@ess123.com.

 

Executive Staffing Solutions
445 Hutchinson Ave, Suite 650
Columbus, OH 43235

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