-1- Marketing Spectrum/MDA Atlas Van Lines Corporate Relocation Survey Foreword SITUATIONAL ANALYSIS...

Marketing Spectrum/MDA Atlas Van Lines Corporate Relocation Survey-1-

Foreword

SITUATIONAL ANALYSIS

Atlas Van Lines conducts corporate relocation issues research on an annual basis. Traditionally, the research has been

conducted as a mail survey – sent to companies throughout the United States. This year, Atlas Van Lines decided tore-vamp the study using telephone interviews, to allow the company to segment information and learn more about

large,medium, and small companies and how they handle corporate relocations. For the 33 rd Annual Corporate RelocationSurvey, Atlas Van Lines contracted Marketing Spectrum/MDA, an independent research company, to obtain objectivityand confidentiality. Research design and assistance was provided by Keller Crescent Co., a total marketingcommunications company with headquarters in Evansville, Indiana.

METHODOLOGY

Atlas Van Lines reviewed past questionnaires in order to identify pertinent previous years’ questions and to insert questions of particular interest to Atlas for the year 2000. Marketing Spectrum recommended an interviewing method

ofphone surveys, to accomplish the research. MDA began phone interviews on February 3, 2000 and the field work wascompleted on March 15, 2000.

Company Size Total

Less than 500 employees 147

500-4999 employees 100

5000 or more employees 55

Total 302


Management Summary

Corporate Profile

Manufacturing/Processing is the most highly represented business classification in this study. The following is a breakdown of respondents’ company business classifications:

A little over half of these companies are international (54%); however, companies employing 5000 or more employees may drive this number. While only 39% of small companies are international, 76% of large companies are worldwide.

The average annual sales for all companies involved in this study is $65.2 million.

Almost half (49%) of the companies involved in this study employ less than 500 salaried workers, 33% employ 500-4999 employees; 18% have 5000 or more salaried employees.

Total (Base) (302)

Business Classification Manufacturing/Processing 54% Service 20 Other 10 Financial 9 Government/Military 7


Management Summary

Corporate Profile cont’d

A little more than seven in ten (71%) companies have a formal relocation policy. Due to bigger budgets and more annual relocations, large companies (91%) are more likely to have a formal relocation policy than are small companies (54%).

The same is true for centralized relocation departments. Around 80% of medium/large companies feel that a centralized relocation is a necessity while only 66% of small companies have a department entirely devoted to the administration of employee relocations. These centralized relocation departments are responsible for the following:

- Controlling Household Goods Carrier Selection (77%)- Controlling Freight Carrier Selection (74%)

Carrier selection is mainly the responsibility of the company (40%). The other 60% of companies decide on a carrier via the following methods:

The average number of employees relocated in 1999 moved:

Total (Base) (284)

Carrier Selection The company and employee together 24% The employee 17 A relocation firm 13 Other 5

Average Relocation Destination Within the United States 156 employees To the United States 24 employees Within Canada 1 employee To Canada 1 employee

As expected, large companies account for more relocations.

Relocations between foreign countries and those from the U.S. to foreign countries are not included.


Management Summary

Decision Maker (Respondent) Profile

The majority of respondents (78%) work in Human Resources/Personnel. A variety of respondents completed this survey – from managers (26%) to relocation administrators (27%) to other unspecified positions (24%).

A little over half (57%) of decision makers read trade publications:- HR Magazine (37%)- Mobility (28%)

Almost eight in ten (79%) employees do not belong to any relocation-related associations. As with many other measures in this study, employees in larger companies are more likely to belong to a relocation-related association.

In comparison to 1998, companies allocated more money for relocations in 1999. A little more than eight in ten (83%) relocation decision makers say that their 1999 relocation budget either increased or stayed the same:

- 44% increased from 1998 budget- 39% stayed the same as 1998 budget- 17% decreased from 1998 relocation budget

Total (Base) (302)

Employees who Belong to Relocation-Related Associations Large companies 44% Medium companies 27 Small companies 9


Management Summary

Transferee Profile

The most frequently transferred employee is in his thirties with the average age being 36 years.

An average of 101 employees were transferred in 1999. Larger companies drive this number with an average of 306 employees being transferred in 1999. The following is the makeup of those employees transferred in 1999:

- 20% women (Despite societal advances, husbands are less likely to follow wives, hence fewer relocations among women)- 60% had trailing spouses

While a little more than half of respondents (52%) feel that relocation will stay the same in 2000, 29% anticipate an increase and 19% feel that there will be a decrease in the number of relocations in 2000.

Only 29% of respondents feel that external factors had a significant impact on the number of employee transfers in 1999. These people feel that the following external factors had an impact:

- Economic Conditions (59%)- Lack of Qualified People (52%)

Total (Base) (239)

Age Less than 25 years 3% 25 – 30 years 20 31 – 35 years 27 36 – 40 years 31 41 – 45 years 15 More than 45 years 4


Management Summary

Transferee Profile cont’d

In contrast to external factors, more than half (54%) of respondents feel that internal factors had a significant impact on the number of employee transfers in 1999. Internal factors were especially likely to impact larger companies. The following internal conditions are significant:

- Growth of Company (76%)- Promotions/Resignations (74%)- Expansion into New Territories (64%)

Companies vary on the amount of time they allow employees to decide on whether to accept a relocation offer. Some employees (39%) have up to two weeks to accept an offer, others (27%) have up to one month to decide, while some have only one week or less to accept (14%). Larger companies usually allow the employee more time to accept a relocation offer.

