As 2022 progresses, a few points are worth keeping an eye on when it comes to corporate relocation trends. Whether your business is in the market for a new space or simply curious about the latest industry developments, read on to find out what’s trending in corporate relocation this year.
Relocations to Upcoming Business Hubs
As companies strive to recover from the ravages of the COVID-19 pandemic, they are moving out of expensive cities like New York, Los Angeles, and San Francisco and setting up offices in the more business-friendly, up-and-coming cities.
Formerly overlooked cities such as Dallas, Atlanta, and Austin are seemingly attractive to corporates as they offer generous tax incentives and beneficial connections.
In addition, remuneration for remote work positions often depends on that job’s ongoing rate in the city where the company has its headquarters. This is another reason companies relocate their headquarters to cities with lower living and operating costs.
Remote Work and Hybrid Work Concepts
The COVID-19 pandemic increased the adoption of work-from-home and remote work office models. Data from Gallup shows that 69% of workers were already working remotely by May 2020. Experts believe that this trend is here to stay.
Companies like Dropbox, Facebook, and TripAdvisor have already adopted permanent remote work models. On the other hand, companies like Google and Apple have adopted a hybrid office model. This concept allows human resources to balance working from home and at the office.
One of the benefits of remote working is that it promotes better work-life balance and individual productivity. A survey by the Becker Friedman Institute for Economics revealed that working from home saved employees at least nine billion hours of commute time between March 2020 and September 2020.
Instead of relocating employees to cheaper cities, more companies are adopting remote work due to lower overhead costs.
Office Space Remodeling
Companies that have shifted to remote work or hybrid work models have realized they no longer need large amounts of office space. Consequently, they have opted to downsize to cut overhead costs.
With the downsizing, some companies have also generated enough funds to expand to new cities, states, and countries. It is also worth noting that rethinking and repurposing how companies use their office spaces has been an ongoing trend across various industries.
Instead of using their expansive floor spaces for in-person shopping, retail stores dedicate these spaces to fulfilling e-commerce orders. Likewise, restaurants have shifted from dining rooms to ghost kitchens.
Other similar corporate relocation trends to look out for in 2022 include:
- Companies remodel their floor plans to be less dense.
- Companies repurposing their shared spaces, including conference rooms.
- Companies implementing contactless technology
- Companies updating air systems
Generous Job Relocation Packages
The increasing remote work capabilities have enabled professionals to work for companies that were formerly unreachable due to proximity. With the significantly improved talent pool, companies also have to offer competitive packages to win over top talent.
If you plan to implement an in-office or hybrid work model in 2022, you will need to offer prospective workers a competitive job relocation package.
Many workers are willing to relocate for various reasons, such as better growth opportunities and a new atmosphere. Offering competitive job relocation benefits encourages potential and current employees to relocate for your company.
Corporate Moves Are More Efficient with Professional Movers
If you are looking for a reliable company to help you with corporate relocation, look no further than Sterling Interstate. We have the resources and experience to ensure an efficient and hassle-free relocation process. Call (602) 643-9022 today to learn more about our relocation services and get a free quote for corporate moves.