Canadian Employee Relocation Council (CERC) October 5, Survey of Temporary Housing Practices

Transcription

1 Canadian Employee Relocation Council (CERC) Survey of Temporary Housing Practices October 5, 2016 Survey of Temporary Housing Practices

2 Summary This on line survey was conducted from August 1 to September 15, The purpose of the survey was to gather current practices of employers in providing temporary housing assistance to employees on assignment, before transitioning into more permanent accommodations. A total of 21 organizations participated in the survey. All but one of the participating organizations indicated that their relocation policy includes provisions for temporary housing assistance. CERC 2016 Temporary Housing Survey Page 2

3 About the Canadian Employee Relocation Council The Canadian Employee Relocation Council (CERC) is a not-for-profit organization dedicated to removing barriers that restrict mobility and deployment of human capital, which are vitally important to Canada s future prosperity. Established in 1982, the Council represents the interests of its members on workforce mobility matters. Many of the Council s members are listed in Canada s Financial Post Top 500. Copyright This document or any part there of, may not be reproduced, stored in a retrieval system or transmitted in any form or by any means without the express prior written consent of the Canadian Employee Relocation Council Canadian Employee Relocation Council (CERC). All rights reserved. Canadian Employee Relocation Council 44 Victoria St, Suite 1711 Toronto, ON M5C 1Y CERC (2372) Leadership for Workforce Mobility CERC 2016 Temporary Housing Survey Page 3

4 Participating Organizations Aritzia Boehringer Ingelheim (Canada) Ltd. Canada Post Canadian National Railway Canadian Tire Corporation Limited CMHC CN CPPIB exp Services inc. EY Husky Energy International Development Research Centre McCain Foods Limited Nestlé Canada NOVA Chemicals Plus Relocation Scotiabank Suncor Energy Inc. Teck Resources Limited TransCanada Vermilion CERC 2016 Temporary Housing Survey Page 4

5 1. Maximum number of days of temporary accommodation provided under the relocation policy for short term assignments Organizations provide a range of time for temporary accommodations for short term assignments. The average duration for a domestic transfer is between 16 and 30 days; between 31 and 60 days for a cross border transfer and; between 31 and 60 days for an international transfer. Up to 15 days days days days 90 days plus Domestic 0% 41% 18% 12% 23% Canada / U.S.A. Cross Border 0% 29% 35% 12% 6% International 6% 23% 35% 18% 6% A number of respondents also noted that the policy is flexible, and determined by the specific circumstance and need. One company noted using a temporary living budget that does not have a set time limit. 2. Average cost of temporary accommodations for short term assignments The cost of the temporary accommodation for short term assignments varies widely. For domestic short term assignments some companies report paying in excess of $45,000, which is very likely a result of duration and location. The average cost of temporary accommodation for a domestic short term assignment, (excluding these higher amounts) is approximately $6,500. For cross border short term assignments, (again excluding the higher cost of $45,000 plus) the average cost for temporary accommodation is $7,600. CERC 2016 Temporary Housing Survey Page 5

6 For international short term assignments the average cost of temporary accommodations is approximately $9,000. (No companies reported costs above $17,000 for international short term assignments.) 3. Maximum number of days of temporary accommodation provided under the relocation policy for long term assignments and permanent relocation In all cases, domestic, cross border and international transfers, the average maximum duration of temporary accommodation provided for long term assignments and permanent relocation is between 31 and 60 days. Some companies noted that in remote locations those limits can be up to 90 days due to the availability of adequate longer term housing options. Up to 15 days days days days 90 days plus Domestic 0% 41% 25% 25% 12% Canada / U.S.A. Cross Border 0% 35% 35% 12% 6% International 0% 29% 36% 18% 6% 4. Average cost of temporary accommodations for long term assignments and permanent relocation The cost of the temporary accommodation for a longer term assignment or permanent relocation varies depending on location. As with the temporary accommodation costs, one organization reported spending in excess of $45,000. The average cost of temporary accommodation for a domestic transfer, (excluding this higher $45,000 amount) is approximately $6,700, similar to the amount provided for a short term assignment. For cross border transfers, (again excluding the higher cost of $45,000) the average cost for temporary accommodation is approximately $8,400. CERC 2016 Temporary Housing Survey Page 6

7 For international transfers (again excluding the higher cost of $45,000) the average cost of temporary accommodations is approximately $9, Housing solutions and Management Companies report utilizing a mix of housing solutions. The most common being corporate housing (67%) suite hotels (67%), and full service hotels (39%). Other options, including AirBNB and other self-managed options accounted for 6 per cent of responses. Other options include self-managed private rentals, managed through the relocation management company. In 61 per cent of the companies surveyed, the temporary housing arrangements are managed by a third party services provider, 44 per cent report managing the arrangements in house, or in combination with the employee and the provider. The majority of companies in the survey (77%) do not have a preferred vendor agreement in place. CERC 2016 Temporary Housing Survey Page 7