The majority of companies allow the hiring of spouses of employees (79%). The smaller the company the less likely it is to allow spouses to join the workforce.


Management Summary

Policy Administration

In total, only 40% of companies outsource relocation services. However, this low number appears to be driven by companies of less than 500 employees. Almost two-thirds (65%) of large companies outsource some or all relocation services.

Of those companies who do outsource, the services that are most likely to be outsourced are:- Household goods transportation (80%)- Real estate (79%)

Only 36% of decision makers say that the internet is used for relocation-related matters. Those who do use the internet use it for a variety of purposes:

- To communicate via e-mail with relocating employees (86%)- To research relocation-related matters (77%) - For matters unrelated to relocation (70%)

On average, employees are allowed 4.6 expense-paid house-hunting days; spouses are allowed to accompany the employee on 1.7 expense-paid house-hunting trips.

Company Size (Salaried Employees)

Total

Less than 500

500-4999 5000 or more

(Base) (286) (139) (95) (52)

Outsourcing of Services My firm outsources the administration of some/all relocation services

40% 19% 57% 65%

My firm does NOT outsource the administration of relocation services

60 81 43 35


Management Summary

Relocation Costs

The following are companies’ methods of reimbursement of moving expenses:

If an employee decides to buy a home in the new location, companies will cover a variety of moving expenses. - 78% pay to pack all items - 74% pay to move exercise equipment- 73% pay to move an automobile

- 63% pay to move recreation and lawn equipment- 62% pay to carry items down from the attic

If an employee decides to rent, companies cover the following:- 71% offer home finding trips- 65% reimburse for lease cancellation - 65% offer to move one or more automobiles- 61% offer storage

Total (Base) (276)

A combination of all methods (dependent on the situation and employee) 50% Full reimbursement 29 Partial reimbursement 10 Lump sum 8 No reimbursement 4


Management Summary

Relocation Services

Only 38% of companies assist an employee’s spouse/partner in finding employment in the new location. These companies help in the following ways:

- 43% assist the spouse/partner in finding a job outside of the company- 30% pay job finder’s fees- 23% assist the spouse/partner in finding a job within the company- 4% pay the spouse/partner's salary until hired

On average, only 13% of employees employed by companies who offer spouse/parner employment assistance, took advantage of it in 1999.

Only 8% of companies provide elder care assistance to the transferee. Assistance provided by these companies includes:

- Provides a list of nursing homes (68%)- Moves the elderly relative (26%)- Reimburses for outside care (10%)- Allows the transferee to use pre-tax dollars for outside care (10%)- Moves the elderly relative that does not live with the transferee (5%)

Approximately one in five (22%) respondents believe that an employee’s willingness to relocate is never affected by his/her spouse’s employment status. Half (50%) believe that employees’ willingness to relocate is seldom affected. 18% say an employee’s spouse’s employment status frequently affects his/her relocation decision, 10% say it almost always does.


Management Summary

Relocation Services cont’d

The majority of (79%) respondents say that declining the opportunity to relocate does not hinder an employee’s career.

A little over seven in ten (72%) respondents feel that the number of employees who declined relocation offers did not change between 1998 and 1999. Two in ten (20%) say that the number of employees declining relocation offers in 1999 decreased.

Only 39% of employees who were asked to relocate in 1999, declined the opportunity. Reasons given were:- Family ties (87%) - Personal reasons (77%)- No desire to move (77%)- Spouse’s employment (65%)

The average number of relocation carriers companies have contractual agreements with is 2.4.


Management Summary

Transportation

A little more than six in ten (63%) of respondents say that their company does have preferred contract carriers.

Only 30% of companies included in the survey outsourced services to a relocation service or brokerage firm in 1999. The services provided to these firms are:

- Real estate sale/purchase (89%)- Contract of household goods moving company (74%)- Orientation tours in the new location (72%).

The most important attributes when selecting a contract carrier are:- Service (94%)- Price (76%)- Reputation (72%)- Claims processing (70%)

When evaluating a carrier, 95% say that the most important attribute is service, 89% say on-time delivery, 80% say price, 79% say employee feedback, and 70% say claims processing.

From the employee’s perspective, the most important aspects of a move are:- Claims processing (81%)- Packer (77%) - Driver (70%)

A little more than two in ten (22%) companies use electronic transfer of funds to their contract carrier; 15% use on-line access with their carrier for shipment records/history, and 14% use on-line registration access with their carrier.


Management Summary

Geography

A little more than eight in ten (83%) companies relocated employees to the United States in 1999, while only 15% of employees were relocated to Canada, and 8% to Mexico.

When choosing a cross-border carrier, a majority of respondents (98%) say that service is most important, followed by price (84%), scheduling (82%), and reputation (77%).

International

Among companies that did relocate employees internationally, relocations to and from the United States dominated international relocations, with foreign relocations from the U.S. being slightly more common than U.S. relocations from abroad. Relocations between two foreign countries were the least common and represented less than half of those either to or from the U.S. to a foreign country.

