This article is part of a recurring series highlighting recent talent mobility industry reports. If you would like the WERC editorial team to consider covering a specific industry report, email mobility@worldwideerc.org.
Atlas Van Lines’ annual Corporate Relocation Survey is out, drawing on responses from 558 decision-makers across multiple industries surveyed between 3 December 2024 and 15 January 2025. The results indicate that, despite economic and other challenges, relocation volumes and budgets are increasing as companies focus on talent mobility and workforce flexibility.
Notably, however, the report excludes the effects of recent U.S. policy changes on immigration and trade. While initial results show a positive outlook, and as companies work through challenges out of their control, longer-term implications for corporate relocations will be seen with time.
Last year was not without hurdles for relocation companies, which faced major headwinds, externally and internally. Externally, economic conditions were the biggest challenge, impacting 50% of companies, while real estate fluctuations, rising mortgage rates, and ongoing talent shortages were also stressed. Internally, corporate growth, restructuring, budget constraints, and knowledge/skill transfers were the top factors impacting relocation decisions.
While 58% of companies reported employees declining relocation offers, it was a marked improvement from preceding years (64% in 2023, 67% in 2022, and 68% in 2021). Familial obligations were the leading cause for declined assignments. Partners’ employment situations also impacted refusals, as did housing market volatility and rising mortgage rates.
Acknowledging these challenges, companies responded with improved financial support, the survey revealed. A shift from standard, one-size-fits-all policies to flexible, customizable relocation benefit packages was also noted. In light of these trends, 58% of companies reported an increase in their relocation budget last year, while 63% said their relocation budgets will increase in 2025.
At the same time, 30% of companies noted that their relocation volume stayed the same in 2024 compared to 2023, indicating that more money is going into each relocation. This held true for international assignments as well, which 42% of companies said remained at the same level as 2023.
Overall, a 9% drop in international relocations was observed, compared to a 3% increase in relocations within the United States. Domestically, 40% of relocations were interstate and 36% were intrastate, while 15% of relocations were between the U.S. and another country; 9% were between two foreign countries. Both international figures marked declines from the previous year.
A Policy Shift: Fixed vs. Flex
Nearly half of companies said they lost talented employees last year, due at least in part to their relocation policies. As a result, 2024 saw a 16-point decline in all types of formal relocation policies compared to 2023. In the survey, more companies reported that fixed- and flexible-use relocation benefits became policy-dependent, shifting away from being available to all relocating employees. About a third of companies reported that fixed and flexible relocation benefits were policy-dependent, compared to just 6% and 13%, respectively, in 2023.
The most common fixed benefits last year were travel expenses, final move (52%) and temporary housing (51%), both of which saw significant increases from 2023. This was followed by household goods shipping (42%), and rental assistance/transaction costs (42%).
Another notable difference between 2023 and 2024 involved tailored approaches to offering fixed relocation benefits. The most common method was basing fixed benefits on the employee’s level (35%). In contrast, just under a quarter of companies provided fixed benefits to all relocating employees. This differed greatly from 2023, when more than half of companies reported doing so. The most notable change, however, was the increase in companies tying fixed benefits to specific relocation policies, rising from just 6% in 2023 to 32% in 2024.
When it came to flexible benefits, most respondents (36%) indicated they were policy dependent in 2024, compared to being dependent on employee level (28%) or available to all relocating employees (24%). In 2023, 44% of companies said flexible use of the full relocation benefit amount was mainly available to all relocating employees.
Alternative Assignments and Other Incentives on the Rise
Some companies also adjusted their approach through greater use of alternative assignments, typically domestically and on a limited basis; a slight increase is anticipated this year. These types of assignments included extended business travel, cross-border commuting, rotational placement, localization, and permanent international transfers in place of relocation. Many of these alternative assignment types were related to international relocation, which otherwise fell last year.
The reasons behind alternative assignments also changed last year, with being used in place of long-term assignments no longer top of the list. Rather, they were used to meet strategic business goals (37%); accommodate employee needs (33%), a notable increase from 22% in 2023; or as supplements to long-term assignments (35%).
Relocation reimbursement practices also changed last year. Partial reimbursement based on salary, position, or policy tier increased, while all other reimbursement types, including lump sum, decreased. Ranges of lump-sum payment totals, meanwhile, climbed last year. Most companies in 2023 offered lump sums in the ranges of $5,000-$7,499 or $10,000-$12,499. In 2024, $10,000-$12,499 was still the most common amount offered, but each range from $7,500-$9,999 to $25,000+ saw at least a 4% increase.
Housing prices and mortgage rates were in focus last year, in certain areas more than others. While companies’ top offerings to homeowners overall varied only slightly last year, there were some notable changes compared to 2023. For example, 11% fewer companies offered to reimburse or pay for federal tax liability in 2024 compared to 2023, while 10% more companies offered bonuses or incentives for employee-generated home sales. Some 9% fewer companies also offered mortgage subsidies or allowances, while 10% more offered duplicate housing assistance. Also of note: 15% more companies provided home purchase loans.
The number of nonstandard incentives for relocation remained mostly steady. There were some exceptions, however, such as the number of companies reporting they did not offer any nonstandard incentives or exceptions, which decreased from 18% in 2023 to 10% in 2024. Cost-of-living adjustments (61%), relocation bonuses (53%), and extended temporary housing (40%) also saw notable increases as nonstandard incentives.
What The Numbers Say vs. Today’s Landscape
The changes noted in Atlas Van Lines’ 2025 Corporate Relocation Survey reflect dynamics at play often beyond the control of companies, such as inflationary pressures and high mortgage rates. These numbers do not reflect the impacts of recent U.S. policy changes regarding immigration, trade, and other issues. This year, many companies are again caught in the middle of circumstances they have little or no control of. The full significance for corporate relocations will continue to evolve and be brought to light as further research is conducted.