WOODRIDGE, Ill.--(BUSINESS WIRE)--While expansion in international assignee populations continues; this year’s growth fell short of last year’s expectations. This slower increase may signal a tempering of the fast paced growth experienced in some markets in 2011 and 2012 accompanied with a dip in optimism relative to future growth, according to the just-released 2013 Global Relocation Trends Survey report, published by Brookfield Global Relocation Services.
“The survey consists of 126 questions and provides the most comprehensive data set and trend analytics available”
In 2009 and 2010, international assignee growth rate fell off dramatically, and then in 2011 and 2012, we saw a remarkable return to growth. This year’s moderation in assignment volumes continues to support the importance of international growth for companies but may also reflect a course correction from a certain amount of over-optimism in the years immediately following the outbreak of the recession.
Cost exceeded other concerns to lead the list of international assignment challenges for companies in this year’s survey report, with 17% of respondents reporting that it was their main assignment challenge. This percentage is a 4% increase over last year’s report (13%) and places cost back on the top of the list. Responding to cost reduction requirements has become a familiar objective for many global mobility functions, and the most common way that this can be accomplished continues to be to implement reductions to policy components. In this year’s survey report, 23% cited reducing benefits to the assignee as the primary area in which to decrease costs. This is not surprising given that this is the area in which mobility specialists have the greatest amount of control. The second most common area for cost reductions was vendor fees (18%). This percentage is up 2% from last year’s report and has been steadily increasing since 2009 and, in fact, is now double the historical average of 9%.
“We expect that this rise, in tandem with the refocus on cost as a challenge overall, means that companies will increase efforts to focus on assignee retention in order to preserve the significant investment made in these key employees,” said Scott Sullivan, executive vice president of Brookfield Global Relocation Services.
Formalization in Mobility Practices and Policies
- The use of localization as a both a cost-containment strategy and as a form of long-term program compliance is likely driving the increased number of companies reporting the formalization of this policy type.
- Cross cultural programs remain readily available and an increasing number of companies are making services mandatory for the employee and spouse.
- Assignment refusal due to family concerns and spouse career have nearly halved from historical recession levels. Single-status assignments are on the rise which may be the ultimate solution to family challenges in the present environment and may reflect the “new normal.”
- This year more companies reported using a formal versus informal candidate assessment tool. Formalized candidate selection and tools reflect increased sophistication within the mobility programs.
- Willingness to go on assignment is up for the candidate pool and may be indicative of recruiting and retention practices among Generation Y/Millenials who are open to international assignment experience.
Research for this report was compiled from 136 companies around the world; combined, these firms manage a worldwide employee population of 6.7 million. Brookfield Global Relocation Services will present key findings of its 18th annual survey on Thursday, May 23, 2013, during a complimentary webinar that will provide a comparative analysis of the important global mobility issues facing businesses today. All webinar attendees will receive a full copy of the 2013 Global Relocation Trends Survey report.
To register, go to: http://www.brookfieldgrs.com/insights_ideas/educational_webinars/
Since its inception, the annual Global Relocation Trends Survey has been regarded as the definitive study of companies’ employee-relocation practices, policies and projections. As it does each year, the newly released survey paints a comprehensive picture of evolving trends and emerging issues facing companies of all sizes that rely on an internationally mobile workforce. “The survey consists of 126 questions and provides the most comprehensive data set and trend analytics available,” comments Sullivan. “This information allows us to compare, contrast and provide a baseline that’s unique to the relocation industry.”
About the Global Relocation Trends Survey Report
The 2013 Global Relocation Trends Survey report is the 18th report issued by Brookfield Global Relocation Services. Released annually, the report is considered one of the most reliable and respected sources of global mobility data and trends information. The report elicits details pertaining to international assignee population growth, international assignee demographics, international assignee sources and destinations, assignment types, polices and benefits, global business strategy, cultural and family issues, international assignee selection and assessment, assignment evaluation and completion, repatriation and attrition, attrition and assignment failure, cost estimating, tracking, comparisons, ROI and outsourcing. The longevity of this survey enables the company to compare each year’s results with historical averages, which help gauge the relative importance of annual variations.
For additional information and to receive the 2013 Global Relocation Trends Survey report, register for the company’s complimentary 2013 Key Findings webinar at: http://www.brookfieldgrs.com/insights_ideas/educational_webinars/
About Brookfield Global Relocation Services
Brookfield Global Relocation Services is a full service provider of corporate and government relocation and assignment management services to more than 500 corporate and government clients. Brookfield Global Relocation Services manages over 80,000 relocations throughout the world annually. Brookfield Global Relocation Services is an operating company of Brookfield Residential Property Services, a leading global provider of real estate and relocation services, technology, and knowledge.