Almost nine in ten (88%) companies offer additional leave time to internationally relocated employees, 80% offer additional leave time that includes travel and at least one visit to the United States or Canada, 69% offer additional tax considerations, 67% offer extended per diem charges for a hotel, and 67% offer increased allowances for permanent storage.

More than half (53%) of companies have never used the electronic data interchange (EDI) interface capabilities on international shipments. A little over two in ten (23%) seldom use EDI.

A little over three-fourths of companies (77%) offer no assistance to internationally transferred employees’ spouses/partners in finding employment in the new location. Of those companies who do offer this assistance, an average of 35% of internationally relocated employees in 1999 took advantage of this.


Management Summary

International cont’d

Only 24% of international relocations were declined or failures for lack of adaptability by the spouse/partner (36%), other reason unspecified (36%), lack of adaptability by the employee (29%), or lack of spouse/partner assistance (21%).


Corporate Profile

Business Classification

Other10%

Government/military

7%

Manufacturing/processing

54%

Service20%

Financial9%

Total Other10%

Government/military

5%


59%Service21%

Financial5%

Other11%

Government/military

10%


51%

Service18%

Financial10%

Other9%

Government/military

7%


44%

Service24%

Financial16%

Less than 500 Salaried Employees

500 – 4999 Salaried Employees

5000+ Salaried Employees

Q.1


Corporate Profile

Company Type

International54%

Regional26%

National20%

Total

International40%

Regional40%

National21%

International65%

Regional17%

National18%

International76%National

18%

Regional6%




Q.2


Corporate Profile

Company’s Average 1999 Annual Sales

65.2

50.6

72.7

89.5

Total Less than 500Salaried

Employees

500 - 4999Salaried

Employees

5000+Salaried

Employees

In Millions

Q.3


Corporate Profile

Salaried Employees

5000+ Salaried

Employees18%

500 - 4999 Salaried

Employees33%

Less than 500 Salaried

Employees49%

MEAN: 2064 Salaried Employees

Q.4


Corporate Profile

Formal Relocation Policy

71%

54%

85% 91%

0%

20%

40%

60%

80%

100%


Employees

500 - 4999Salaried

Employees

5000+Salaried

Employees

Q.5


Corporate Profile

Administration of Employee Relocations from Centralized Department

No26%

Yes74%

Total

Yes66%

No34%

Yes81%

No19%

No20%

Yes80%




Q.6


Corporate Profile

Centralized Relocation Department Duties

37%

46%

60%

60%

74%

77%

0% 20% 40% 60% 80% 100%

Recommends Site and Space Selection for OfficeRelocations

Handles Office Relocations

Handles Air Travel via Commercial Airlines

Controls Air Carrier Selection

Controls Freight Carrier Selection

Controls Houshold Goods Carrier Selection

Total

Q.7


Corporate Profile

Centralized Relocation Department DutiesQ.7


Total Less than

500 500-4999

5000 or more

(Base) (177)~ (73)~ (66)~ *(38)~

Centralized Relocation Department’s Duties

Controls Household Goods Carrier Selection 77% 72% 78% 85%

Controls Freight Carrier Selection 74 70 73 82

Handles Air Travel Via Commercial Airlines 60 64 54 59

Controls Air Carrier Selection 60 62 59 57

Handles Office Relocations 46 56 39 39

Recommends Site and Space Selection for Office Relocations

37 43 33 32

*indicates small sample size

~indicates approximation


Corporate Profile

Carrier SelectionQ.8

The Employee17%

The Company & Employee

Together24%

The Company40%

A Relocation Firm13%

Other5%

Total


Corporate Profile

Carrier SelectionQ.8


Total Less than

500 500-4999

5000 or more

(Base) (284) (133) (100) (55)

Selector of Carrier for Employee’s Move

The Company 40% 37% 42% 40%

The Company and Employee Together 24 26 25 16

The Employee 17 25 11 9

A Relocation Firm 13 8 16 20

Other 5 4 3 13


Corporate Profile

Relocation Destination

Average # of Employees Relocated to Each Location

in Total

156

24 1 1

Within the U.S. To the U.S. Within Canada To Canada

Q.9


Corporate Profile

Relocation Destination

By Company Size

Q.9


Total Less than

500 500-4999

5000 or more

(Base) (302) (147) (100) (55)

Mean Number of Employees Relocated:

Within the U.S. 156 12 62 711

To the U.S. 24 1 17 100

Within Canada 1 * 1 4

To Canada 1 * * 3 *indicates less than 0.5


Decision Maker Profile

Department Function

Total

Traffic/Transportation

1%

Compensation/Benefits

3%Relocation Services

4%

Human Resources

78%

Other

8%

Administration

6%

Q.10



Department Function

By Company Size (Salaried Employees)

