CapRelo Blog

Information You’ll Need Before Writing an Employee Relocation Letter

Posted by Rick Bruce on Tue, Jan 08, 2013

pen-and-paper.jpgIf you want to write an effective employee relocation letter that invigorates your employee about their new position and makes the transition easier on everyone involved, there are certain key pieces of information you should have first.

Fortunately, you don't need a three-ring binder or thick stacks of information in order to write this letter. Everything you need to write an effective employee relocation letter should be readily available to you. You'll just need to collect, or have someone collect, some key bits of information.

Learn how to write an employee referral letter in our free article.

Before you write your letter, you should make sure you:

1. Know Your Employee

What should be the very first consideration of every employee relocation letter is instead often an afterthought--when it's even a thought at all! Typically, most of these letters are most concerned with employee relocation assistance, the different responsibilities or conditions of the employee's job in the new location, and maybe a bit of a pep-talk as an add-on.

While the employee relocation is being done for the good of your business, it's still your employee who should come first in the relocation letter. That's why it's important to mention the benefits of the relocation, as they apply to the individual employee, as soon as you can in your letter.

(The very first thing you should do, however, is remind him or her of the conversation that recently took place about his or her relocation. This letter should never be the first your employee hears of the move!)

These few minutes of consideration can pay off big in the long run: every bit of individualized attention you give your relocating employee now will make a bigger impact than it would under more normal circumstances. This translates into increased loyalty and productivity for your company.

2. Know Your Employee's New Duties, Responsibilities, or Changed Position

If your employee's responsibilities or job function will change at all, these changes should be detailed in the relocation letter. You'll need information concerning:

  • The employee's new position or title
  • New or added duties and responsibilities
  • Duties the employee will no longer be responsible for
  • New salary or increased benefits, if applicable

3. Know Your Employee Relocation Package

Your employee relocation letter should also outline the assistance package your employee will be provided with. This should include:

  • Assistance directly provided or paid for by you, the employer
  • Information on how to submit claims for reimbursement
  • Information concerning housing assistance in the new location
  • Offers for employee home sale assistance in the current location

Of course, you don't have to put this package together yourself. You can (and probably should) save money in the long run, while investing in your employee's productivity, by hiring out a managed solution by an experienced employee relocation company.

How to Write an Employee Relocation Letter


Topics: talent retention, Home Selling and Purchase Assistance, relocating employees, writing relocation offer letter, talent management

Three Myths about the Relocation Process

Posted by George Herriage on Mon, Feb 13, 2012

Even if they've been through the relocation process with employees many times, your HR staff and management team may have misconceptions about the relocation process. Here are three common myths -- and the real truth about the relocation process.

Download our Free White Paper: Ways to Increase Employee Engagement

Myth #1: Every employee relocation is different, so there's no way to set standards or benchmarks for best practices.

Truth: While every employee relocation differs slightly -- because every situation and every employee is different -- putting best practices for your relocation process in place assures all employees will be treated fairly and will minimize financial loss for your company due to surprise expenses. An effective, stress free relocation process should have best practices in place with plenty of room for customization based on the relocating employee's needs.

Myth #2: Employees will get back to work quickly even if they face headaches and stress during the relocation process -- after all, it's their job.

Truth: In an ideal world, employees would be wholeheartedly committed to their work even during the process of moving, selling their home, and possibly even commuting far away from their families. But the fact is, the sooner you can get employees back into a normal routine, in a home they can call their own, the quicker they will return to full productivity. A stress free relocation process can help.

Myth #3: Members of your HR staff can handle the entire relocation process themselves -- you don't need to hire a relocation management company to help.

Truth: Hiring a relocation management company to help your HR staff and relocating employees through the relocation process ensures greater productivity, keeps costs down, and results in better employee retention.

Topics: relocation packages, talent retention, Home Selling and Purchase Assistance, talent management

Company Relocation: Do Tax Benefits Make it Worth It?

Posted by Nicole Overholt on Tue, Jul 05, 2011

When Peoria, Illinois-based Caterpillar threatened to move from the state due to income tax increases, it sparked a flurry of debate over corporate relocation and relocation tax incentives for companies.

The threat actually hurt stock prices of the heavy equipment manufacturer, as well as reducing company morale and productivity. While Caterpillar's CEO stressed to Illinois governor Pat Quinn that he prefers to stay in the state, the damage was done.

Factors to Consider Prior to Company Relocation

At CapRelo, we'd be the last people to tell anyone that corporate relocation is a bad idea, but we would like to emphasize some of the factors you should consider before deciding if it's the right decision for your company.

  1. Can you recruit new talent in your new location? Choosing the right area is one of the key factors in whether or not a company will be successful in recruiting new talent after relocation. Shop carefully, and think about the types of people you need to help your company operate optimally.
  2. Will you be able to retain most of your top talent? Again, it's all about location, location, location. No matter how desirable your corporate relocation package, if you're not relocating to a place your employees want to live, you won't retain them.
  3. Will the tax incentives offset some or all of the corporate relocation costs? When you factor in all the real and hidden costs of relocation, do the tax incentives still sound as appealing? Are tax benefits long term (such as lower corporate taxes) or one-time bonuses?



Topics: talent retention, tax impact of relocation, corporate relocation program, talent management

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