Measure ROI of Relocation Benefits: Know the Employee Impact

In today’s globalized business landscape, companies often require employees to relocate for various reasons, such as expanding operations, filling skill gaps, or providing career development opportunities. To support these moves, many organizations offer relocation benefits packages. 

However, companies must measure the return on investment (ROI) of these benefits to ensure they are effectively supporting their employees and contributing to the overall success of the organization. In this blog post, we’ll explore how to assess the impact of international relocation benefits on employees and determine the ROI for your company.

Read our guide on 7 Things To Do On Moving Day – Your Relocation Guide

Understanding Relocation Benefits

Relocation benefits are a set of support services and financial assistance provided by an employer to help an employee move from one location to another for work-related reasons. These benefits can include:

1. Moving expenses: Covering the costs of packing, transportation, and unpacking of household goods.

2. Temporary housing: Providing short-term accommodations until the employee finds permanent housing.

3. Home-finding assistance: Helping the employee locate suitable housing options in the new location.

4. Spouse/partner career support: Offering job search assistance or career counseling for the relocating employee’s spouse or partner.

5. Cultural training: Providing resources to help the employee and their family adjust to the new location, especially for international moves.

Assessing the Impact on Employees

To measure the ROI of relocation benefits, it’s essential to assess the impact on employees. This can be done through various methods, such as surveys, interviews, and focus groups. Here are some key aspects to consider:

1. Employee satisfaction: Gauge how satisfied employees are with the relocation benefits provided. This can include questions about the ease of the moving process, the quality of support received, and the overall experience.

2. Productivity: Evaluate how quickly relocated employees settle into their new roles and reach full productivity. This can be measured by tracking key performance indicators (KPIs) relevant to their positions.

3. Retention: Assess the impact of relocation benefits on employee retention. Compare the retention rates of relocated employees to those who did not receive relocation support.

4. Stress levels: Moving can be a stressful experience. Measure the stress levels of relocated employees and compare them to those who did not receive relocation benefits. This can be done through surveys or by tracking the use of employee assistance programs (EAPs).

5. Family adjustment: For employees with families, it’s important to consider how well their spouse/partner and children adapt to the new location. This can be assessed through surveys or interviews focusing on their overall well-being and satisfaction with the move.

Calculating the ROI

Once you have gathered data on the impact of relocation benefits on employees, you can calculate the ROI. Here’s a simple formula:

ROI = (Benefits – Costs) / Costs x 100

Benefits can include:

– Increased productivity

– Higher retention rates

– Reduced recruitment costs

– Improved employee morale and satisfaction

Costs can include:

– Moving expenses

– Temporary housing

– Home-finding assistance

– Spouse/partner career support

– Cultural training

To quantify the benefits, assign monetary values to factors such as increased productivity and higher retention rates. For example, if a relocated employee reaches full productivity two months sooner than expected, calculate the value of that additional productivity. Similarly, if retention rates are higher among relocated employees, estimate the cost savings associated with reduced turnover.

When calculating costs, include all expenses related to the relocation benefits package. This can consist of direct costs, such as moving expenses and temporary housing, as well as indirect costs, like administrative overhead and the time spent by HR staff managing the relocation process.

Interpreting the Results

Once you have calculated the ROI, interpret the results to determine the effectiveness of your relocation benefits program. A positive ROI indicates that the benefits outweigh the costs, while a negative ROI suggests that the program may need to be re-evaluated and adjusted.

It’s important to note that not all benefits can be easily quantified. For example, improved employee morale and satisfaction may not have a direct monetary value but can contribute to a more positive work environment and increased loyalty to the organization.

Additionally, consider benchmarking your relocation benefits program against industry standards. This can help you identify areas for improvement and ensure that your program remains competitive in attracting and retaining top talent.


Measuring the ROI of relocation benefits is crucial for organizations to ensure they are effectively supporting their employees and contributing to the overall success of the company. By assessing the impact on employees through factors such as satisfaction, productivity, retention, stress levels, and family adjustment, companies can gain valuable insights into the effectiveness of their relocation programs.

Calculating the ROI involves quantifying the benefits and costs associated with relocation and interpreting the results to determine the program’s effectiveness. While not all benefits can be easily quantified, it’s essential to consider both tangible and intangible factors when evaluating the impact of relocation benefits on employees. By regularly measuring and analyzing the ROI of relocation service benefits, organizations can make data-driven decisions to optimize their programs, support their employees, and ultimately foster a more productive and engaged workforce.

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