11%

9% 13%

77% 85% 74%

7%

5%4%

4%1% 3%3% 4%

2%1% 2%

0%

20%

40%

60%

80%

100%

Less than500

500 - 4999 5000 or moreHuman Resources

Compensation/Benefits

Relocation Services

Administration

Other

Traffic/Transportation

Q.10



Position with the Company

President2%

Department Head3%

Assistant to VP4%

Supervisor5%

Vice President

6%

Director13%

Manager27%

Other24%

Relocation Administrator

16%

Q.11



Position with the Company

Department Head3%

President3%

Assistant to VP4%

Supervisor5%

Vice President

8%Relocation

Administrator11%

Manager31%

Other22%Director

13%

Q.11

Supervisor2%

Assistant to VP4%

Vice President

4%

Director9%

Manager30%

Other27%


24%

Department Head3%

Assistant to VP4%Vice

President5%

Supervisor6%

Director15%

Manager26%

Other23%


18%






1999 Relocation Budget in Comparison to 1998

Decrease17%

Stay the Same39%

Increase44%

Q.12

Total




Decrease23%

Stay the Same37%

Increase40%

Decrease12%

Stay the Same45%

Increase43%

Decrease9%

Stay the Same37% Increase

54%



Trade Publications

No44% Yes

56%

Do you read trade publications?

37%

28%18%

14%10% 7% 5%

3% 2%

0%

20%

40%

60%

80%

100%

HR Magazi

ne

Mobili

ty

Other

Human R

esourc

e Execu

tive

HR New

s

HR Focu

s

Work

forc

e

Human R

esourc

e Pro

fess

ional

None

Reloca

tion R

eport

Corpora

te R

eloca

tion N

ews

Distrib

ution

Trade Publications Respondents Read

Trade Publications with less than 2% Readership are not shown

Q.13a & Q.13b



Trade PublicationsQ.13a & Q.13b


Total Less than

500 500-4999

5000 or more

(Base) (302) (147) (100) (55)

Regularly Read Trade Publications

Yes 56% 50% 60% 67%

No 44 50 40 33

(Base) (147) (59) (53) (35)*

Trade Publications Read

HR Magazine 37% 46% 38% 20%

Mobility 28 7 30 60

Other 18 24 17 11

Human Resource Executive 14 17 15 6

HR News 10 12 9 6

HR Focus 7 3 11 9

Workforce 5 10 4 -

Human Resource Professional 3 2 4 6

None 3 5 4 -

Relocation Report 3 - - 11

Corporate Relocation News 2 3 - 3

Distribution 2 2 2 3


Trade Publications in Total with less than 2% Readership are not shown



Relocation-Related Association Membership

No79%

Yes21%


Q.14

No91%

Yes9%

No73%

Yes27%

No56%

Yes44%

Total




Transferee Profile

Age Range of Frequently Transferred Employees

Less than 25 years

3%

More than 45 years

4%

41 - 45 years15%

36 - 40 years31%

31 - 35 years27%

25 - 30 years20%

Q.15

Total

Average Age = 36 years


Transferee Profile

Age Range of Frequently Transferred Employees

Q.15



Total Less than

500 500-4999

5000 or more

(Base) (239) (119) (80) (40)

Age Range of Most Frequently Transferred Employee

Less than 25 years 3% 5% -% 5%

25 – 30 years 20 25 18 12

31 – 35 years 27 24 34 22

36 – 40 years 31 26 36 35

41 – 45 years 15 16 9 22

More than 45 years 4 4 4 2

Average Age 36 yrs 35 yrs 36 yrs 36 yrs


Transferee Profile

Number of Employee Transfers in 1999

101

28100

306


Employees

500 - 4999Salaried

Employees

5000+Salaried

Employees

Q.16

Average


Transferee Profile

Percentage of Employees Transferred in 1999 who are Women

20% 18% 23% 22%

0%

20%

40%

60%

80%

100%


Employees

500 - 4999Salaried

Employees

5000+Salaried

Employees

Q.17

Average


Transferee Profile

Percentage of Transfers Involving a Trailing Spouse in 1999

60%55%

63%70%

0%

20%

40%

60%

80%

100%


Employees

500 - 4999Salaried

Employees

5000+Salaried

Employees

Q.18/Q.19

Average


Transferee Profile

2000 Relocation Anticipation

Decrease19%

Increase29%

Stay the Same52%

Q.20


Total



Decrease22%

Increase24%

Stay the Same54%

Decrease14%

Increase33%

Stay the Same53%

Decrease22%

Increase32%

Stay the Same46%


Transferee Profile

External Factors

29% of Respondents (Base = 66) felt that external factors had an impact on the number of employee transfers in 1999

28%

29%

38%

52%

59%

0% 20% 40% 60% 80% 100%

Other

Growth of InternationalCompetition

Growth of DomesticCompetition

Lack of Qualified PeopleLocally

Economic Conditions

Q.21

Total


Transferee Profile

External Factors


Total Less than

500 500-4999

5000 or more

(Base) (230) (106) (83) (41)

External Conditions External conditions had an impact on the number of employee relocations in 1999

29% 22% 29% 46%

External conditions did NOT have an impact on the number of employee relocations in 1999

71 78 71 54

(Base) (59)~ *(20)~ *(23)~ *(16)~

External Conditions that had an Impact

Economic Conditions 59% 50% 52% 76%

Lack of Qualified People 52 62 50 44

Growth of Domestic Competition 38 30 39 47

Growth of International Competition 29 30 30 25

Other 28 30 23 31 *indicates small sample size


Q.21



Transferee Profile

Internal Factors

54% of Respondents (Base = 129) felt that internal factors had an impact on the number of employee transfers in 1999

