Cartus survey reveals the three greatest challenges in global mobility
A new survey of 148 worldwide relocation managers has also highlighted a decrease in the number of Generation X transferees and a significant increase in the number of globally mobile Millennials.
Payroll problems, housing issues also prevalentOne of the top challenges facing companies and their assignees is in the area of payroll. A key issue, named by just over half of respondents (51 per cent), is currency fluctuation, which can affect employees' paycheques if mitigating steps are not taken. Other payroll issues noted by respondents included complications with payroll inflexibility in some countries, and differing home and host pay approaches within regions or countries.When it comes to housing, 64 per cent of relocation managers named high costs the biggest challenge for companies, by far.Housing that is different or of lower quality than assignees expect ranked second (52 per cent), while inadequate inventory (50 per cent) ranked as the third-highest housing challenge.Mr Spinolo said, "These challenges highlight the need for multinational companies to set assignees' expectations up front, not only in the area of housing quality, but also in the need to be decisive because competition for limited expatriate-style housing inventory can be stiff."
Millennial vs. Generation X – Who's getting the job transfer?When it comes to who is being transferred, the number of millennials on global assignment has increased 3 percentage points in just two years (27 per cent this year compared to 24 per cent in 2013). The Cartus survey found fewer Generation X employees (those between 35 and 49 years of age) are going on global assignment, down five percentage points in 2015 (51 per cent) versus 2013 (56 per cent).
Finances over families?Respondents indicated that finances outweighed family issues by a greater than 5-to-1 ratio. Although family issues remain important, cost control continues to be top of mind within most organisations.
HR managers pointed to the top three areas of concern:
- Finances – rising costs are the top concern for HR managers and/or business partners.
- Family issues – expats dealing with family issues that ultimately impact their productivity.
- Failure of assignments – which cost the company time, money, and missed opportunities.