FACTORS IMPACTING RELOCATION
Company growth as a factor on relocation increased 5 points from 2022, making it the number one factor impacting relocation in 2023, reported by 1 in 3 companies.
Economic conditions were the leading external factor for 1 in 3 companies. During 2023, inflation decreased to 3.5%, and around 2.7 million jobs were created.
The top four internal factors impacting relocation in 2023 were:
The lack of qualified people/the Great Resignation ranks as the second most impactful external factor on relocation for all companies. On paper, the percentage of companies who reported difficulty finding qualified people is at its lowest since the 1990s. Although the job market saw increased participation in 2023, quit rates, skill shortages, and job openings remained as challenges for employers.
Employers should continue to monitor cost of living as a reduction in inflation does not necessarily mirror Consumer Price Indices. For many employees, necessities such as food and shelter are still their main indicator for the health of the economy, which will play into their motivation and ability to relocate.
**”Increasing mortgage rates” was a new answer option created for the 2023 survey. We did not provide this as an answer option in 2022.
Economic conditions were the leading external factor for 1 in 3 companies. During 2023, inflation decreased to 3.5%, and around 2.7 million jobs were created.
The top four internal factors impacting relocation in 2023 were:
- Growth of Company – 33%
- Knowledge/Skills Transfers – 29%
- Employee Ineligibility/Inability to Relocate – 27%
- Increased Production – 27%
- 1 in 3 companies overall (33%) reported company growth, compared to 28% in 2022.
- 27% reported increased production, compared to 22% in 2022.
- Around 1 in 4 companies reported corporate reorganization/restructuring compared to 22% in 2022.
- 35% - Economic Conditions
- 27% - Lack of Qualified People Locally/The Great Resignation
- 25% - Political/Regulatory Environment
- 25% - Real Estate Market/Available Housing
- 25% - Supply Chain/Shipping/Transportation Capacity Constraints
The lack of qualified people/the Great Resignation ranks as the second most impactful external factor on relocation for all companies. On paper, the percentage of companies who reported difficulty finding qualified people is at its lowest since the 1990s. Although the job market saw increased participation in 2023, quit rates, skill shortages, and job openings remained as challenges for employers.
Employers should continue to monitor cost of living as a reduction in inflation does not necessarily mirror Consumer Price Indices. For many employees, necessities such as food and shelter are still their main indicator for the health of the economy, which will play into their motivation and ability to relocate.
**”Increasing mortgage rates” was a new answer option created for the 2023 survey. We did not provide this as an answer option in 2022.