11%18%

28%29%

37%47%

51%55%56%

64%74%76%

0% 20% 40% 60% 80% 100%

Other

Decreased Production

International Expansion

Closing of Facility

Budget Constraints

Corporate Reorganization

Acquisitions/Mergers

Increased Production

Expansion of Facility

Expansion into New Territories

Promotions/Resignations

Growth of Company

Q.22

Total


Transferee Profile

Internal FactorsQ.22


Total

Less than 500

500-4999 5000 or more

(Base) (238) (108) (86) (44)

Internal Conditions

Internal conditions had an impact on the number of employee relocations in 1999

54% 44% 57% 73%

Internal conditions did NOT have an impact on the number of employee relocations in 1999

46 56 43 27

(Base) (122)~ (46)~ (48)~ *(29)~

Internal Conditions that had an Impact

Growth of Company 76% 69% 81% 79%

Promotions/Resignations 74 69 71 83

Expansion into New Territories 64 61 65 66

Expansion of Facility 56 52 60 57

Increased Production 55 52 52 63

Acquisitions/Mergers 51 42 51 66

Corporate Reorganization 47 35 47 62

Budget Constraints 37 42 27 46

Closing of Facility 29 15 23 59

International Expansion 28 16 35 36

Decreased Production 18 16 24 13

Other 11 17 10 3





Transferee Profile

Length of Transfer Offer

1 week or less14%

Up to 1 month27%

Up to 2 weeks39%

Up to 3 weeks8%

Up to 3 months

6%

More than 3 months

5%

Up to 2 months

1%

Q.22b

Total


Transferee Profile

Length of Transfer OfferQ.22b



Total

Less than 500

500-4999 5000 or more

(Base) (93) (35)* (34)* (24)*

Length of Transfer Offer

1 week or less 14% 6% 26% 8% Up to 2 weeks 39 49 32 33

Up to 3 weeks 8 6 12 4

Up to 1 month 27 29 15 42

Up to 2 months 1 3 - -

Up to 3 months 6 6 9 4

More than 3 months 5 3 6 8



Transferee Profile

Allowance of Hiring of Spouses of Employees

Not Permitted21%

Permitted79%

Q.23

Not Permitted25%

Permitted75%

Not Permitted16%

Permitted84%

Not Permitted14%

Permitted86%


500-4999 Salaried Employees




Outsourcing of Services

Outsourced40%

Not Outsourced

60%

80% 79%

65%

41%

0%

20%

40%

60%

80%

100%

HouseholdGoods

Transportation

Real Estate Counseling Other Services

Q.24, Q.25



Outsourcing of ServicesQ.24


Total

Less than 500

500-4999 5000 or more

(Base) (286) (139) (95) (52)

Outsourcing of Services My firm outsources the administration of some/all relocation services

40% 19% 57% 65%

My firm does NOT outsource the administration of relocation services

60 81 43 35


Large companies are more likely to outsource some or all relocation services. Almost two-thirds (65%) of large companies outsource while only 19% of small companies outsource relocation services.



Outsourcing of ServicesQ.25


Total

Less than 500

500-4999 5000 or more

(Base) (114) (26)* (54) (34)*

Services Outsourced

Household Goods Transportation 80% 85% 80% 76%

Real Estate 79 69 80 85

Counseling 65 62 56 82

Other 41 43 35 50





Internet Usage

Yes36%

No64%

40%

70%

77%

86%

0% 20% 40% 60% 80% 100%

Other

For matters unrelatedto relocation

To researchrelocation-related

matters

To communicate viae-mail with relocating

employees

Is the Internet Used for Relocation-Related Matters?

How is the Internet Used for Relocation-Related Matters?

Q.26a, Q.26b



Internet Usage


Q.26a, Q.26b


Total

Less than 500

500-4999 5000 or more

(Base) (302) (147) (100) (55)

Internet Usage

The Internet is used for relocation-related matters 36% 35% 28% 54% The Internet is NOT used for relocation-related matters 64 65 72 46

(Base) (104)~ (47)~ (26)~ (30)~

How the Internet is Used

To communicate via e-mail with relocating employees 86% 78% 89% 97%

To research relocation-related matters 77 72 75 83

For matters unrelated to relocation 70 75 64 73

Other 40 30 45 50




Number of Expense-Paid Relocation Trips

10%

21%

33%

7%4%

10%

15%

7%

2%10%

7%

34%

18%

20%

0%

20%

40%

60%

80%

100%

Spouse Employee

Total

4.6 days1.7 tripsAverage Number of Expense-Paid Trips/Days

Allowed for House-Hunting

Trips Days

Don’t know

Varies

Three

Four or more

Two

One

None

Q.27, Q.28



Number of Expense-Paid Relocation Trips

Average By Company Size (Salaried Employees)

Q.27, Q.28


Total

Less than 500

500-4999 5000 or more

Average Number of House-Hunting Trips/Days Allowed for:

