Businesses relocate for many reasons, primarily to boost their bottom line. But the decision to relocate a company ripples far beyond a company’s board rooms and its cubicles. In addition to the drastic impact on the lives of employees, corporate relocations can revitalize a community and a region.
While it is clear that communities that can successfully lure more companies, jobs, and people to their area will reap economic rewards, companies too rely on relocation to enhance the bottom line. In fact, according to a 2014 report by a leading global corporate and government mobility association, Worldwide ERC®, $12.2 billion was spent in the U.S. on corporate relocation in 2013, and companies that relocated their employees expended an average of $17.7 million to do so. The business sector recognizes the value of keeping their talented employees who know the industry they’re in, the culture of their company, and have ingrained themselves into the vision and direction the company is going.
So, since corporate relocations are so desirable for companies and communities, it is important for business leaders to understand what community features their employees will want, as they try to entice them to relocate along with their business. Here are the top six:
Many companies can’t afford to raise salaries or provide a bonus to entice employees to move with them. Finding a community that will lower employees’ current cost of living provides an important economic incentive - regardless of wages and other compensation packages.
Let’s face it, people are happier in milder climates.
Access to high quality public education is of particular importance to families with school-aged children.
The assurance of having high quality health care facilities within a reasonable distance is important to everyone.
People want reasonably priced, comfortable homes in safe neighborhoods.
What options will they have for their leisure activities? Are there opportunities to join like-minded people in their activities of choice?
The stakes are high for business owners who seek to relocate their businesses. While the balance sheet might be favorable, the reaction of employees may not be. But if they do their homework and can explain how the corporate relocation spot will provide the desirable setting with features employees want, they may be pleasantly surprised at their employees’ willingness to move.
At the same time, savvy community planners will recognize the desirable features company leaders are seeking to find and plan accordingly. How close are medical facilities? What information do you provide about schools? What are community organizations you can highlight? Recognizing and effectively promoting these desirable assets of your region is an important economic development activity.
Corporate relocations can have a tremendous, positive impact on a company’s fiscal outlook and on that of the region they move to. Depending on the selected location, it can have the exact same effect on the quality of life of a company’s employees as well.
Thinking about relocating your company? This free guide can help you decide if North Carolina is a smart move for your business.