Canadian HR Reporter is the national journal of human resource management. It features the latest workplace news, HR best practices, employment law commentary and tools and tips for employers to get the most out of their workforce.
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CANADIAN HR REPORTER October 3, 2016 16 FEATURES/NEWS RELOCATION Understanding mobility A look at the top fi ve factors driving change and the top fi ve trends in relocation By Stephen Cryne T he nature of global mobil- ity is changing. For years, the industry has observed a steady and signifi cant shift in the way people work, live and communicate. It's a shift that has ramped up demand for skilled and specialized workers and created new complexities for mobility professionals. ese changes have been the sub- ject of countless research studies. Last fall, the Canadian Employ- ee Relocation Council (CERC) teamed up with the European Relocation Association (EuRA) to take that research one step fur- ther in launching a study to dis- cover top trends and consensus points in a vetted list of 57 global employee mobility reports pub- lished between 2011 and 2016. The new study reflects the opinions and experiences of over 25,000 mobility stakeholders across 140 countries. To begin, there are the top fi ve factors many believe are driv- ing change across the globe and impacting the $60-billion mobil- ity industry: Globalization 2.0, which is creating a shift in power of economic might from west to east; demographic change, such as retiring workforces and the rise of millennials; individualism, creating more power of choice for employees and a more knowl- edgeable workforce; a movement toward knowledge-based econo- mies; and technology and the digital age. Together, these factors are in- creasing demand for skilled and specialized talent across the globe. In response, more employers are expanding mobility programs to manage complex talent gaps, in- crease global reach, attract and retain employees, and develop tomorrow's leaders. Fortunately, there are plenty of skilled workers willing to meet the demand for global talent. Most millennials are eager to complete a mobility experience in the fi rst six years of their career, found the study. Interestingly, 71 per cent of female millennials want to work abroad, but they only rep- resent 20 per cent of the current international mobility popula- tion. is disconnect makes for a strong argument for better talent engagement. ere is, however, consensus regarding the challenges employ- ers face in mobilizing talent. Cost pressures are most prominent as the fallout from the Great Re- cession, the European debt crisis and other economic crises push managers to do more with less. Managers also are expected to continuously prove the value of employee mobility. Further challenges are tied to keeping up with the complexities of a modern mobility program, as well as diffi culties staying compli- ant with changing tax laws and government regulations. More than three-quarters (78 per cent) of employers cited over-regula- tion as a major concern, accord- ing to a PricewaterhouseCoopers Global CEO Survey. Future trends As for the top fi ve mobility trends, these include the prediction em- ployee mobility will continue to rise, but the length and types of assignments will vary more than ever. Cost-conscious employers will favour shorter-term assign- ments and "local plus" programs while exploring technological al- ternatives, such as assigning staff to "virtual teams." At the same time, incentive packages will likely become even more fl exible and will be based on the specifi c needs of the em- ployee, her circumstances and the relocation budget. Second, mobility professionals and consultancies are all advocat- ing for mobility to play a more strategic role in the organization and to become embedded in a diverse range of organizational activities and play a broader role in human resources. e third observable trend is cost concerns will put more pres- sure on relocation managers to prove the return on investment of their assignments. is will lead to better ROI tracking tools and a greater understanding of the value of global employee mobility to a company. Ninety-fi ve per cent of compa- nies do not measure international assignment ROI and are not even sure how to start, according to Brookfi eld GRS's Mindful Mobil- ity report. However, three out of four re- spondents said they expect to be measuring ROI in two years' time, compared to the nine per cent that do so now, according to Manpow- erGroup's report Moving People with Purpose. Technology and data analytics was the fourth observable trend. While the use of predictive ana- lytics in HR is still in its relative infancy, an increasing number of organizations are beginning to embrace the concept. e data is available, but more sophis- ticated analysis would provide valuable trend information and the potential to identify risks. From better program manage- ment to improved employee ex- periences, mobility professionals must stay on top of technological advancements. The research also points to greater collaboration between employers and their respective governments, as business puts more pressure on government at all levels to reduce barriers to em- ployee mobility. Forty-four per cent of CEOs plan to work with government to develop a skilled and adaptable workforce over the next three years, and 27 per cent intend to work with government in creat- ing a more competitive and effi - cient tax system, according to the Global CEO Survey. For those partnerships to work, most agree that industries must build a more impactful business case for global employee mobil- ity and improve communications with government partners. Overall, many see talent mobil- ity playing a much larger role in an organization's strategic planning. Investment in mobility technolo- gy and data analytics will become important in managing a global workforce. e aforementioned Global CEO Survey indicates a majority of CEOs already believe their investments in digital tech- nologies have created value for their business. If there is one key take-away from the report, it's that global employee mobility is something both employers and employ- ees are keen to embrace. And hopefully it will encourage more thinking about the importance of mobility to economic prosperity and business success, as well as its critical role in building mean- ingful and rewarding careers for employees. Stephen Cryne is president of the Ca- nadian Employee Relocation Council (CERC) in Toronto. For more informa- tion on the study, visit www.cerc.ca. disability, the employer argued termination was not excessive as there had been a complete loss of trust and the employment rela- tionship was no longer viable. e arbitrators disagreed on all almost all points. Not disciplining a health-care worker who showed up late and intoxicated would be a "rare cir- cumstance indeed," they wrote. But in fi nding Storey's conduct non-culpable and undeserving of any discipline, that's exactly what the arbitration board did. It found ample evidence of an alcohol addiction and even though Larrea wasn't involved with the employer's letters in 2007 to 2010, it was "inconceivable that she did not know (Storey) was addicted to alcohol and had a disability." e arbitrators found it ironic that Larrea was aware of the pre- vious incidents because the em- ployer breached the sunset clause that should have expunged the 2007-2010 events from Storey's fi les. " e notes from the investiga- tion meetings and the termination letter plainly reveal the infl uence of the aged records and discipline regarding intoxication, which had an alcohol problem at its core," wrote the board. It chastised the employer for not delivering the second disci- pline letter — which called for an unpaid suspension and for her to enter a treatment program. "What makes us shake our heads is that Ms. Larrea knew (Storey) was intoxicated (or, at a minimum, under the infl uence of alcohol) on June 18, and (Sto- rey's) denial was implausible. What more would a reasonable employer need to trigger the ac- commodation set out in the letter that was not delivered?" e employer shouldn't have waited for an offi cial time off re- quest. Broaching the subject with her employer was a "cry for help that fell on deaf ears," said the board. And had more empathy been shown, given the worker's history, the June 18 incident could have been avoided. e board also took the em- ployer to task for accommodat- ing Storey in the past when she was a more junior employee, but turning immediately to termina- tion for a similar off ence when she had more seniority. It ordered Storey reinstated with full back pay, seniority and benefi ts. e only condition at- tached was for her to attend an accredited treatment program "to the extent reasonably deter- mined to be necessary from time to time." 'Cry for help' falls on deaf ears INTOXICATED < pg. 9 A numbers game Highlights from the research: • 89 per cent of organizations plan to increase their mobile workers in the next two years. • 34 per cent of employers report "having trouble fi lling key positions." • Family concerns are the single most noted reason for assignment refusal. • 71 per cent of fi rms are actively searching for talent in different geographies, industries and demographics. • 75 per cent of mobility professionals agree that assignment destinations match their organization's priority destinations for growth. • 66 per cent of employers plan to devote more attention to developing the talent pipeline and the future leaders of their organization. • 80 per cent of millennials want to work outside of their home country at some point during their career. • 78 per cent of employers expect to see changes in the way their company manages talent in the near future.