Spouse (Trips) 1.7 1.6 1.6 2.2 Employee (Days) 4.6 3.9 4.9 5.7


Relocation Costs

Reimbursement of Moving Expenses

No Reimbursement

4%

Partial Reimbursement

10%

Lump Sum8%

Full Reimbursement

29%

A Combination of All Four Methods

50%

Q.29

Total


Relocation Costs



Q.29


Total

Less than 500

500-4999 5000 or more

(Base) (276) (125) (100) (55)


A combination of all four methods of reimbursement 50% 45% 52% 53% Full reimbursement 29 26 29 33 Partial reimbursement 10 16 7 2 Lump sum 8 7 8 7 No reimbursement 4 6 2 2


Relocation Costs

Moving Expenses the Company Covers

Total

10%

24%

38%

38%

42%

46%

47%

54%

58%

62%

63%

73%

74%

78%

0% 20% 40% 60% 80% 100%

Temporary Maid Service

To Move a Boat

To Move a Second Automobile

To have Belongings Picked up from a Second Residence

To Move Satellite TV Dishes

To Move Collections of Highly Valuable Objects

Storage

To Move Pets

Move Unlimited Weight

To Carry Items Down from the Attic

To Move Recreation and Lawn Equipment

To Move an Automobile

To Move Exercise Equipment

To Pack all Items

Q.30


Relocation Costs

Moving Expenses the Company Covers


Q.30


Total

Less than 500

500-4999 5000 or more

(Base) (263)~ (125)~ (90)~ (49)~

Covered Moving Expenses

To Pack all Items 78% 71% 82% 84% To Move Exercise Equipment 74 69 71 92 To Move an Automobile 73 63 78 90 To Move Recreation and Lawn Equipment 63 61 62 69 To Carry Items Down from the Attic 62 59 63 71 Move Unlimited Weight 58 53 60 64 To Move Pets 54 46 60 60 Storage 47 42 53 49 To Move Collections of Highly Valuable Objects 46 42 46 57 To Move Satellite TV Dishes 42 44 38 42 To have Belongings Picked up from a Second Residence 38 29 43 52 To Move a Second Automobile 38 23 44 64 To Move a Boat 24 17 26 37 Temporary Maid Service 10 6 14 14



Relocation Costs

Moving Expenses

When a Transferee or New Hire will be Renting (not Buying) does your Company Pay for:

40%

42%

47%

56%

61%

65%

65%

71%

0% 20% 40% 60% 80% 100%

Reimburse Apartment Search Fees

Reimburse for Hook-Up Fees

Reimburse Security Deposits

Apply Temporary Living Allowanceto Rent

Offer Storage

Offer to Move One or MoreAutomobiles

Reimburse for Lease Cancellation

Offer Home-Finding Trips

Q.31

Total


Relocation Costs

Moving Expenses

When a Transferee or New Hire will be Renting (not Buying) does your Company Pay for:

Q.31



Total

Less than 500

500-4999 5000 or more

(Base) (271)~ (126)~ (93)~ (52)~

Covered Moving Expenses when Renting

Offer Home-Finding Trips 71% 62% 73% 88% Reimburse for Lease Cancellation 65 52 71 82 Offer to Move One or More Automobiles 65 54 69 83 Offer Storage 61 50 70 75 Apply Temporary Living Allowance Toward Rent 56 54 53 68 Reimburse Security Deposits 47 39 59 42 Reimburse for Hook-Up Fees 42 34 53 44 Reimburse Apartment Search Fees 40 26 49 62

*indicates approximation


Relocation Services

Spouse/Partner Assistance

Does your Company Assist an Employee’s Spouse/Partner in Finding Employment in the New

Location?

Yes38%

No62%

How does your Company Assist an Employee’s Spouse/Partner in Finding Employment in the New

Location?Pay Spouse's Full/Partial Salary Until

Hired4%

Find Employment Outside the Company

43%

Pay Job-Finder's Fee

30%

Find Employment

Within the Company

23%

An Average of 13% of Employees in 1999 used Spouse/Partner Employment Assistance

Q.32a, Q.32b, Q.32c


Relocation Services

Spouse/Partner Assistance


Q.32a, Q.32b, Q.32c


Total

Less than 500

500-4999 5000 or more

(Base) (279) (132) (95) (52)

Spouse/Partner Employment Assistance My company assists an employee’s spouse/partner in finding employment in the new location

38% 28% 43% 52%

My company does NOT assist an employee’s spouse/partner in finding employment in the new location

62 72 57 48

(Base) (105) (37)* (41)* (27)* Type of Spouse/Partner Employment Assistance

Find employment outside the company 43% 49% 42% 37% Pay job-finder’s fee 30 27 27 41 Find employment within the company 23 24 24 18 Pay spouse’s full or partial salary until hired 4 - 7 4

Average Percentage of Employees in 1999 who used Spousal/Partner Employment Assistance

13% 12% 11% 16%



Relocation Services

Elder Care

Does your Company Assist the Transferee for Elder Care?

Yes8%

No92%

What Assistance does your Company Provide to the Transferee for Elder Care?

