Why Do Companies Relocate? And What Should You Consider Before Accepting to Move?

Why Do Companies Relocate? And What Should You Consider Before Accepting to Move?

Companies relocate for a variety of reasons, and this will be a stressful time for all the employees involved. In many cases, employees are forced to uproot their lives and take their families with them. 

With this in mind, it wouldn’t seem like relocating is worth it. Productivity is bound to drop as team members are distracted. Because of the complex logistical issues, most companies choose to hire professional relocation services like ARC Relocation in order to lower the burden on their HR teams.

In this article, we’ll take a look at some common reasons why companies decide to relocate despite going through these challenges and the things you have to consider should your company decides to make a move.

Why Companies Relocate

  • Access to Talent Pools

Companies are always trying to employ the best candidates, especially those with specific skill sets. Companies may relocate to university towns to find the top graduates or to areas that are well known for specific niches, such as what New York is to banking. This, in turn, makes working for the company more appealing as the competition allows for career growth.

  • Better Quality of Life

Even though relocating is a huge sacrifice, the company may have good intentions in mind. A different city may offer a better quality of life for its employees. This could mean better public schools, transportation, safety, and access to top-tier health care facilities.

  • It’s Time for Growth

Most companies start out in small office spaces, and as the business expands this becomes less feasible. Growth is the most common reason why companies relocate. Looking for a new office space means having the facilities to hire more employees and accommodate a wider customer or client base. 

What You Need to Consider

So, your boss broke the news about moving and there’s a mixed bag of emotions circulating the office. It’s a confusing time, but you’ll need to make a decision sooner or later. Here are some important things you should think about before agreeing:

  • Do You Have Anyone Fully Dependent On You?

These could be your aging parents, a sick friend who’s living with you, or even your own children that have settled down in their school. Whatever the case may be, it’s worth discussing with the company’s HR team and sees how they can accommodate your needs.

  • Costs of Living

Some cities are just more expensive to live in. Even if you were promised a promotion, if the salary raise isn’t substantial, you won’t feel any improvement in your quality of life as compared to your previous job in a cheaper location.


Naturally, your HR team would compensate you for your troubles. But be sure to look into the terms of your relocation package. You can discuss better health insurance coverage and allowances for you and your spouse to visit the area and look for a new home as this can get very expensive.

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