Cost Coverage – Overall & Specialized Assistance for Homeowners/Renters

Similar to last year, around eight out of ten firms reimburse or pay a portion of relocation costs for transferees or new hires. Over the previous ten years, nine out of ten firms typically covered some costs. This change reflects a continuing preference among small firms to either not cover costs or offer lump sums instead. Although large and mid-size firms appear far less affected, a slight shift away from cost coverage of specific items occurs as well.

Question 28-1
Does your company reimburse/pay to...
Chart Q28
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Question 28-2
Does your company reimburse/pay to...
Chart Q28-2
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Specialized Assistance for Homeowners/Renters

Most firms continue to offer specialized relocation assistance for homeowners; however, small firms remain less likely than mid-size or large firms. The percentage of firms that do remains similar to last year and slightly lower overall compared to 2007-2012. This change is largely driven by small firms (58% in 2013, 2014 vs. 76% in 2012), which are opting to either not offer it or offer lump sums instead. Too, the percentages of large and mid-size firms offering this assistance trend lower than historic highs.

  • The percentages of firms offering individual homeowner-assistance items fall to historic lows for nearly all items and significantly below past highs for each. However, while trending lower at mid-size and large firms, the percentages remain similar to most previous years for most items, even if well below historic peaks. Additionally, roughly half or more of large firms still offer each type of assistance with few exceptions. Among small firms, however, the percentages for most items fall significantly below most prior years.

Most firms continue to offer specialized relocation assistance for renters; small firms remain least likely. Similar to 2013, the percentage of firms doing so is lower than it was during the previous decade. This continues to reflect fewer small firms offering it (62% in 2013, 2014 vs. 82% in 2012) or offering lumps sums instead.

  • Overall, percentages of firms offering each type of renter-specific assistance drop slightly from last year, with the most substantial declines noted for reimbursement/payment of lease cancellation (54% vs. 60%) and apartment search or finder's fees (27% vs. 34%). While large and mid-size firms remain more likely to reimburse/pay for lease cancellation, they also showed the greatest drop in such assistance (79% vs. 86%, 61% vs. 68%). Large firms are also most likely to reimburse/pay for apartment search or finder's fees—but they also show the largest decline in this assistance (52% vs 62%).

Although pressures in the housing market have eased, the Great Recession has brought a shift toward renting instead of owning. For the second year, more than 40% of firms allow homeowners who decide to rent in the new location an option to use home sale/purchase assistance later (42% in 2014 vs. 47% in 2013). However, most firms require the benefit be used within the first year. Mid-size and large firms continue to be more likely to have specific rules on this benefit spelled out in policy (80% and 94%), although most small firms do so as well (63%).

Question 29-1
When a relocating employee is a homeowner, who will be buying, does your company...
Chart Q29
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Question 29-2
When a relocating employee is a homeowner, who will be buying, does your company...
Chart Q29-2
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Question 30-1
When a relocating employee will be renting, does your company...
Chart Q30
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Question 30-2
When a relocating employee will be renting, does your company...
Chart Q30-2
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Question 31-1
If homeowners decide to rent, are they allowed to use relocation-related home-sale/purchasing assistance later?
Chart Q31
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Question 31-2
If homeowners decide to rent, are they allowed to use relocation-related home-sale/purchasing assistance later?
Chart Q31
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