For months, workers have been quitting their jobs - and seemingly not taking new ones despite a plethora of employment opportunities. So what can companies do to keep the talent they have and attract new talent?
According to the most recent data from the United States Job Openings and Labor Turnover (JOLTs) report, 4.5 million workers in America left their jobs in November 2021.
This has become a bit of a trend, with the previous months seeing equally high levels of employees voluntarily leaving their positions leading to unprecedented levels of job vacancies in USA history.
It should come as no surprise that this occurrence has quickly gained the attention of many, with a psychologist from Texas A&M University, Anthony Klotz coining the term: “The Great Resignation.”
According to the study, “The Great Resignation” is actually more of a “Great Quitting” as these individuals have voluntarily left their positions.
While the verdict is still out about the exact cause of millions of Americans quitting their jobs, the impact of COVID-19 cannot be ignored with other trends such as Delocation on the uptick.
But what exactly is Delocation?
What Is Delocation?
Simply put, Delocation is when companies finance their employees’ desire to move out of expensive urban environments in exchange for a more affordable or desired lifestyle or closer to family and friends.
While the idea of working remotely was pushed to the limit during the pandemic, a recent discussion about Corporate Mobility with industry giants Teva Pharmaceutical, Grainger, Mercer, and northAmerican focused on the long-term impact the pandemic has had on the way companies operate and conduct business.
But our panelists agreed that the concept of remote work has left an indelible mark on the American job market.
According to research conducted by Corporate Mobility Today, a northAmerican publication, people are 111% more likely to accept a new position if they have an option to work remotely, part-time or full-time.
Mercer, an American asset management firm, conducted their own research and found that one-third of employers anticipated employees would come back to the office one or two days per week. At the same time, 17% said they expected workers to be back three to four days a week; only 15% said they were anticipating their staff to remain fully remote.
Amongst the 477 individuals presented with a new job offer that required relocation, there was a 20% uptick in willingness to relocate compared to 12 months earlier.
Of this group, there was a 20% increase in individuals selecting ‘Cost of Living’ as their top reason for moving.
And according to Corporate Mobility Today, 37% of individuals would relocate for a new position if they were offered a full-service relocation package.
This means that while there is a desire to relocate or even be given the opportunity to delocate, most won’t take the necessary steps unless offered some kind of a relocation package.
What Does The “Great Resignation” And Delocation Mean For Corporate Mobility?
Americans have changed. Due to the pandemic, the demand to keep working from home has created a need for new policies and allowances — one of them being to work remotely from wherever employees choose.
A discussion about work-life balance means that corporations will need to adjust how they engage with employees and monitor their progress, and give new world incentives - like delocation funding.
While we live through the “Great Resignation” and see staff members leave their positions in droves, it might be in a company’s best interest to offer these individuals a chance to take a delocation package to ensure they keep top talent. In order to offer a delocation package that could stem the “Great Resignation” tide, in most cases, employers will need to either create or adapt their existing relocation policy to accommodate these services or benefits.
Partner With northAmerican For Delocation Packages
At northAmerican, we’ve been providing companies with employee moving and relocation policy consultation services for years.
We also have a full 360-degree service package offering to work closely with HR departments and ensure that all steps and procedures are followed.
This equates to your employees being invested in the job you offer them, knowing they will be taken care of from beginning to end.
Feel free to contact us today to discuss how we can assist you and your company retain staff with a solid delocation package.