68%

26%

10% 10%5%

0%

20%

40%

60%

80%

100%

ProvideList of

NursingHomes

MoveElderly

Relative

Reimbursefor Outside

Care

AllowTransfereeto use Pre-Tax Dollarsfor Outside

Care

Move theElderlyRelative

that doesnot Livewith the

Transferee

Q.33a, Q.33b


Relocation Services

Elder Care


Q.33a, Q.33b


Total

Less than 500

500-4999 5000 or more

(Base) (261) (124) (85) (52)

Elder Care Assistance My company provides assistance to the transferee for elder care

8% 3% 8% 19%

My company does NOT provide assistance to transferees for elder care

92 97 92 81

(Base) (19)* (4)* (7)* (8)* Type of Elder Care Assistance

Provide list of nursing homes 68% 75% 43% 88% Move elderly relative who will live with transferee in new location 26 25 57 - Reimburse for outside care 10 - 29 - Allow transferee to use pre-tax dollars for outside care 10 - 29 - Move elderly relative who does not live with the transferee 5 - - 12



Relocation Services

Frequency of Relocation Affected by Spouse’s Employment

Frequently18% Seldom

50%

Never22%

Almost Always

10%

Q.34

Frequently13%

Seldom47%

Never29%

Almost Always

11%

Frequently18%

Seldom53%

Never20%

Almost Always

9%

Frequently31%

Seldom51%

Never9%

Almost Always

9%

Total





Relocation Services

Does Declining the Opportunity to Relocate Usually Hinder an Employee’s Career?

Yes21%

No79%

Q.35

Total Yes23%

No77%

Yes19%

No81%

Yes21%

No79%





Relocation Services

Change in the Number of Relocation Declination in 1999 from 1998

Increase from the

1998 Level8%

Decrease from the

1998 Level20%

Remain About the

Same as the 1998 Level

72%

Q.36

Total

Increase from the

1998 Level8%

Decrease from the

1998 Level23%

Remain About the


69%

Increase from the

1998 Level9%

Decrease from the

1998 Level18%

Remain About the


73%

Increase from the

1998 Level8%

Decrease from the

1998 Level18%

Remain About the


74%





Relocation Services

Relocation Declination in 1999

Did any Employees Decline the Opportunity to Relocate in 1999?

Yes39%

No60%

What Reasons did the Employees give for Declining Relocation?

19%

22%

39%

40%

65%

77%

77%

87%

0% 20% 40% 60% 80% 100%

Other

Could Hurt Career

Housing/MortgageConcerns

Cost of Living

Spouse's Employment

No Desire to Move

Personal

Family Ties

Q.37a, Q.37b


Relocation Services

Relocation Declination in 1999


Q.37a, Q.37b


Total

Less than 500

500-4999 5000 or more

(Base) (238) (120) (81) (37)*

Employee Declination Some employees declined the opportunity to relocate

39% 27% 42% 76%

No employees declined the opportunity to relocate 60 73 58 24

(Base) (80)~ *(28)~ *(28)~ *(24)~ Reasons for Declining Relocation

Family Ties 87% 87% 80% 96% Personal 77 64 90 75 No Desire to Move 77 83 79 68 Spouse’s Employment 65 67 57 75 Cost of Living 40 34 28 61 Housing/Mortgage Concerns 39 28 38 52 Could Hurt Career 22 21 20 25 Other 19 22 18 18




Relocation Services

Average Number of Carriers your Company has Contractual Agreements with for Transportation of Household Goods

Q.38

2.42.5

2.0

3.3


Employees

500 - 4999Salaried

Employees

5000+Salaried

Employees


Transportation

Are there Preferred Contract Carriers

Yes63%

No37%

Q.39

Yes65%

No35%

Yes63%

No37%

Yes59%

No41%

Total





Transportation

Contract Carriers

Did your Company Outsource any Services to a Relocation Service or a Brokerage Firm in 1999?

Yes30%

No70%

49%

56%

60%

62%

65%

65%

70%

72%

74%

89%

0% 20% 40% 60% 80% 100%

Supplementary Services

Counseling about Company Policy

Arrangement of Family's Transportation & Accommodations

Monitoring of Shipment

Assistance with Employee Claims Preparation/Submission

Audit/Payment of Invoice

Counseling about the Planning/Details of Moving

Orientation Tours in the New Location

Contract of Household Goods Moving Company

Real Estate Sale/Purchase

Which Services did it Provide?

Q.40a, Q.40b


Transportation

Contract Carriers


Q.40a, Q.40b


Total

Less than 500

500-4999 5000 or more

(Base) (302) (147) (100) (55)

Outsource in 1999 My company outsourced some/all services to a relocation service/brokerage firm in 1999

30% 16% 42% 44%

My company did NOT outsource some/all services to a relocation service/brokerage firm in 1999

70 84 58 56

(Base) (83)~ *(20)~ (40)~ *(21)~ Services the Firm Provided

Real Estate Sale/Purchase 89% 82% 88% 100% Contract of Household Goods Moving Company 74 77 71 71 Orientation Tours in New Location 72 70 64 86 Counseling about the Planning/Details of Moving 70 77 59 81 Audit/Payment of Invoice 65 70 62 67 Assistance with Employee Claims Preparation/Submission 65 52 65 67 Monitoring of Shipment 62 70 62 65 Arrangement of Family’s Transportation/Accommodations 60 64 52 67 Counseling about Company Policy 56 61 48 67 Supplementary Services 49 43 45 65



