Many employers relocate employees to strategically place them throughout the organization and to remain competitive in the industry. Relocation generally occurs to satisfy the business needs of the company. Many companies maintain relocation policies and offer key employees incentives to consider relocation.
Your employer has asked you to relocate for work and has provided you with the terms the company is offering you in exchange for your agreement to relocate. Before agreeing to the relocation there are certain factors an employee should consider to ensure that the employee understands the offer being made, the incentives being offered, and the fine print of the offer. The list below are just some of the factors to contemplate before agreeing to the big move:
(a) will you receive a relocation agreement?
(b) will the agreement provide you with a guaranteed term of employment or will you still be an at will employee?
(c) who will pay for relocation costs?
(d) will the company pay for you to re-relocate after the term of the engagement?
(e) if you are relocating mid-year will you receive a bonus and if so, who (the original team or new team) will pay the bonus? Will you be receiving a guaranteed bonus amount?
(f) are there specific grounds for termination?
(g) will you have a job to come back to and if so, what will the role be?
(h) do you have the option of staying on? or relocating to a new location?
(i) are there any tax implications?
(j) will the company be relocating you and your family or just you?
(k) what expenses are reimbursable?
(l) are there any repayment triggers and if so, what is the repayment schedule?
Relocation is a big move. It can be highly beneficial for your career. However, it can also be financially devastating to you and your family if not carefully considered and negotiated. If you are considering relocating for your employer, you should speak with an attorney to ensure that you understand the terms of the offer and any document you are being asked to sign.
To schedule a consultation to find out more about the terms of your relocation package or to obtain advice for discussions with your employer about potential relocation contact Sheree Donath at Sheree@DonathLaw.com or at (516) 804-0274.