Global Relocation Policies in 2025
Companies redefining global mobility are embracing innovation, purpose-driven strategies, and flexible, employee-centered relocation programs to stay competitive amid changing economic pressures and shifts in the workforce.
Such modifications can be seen in NEI Global Relocation’s recent 2024 International All Benefits Survey which examined all components of a typical International relocation program, focusing on short- and long-term assignments and permanent transfers of 108 participating global companies.
Key takeaways include:
1) Overall International Relocation Programs:
- Lump Sum-Only Policies: Lump sum-only is rarely used for international moves by surveyed companies. Fewer than 11% use this approach for permanent moves, and less than 1% for short- and long-term assignments.Giving a lump sum to cover all relocation expenses may seem simpler and offer more flexibility, but employee stress can become overwhelming, putting a relocation or assignment at risk.
- Repayment Agreement Terms: The survey saw a significant uptick in companies that prorate some or all repayment funds (80% in 2024, up from 62% in 2022) and those using a 24-month required repayment agreement term (83% in 2024, up from 61%).
- Companies are expanding their intra-country and intra-region mobility policies across the Americas and LATAM: According to NEI’s survey, while this trend is on the rise, certain assignments remain the most prevalent: 90% had a permanent transfer policy; 81% a long-term assignment policy; and 73% a short-term assignment policy.
2) Support for Families Accepting International Relocations:
- Pet Transport: Pet relocation offerings rose significantly, with 39% of companies providing in long-term assignments (up from 30% in 2022) and 34% for permanent transfers (up from 23%).Most pet owners consider pets as family and would be hesitant to move without them.
- Spouse / Family Assistance: There’s been a noticeable shift from career assistance to family acclimation services for international assignments. Long-term assignments offering Spouse / Family Assistance rose from 61% in 2022 to 74% in 2024 and offering it to permanent transfers rose from 51% in 2022 to 55%.
- Host Country Transportation: A common short- and long-term assignment benefit, assistance provided varies with almost half of the companies surveyed offering assistance based on the location or local practice.
- Host Country Housing: Most employees on assignment live in a rented apartment/flat throughout their assignment. In 2024’s survey, 85% of companies cover housing costs for employees on short-term assignments – either directly or through their relocation partners – compared to 62% for employees on long-term assignments.
- Global Health Insurance Plans: NEI saw a significant shift of companies this year providing a global plan approach for short-term (56%) and long-term (65%) assignments, a change from our 2022 survey when 71% of companies used a home-based approach for short-term assignments and 57% for long-term.
3) Cost Impact of International Relocation Policy Changes:
- Furniture Allowance: NEI’s seen an increase in companies offering furniture allowances in lieu of a household good shipment. For short-term assignments, 54% of surveyed companies offered one compared to 38% in 2022. For permanent, 48% offered one in 2024 compared to only 37% in 2022.
- Storage: NEI’s seen the storage benefit decrease for all policy types in the last year, most likely due to companies’ cost containment measures. Providing 15 to 30 days of storage is the standard practice for permanent moves and long-term assignments.
- Relocation Allowance: NEI noted an increase in companies offering the allowance across all policy types and also shifting more towards offering a flat amount per employee vs. percentage of salary. For eligibility, short-term assignments rose from 45% (2022) to 68% (2024); long-term assignments increased from 74% to 87%; and permanent moves rose from 76% to 87% in 2024.
- Tax Gross-up: NEI observed a rise in companies incorporating state insurance, social security, and local, city, and social taxes into the hypo tax. Traditionally, NEI finds most companies offer tax consultation to establish expectations upfront, along with tax preparation support through an assignment, consistent with NEI’s 2024’s survey.
New Non-Negotiables
Organizations are leveraging relocation benefits as a strategic tool for recruitment and retention. Family-focused service – acclimation, spouse career assistance, childcare support and pet relocation – are increasingly seen as must-haves rather than optional. NEI’s Survey show they have become vital in ensuring employees feel supported and valued.
More companies are also introducing rotational assignments and commuter policies that cater to the growing demand for professional development opportunities without long-term relocations. These resonate well with younger employees who prioritize career growth / work-life balance.
Review your mobility programs to integrate these offerings and position your organization as an employer of choice.
The Future: Adaptability and Strategy
We encourage companies to embrace the global mobility trends, flexibility, and innovation cited above to stay ahead in 2025, attract top talent, and lead your industry in the years to come – but preparation starts today.
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