Published on September 09, 2011

If you are restructuring your business relocation policy or introducing a corporate relocation policy for the first time, one of the questions you may consider is how to differentiate employees in a tiered policy.

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First, it's important to understand the difference between “tiers” and an employee's status. An employee's status refers not to their status within the company, but their moving status. In other words, it addresses the services an employee may need when he or she moves. For instance, is the employee:

  • a homeowner or renter?
  • single or married?
  • a new hire or current employee?

Additionally, an employee's status may address individualized needs. Does the employee have:

  • kids in schools?
  • elderly parents that may require care or special services?
  • pets that require transfer and licensing?

Understanding Tiers

An employee's tier is related to their standing within the company. Employee tiers may be determined based on salary, title (job level), seniority or a combination of all three. It's important to be consistent in determining employee tiers and to set your business relocation policy and stick with it, in order to avoid resentment from employees if exceptions are made for certain relocating individuals and, similarly, to avoid lawsuits if one employee believes another is receiving special treatment or added bonuses or incentives to encourage the move.

If you need help restructuring your tiered relocation policy, give CapRelo a call. Our experience in the industry, ability to provide benchmarking studies to help you create a competitive package, and extensive business relocation package knowledge will help you keep corporate relocation stress-free.


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