Asking right questions of movers ensures smoother process for employers, employees
Regardless of whether a company moves two or three people per year or has a large number of relocations, having a proper relocation process and a well-defined policy in place increase employee productivity, morale and loyalty to a corporation. If employees feel they are being treated fairly and are happy with the move, they are more likely to view their employer in a positive light.
Relocating an employee is a major investment for an employer, with average costs (for homeowners) ranging from $50,000 for moves within Canada to about $65,000 for cross-border relocations. These figures cover a wide range of expenses, including real estate commissions, home-finding trips, temporary accommodations and family possessions. Generally the physical move represents one-fifth to one-quarter of the overall relocation expense for a family of four, so choosing the right carrier and having a defined policy can be very beneficial to a corporation.
Choosing a carrier or mover
Since moving is such a stressful experience for employees, a company should pre-select a carrier or a group of carriers to handle employee relocations. Even if a company is only providing an employee with a lump sum for moving expenses, it can be very helpful to provide a list of approved carriers as opposed to having an employee make a random selection.
If a company anticipates having 30 or more relocations annually, it may want to consider doing a request for proposal as part of the selection process. A less formal method is to meet with several carriers to explain the company’s requirements and then ask for a written proposal outlining the service and pricing programs.
At a minimum, these proposals should define the:
• company resources, van line affiliation and geographic network
• internal move-management process
• service guarantees, value-added benefits and pricing proposal
• claims settlement procedures
• quality control system — method and measurement
• automation and management reports.
A company should invite representatives from the carriers to make a verbal presentation and answer questions. The carriers should be instructed to include operational or move-management personnel at the presentation.
Having a thorough policy
If a company offers different relocation benefits to various categories of transferees (such as new hires, middle management or senior executives), it is recommended the employee only be provided with the information pertinent to his situation. The policy should clearly outline what moving services are authorized and list any restrictions. A copy of this policy should also be shared with the moving company handling the relocation.
Relocation is often a key component to recruiting and retaining talent so it is imperative the relocation policy be consistent and competitive with other employers.
Here are standard moving policies commonly used by employers:
Transportation of household goods: The total weight of a shipment should be in line with the size of the family. The company may want to place an upward restriction on weight.
Packing and unpacking: Carriers do not take liability for damage to owner-packed cartons (unless there is visible damage to the exterior of a carton) so having the moving company pack and unpack possessions makes the most sense. Allowance should also be made for the crating of marble, glass table tops, slate pool table tops, antiques and other delicate items. Special packaging material (such as microfoam) is also required for plasma televisions, stainless steel appliances and other easily scratched items.
Replacement cargo protection: Carriers’ basic coverage is restricted to 60 cents per pound per item so carriers offer replacement coverage at a reasonable cost, subject to $10 per pound multiplied by the actual weight of the shipment (for example, a 10,000-pound shipment equals $100,000 replacement protection).
Appliance servicing: Servicing of major appliances is required for safe transport. Ice-makers, built-in dishwashers and gas appliances are items that require special authorization from the company.
Assembly: Servicing of grandfather clocks or the disassembly and reassembly of items such as backyard swing sets, storage sheds, exercise equipment, billiard tables and grand pianos require special authorization.
Vehicles: The company will typically permit the shipment of two personal vehicles, providing the distance between origin and destination is more than 350 kilometres. Usually the second vehicle must be transported by the least expensive method (rail or a third-party carrier).
Recreational vehicles: The company will pay to ship a small camper trailer, canoe, fishing boat or snowmobile. Larger items require special authorization.
Household pets: Dogs and cats can usually be transported as extra baggage on the same flight as the employee. The company will pay for the rental of a pet carrier. The employee is responsible for any boarding or veterinary fees.
Plants: Due to the possibility of damage during transit because of cold, heat and other factors, the shipment of plants is not authorized.
Housecleaning: The company will pay for a basic, light housecleaning service at origin providing the cost is not more than $150.
Carol Davis is vice-president of marketing and corporate communications at Atlas Canada in Oakville, Ont. She can be reached at [email protected]. For more information, visit atlasvanlines.ca.