Transportation

Important Attributes when Selecting a Contract Carriers

53%

70%

72%

76%

94%

0% 20% 40% 60% 80% 100%

Local Agents

Claims Processing

Reputation

Price

Service

Total

Top 3-Box

Q.41a


Transportation

Important Attributes when Selecting a Contract Carriers


Top 3-Box


Total

Less than 500

500-4999 5000 or more

(Base) (254)~ (117)~ (91)~ (47)~

Important Attributes when Selecting a Carrier (Top 3-Box) Service

94% 92% 96% 96% Price 76 79 76 70 Reputation 72 70 74 72

Claims Processing 70 67 77 62 Local Agents 53 50 61 48


Q.41a


Transportation

Important Attributes when Evaluating a Carrier

50%

70%

79%

80%

89%

95%

0% 20% 40% 60% 80% 100%

Extra Services

Claims Processing

Employee Feedback

Price

On-Time Delivery

Service

Total

Top 3-Box

Q.41b


Transportation

Important Attributes when Evaluating a Carrier


Top 3-Box

Q.41b


Total

Less than 500

500-4999 5000 or more

(Base) (254) (116) (91) (47)

Important Attributes when Evaluating a Carrier (Top 3-Box) Service

95% 95% 94% 98%

On-Time Delivery 89 88 89 94 Price 80 81 78 81

Employee Feedback 79 75 80 85 Claims Processing 70 69 75 64 Extra Services 50 47 52 55


Transportation

Importance of Certain Aspects of a Move from Employees’ Perspective

56%

61%

70%

77%

81%

0% 20% 40% 60% 80% 100%

Destination Agent

Origin Agent

Driver

Packer

Claims Processing

Total

Top 3-Box

Q.42


Transportation

Importance of Certain Aspects of a Move


Top 3-Box

Q.42


Total

Less than 500

500-4999 5000 or more

(Base) (251)~ (115)~ (90)~ (46)~

Important Aspects of a Move (Top 3-Box)

Claims Processing 81% 77% 86% 83%

Packer 77 70 88 73 Driver 70 66 76 73

Origin Agent 61 55 67 64 Destination Agent 56 49 64 59



Transportation

Contract Carriers

22%

15% 14%

0%

20%

40%

60%

80%

100%

Electronic Transfer of Funds toyour Carrier

On-Line Access with yourCarrier for Shipment

Records/History

On-Line Registration Accesswith your Carrier

Which of the Following does your Company Use?

Q.43


Geography

Relocation Destinations

83%

15%

8%0%

20%

40%

60%

80%

100%

United States Canada Mexico

Where did your Company Relocate Employees to in 1999?

Q.44


Geography

Cross-Border Carrier Selection

How Important are the Following Attributes when Choosing a Cross-Border Carrier?

68%

77%

82%

84%

98%

0% 20% 40% 60% 80% 100%

Third Party

Reputation

Scheduling

Price

Service

Top 3-Box

Q.45


Geography

International Employee Relocations

Average

Q.46

15.71.3 6.8

85.7

0

20

40

60

80

100


Employees

500 - 4999Salaried

Employees

5000+Salaried

Employees


International

Relative Index of International Employee Relocations

Average Number of International Employee Relocations in 1999: 15.7

Q.47

45

40

15

U.S. to a ForeignCountry

Foreign Country tothe U.S.

Foreign Country toa Foreign Country


International


Which of the following Services do you Offer to your Employees for International Relocations?

23%

26%

55%

67%

67%

69%

80%

88%

0% 20% 40% 60% 80% 100%

More Leniency on who Insurance Covers

Other

Allowances for Children to Attend CertainSchools

Increased Allowances for Permanent Storage

Extended Per Diem Charges for Hotel

Additional Tax Considerations

Additional Leave Time that Includes Traveland at Least one Visit back to the U.S./Canada

Additional Leave Time

Q.48


International


Does your Company use Electronic Data Interchange (EDI) Interface Capabilities on International Shipments?

Frequently12%

Seldom23%

Never53%

Always12%

Q.49


International


How does your Company Assist an Internationally Relocated Employee’s Spouse/Partner in Finding

Employment in the New Location?

Find Employment

Within the Company

6%

Pay Job-Finder's Fee

12%

No Assistance77%

Find Employment Outside the Company

4%

Pay Spouse's Full/Partial Salary until

Hired1% An Average of 35% of

Internationally Relocated Employees in 1999 Used the Company’s Spousal/Partner

Employment Assistance

Q.50


International

International Transferees who Used Spousal/Partner Employment Assistance

Average

Q.51

35%

47%

23%

41%

0%

20%

40%

60%

80%

100%


Employees

500 - 4999Salaried

Employees

5000+Salaried

Employees


International


In 1999, were any International Relocations Declined or Failures?

Yes24%

No76%

21%

29%

36%

36%

0% 20% 40% 60% 80% 100%

Lack of spousal/partnerassistance

Lack of adaptability by theemployee

Lack of adaptability by thespouse/partner

Other

The Reasons Cited for International Relocation Failures or Declinations were…

(Base = 14 )

Q.52a, Q.53b

-1- Marketing Spectrum/MDA Atlas Van Lines Corporate Relocation Survey Foreword SITUATIONAL ANALYSIS...

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