How AI, Voluntary Moves Are Impacting Corporate Relocation

The corporate relocation industry hasn’t been immune to trends buffeting the workplace—such as the rise of artificial intelligence, labor shortages, and the mainstreaming of hybrid work models.

New studies show those developments and others are leading organizations to rethink their relocation strategies and adopt more unconventional policies to adapt to the needs of employees in the post-pandemic workforce.

Effects of AI, Voluntary Relocations

A 2024 corporate relocation survey from Atlas Van Lines found that 21% of respondents cited the emergence of AI as an internal factor impacting employee relocation. Ryan McConnell, president and chief operating officer of Atlas Van Lines, said that accelerating AI use is part of an evolving corporate relocation industry that’s also seen a significant rise in voluntary employee moves and nontraditional relocation benefits to attract workers amid ongoing labor shortages.

AI, for example, is increasingly being used to help relocating employees more efficiently assess their housing options and better manage logistics and relocation costs.

"As AI takes center stage in the digital solutions conversation, it offers great potential to unlock benefits for relocation programs in areas like forecasting, budgeting, and analytics," McConnell said. "AI has the ability to optimize services through the supply chain, generate personalized recommendations for relocating employees, and enhance the overall efficiency of the process."

Relocation technology platforms now regularly use AI-generated data insights to match relocating employees with housing options based on preferences and budgets. AI-powered expense management tools also can automate the process of categorizing and processing receipts and other costs associated with relocation, according to industry experts.

Atlas, for example, uses a tool called AI Workflow Companion that enables employee self-service options, virtual consultations, and AI-enhanced survey tools during relocations. The tool analyzes video footage of employees’ belongings to ensure precise assessments of the volume of items. The goal of the technology is to create faster and more accurate moving estimates and improved response times for relocating employees.

Growing Use of Nonstandard Benefits

As companies struggle to find workers and employees push back against moving to new jobsites, organizations are offering new relocation benefits to attract talent. The Atlas study found that nearly half of business leaders believe unconventional employee relocation incentives are effective in encouraging moves.

Almost all companies in the study reported increasing nonstandard relocation incentives from 2022 to 2023. The top three most offered nonstandard benefits were relocation or sign-on bonuses (44% offering), “guarantee of employment” contracts for specific lengths of time if relocation is accepted (42%), and cost-of-living adjustments (42%).

Almost half of the respondents to the Atlas study (44%) also said the number of voluntary employee moves in their organizations was expected to increase in 2024. Those relocations are increasingly motivated by employees seeking factors such as lower living costs, closer proximity to family or friends, or improved work/life balance. The study found that more companies are reacting to the trend—which began amid the rise of remote work during the pandemic—by creating new voluntary move policies and providing access to relocation provider networks for employees’ voluntary moves.

The Atlas study also found growing use of short-term assignments and alternative assignments in 2023 as a replacement for traditional, longer-term relocations. Examples of alternative assignments include extended business travel, cross-border commuting, and rotational placement. As this new breed of relocations grows, organizations are creating new policies and incentives to support the trend.

Dave Zielinski is principal of Skiwood Communications, a business writing and editing company in Minneapolis.