Global Mobility Trends: Short-Term Assignments and AI Integration

In the Autumn issue of Think Global People (formerly Relocation Magazine), global mobility expert Dr. Sue Shortland outlines key trends in global mobility policies. Short-term assignments and international one-way transfers are on the rise, offering companies more flexibility and cost-effectiveness than traditional long-term assignments. These trends are primarily driven by project-based work, talent development, and efforts to increase diversity and inclusion.

However, managing these assignments requires careful attention to costs, tax compliance, and employee wellbeing. This is particularly true for unaccompanied or commuter assignments. The use of artificial intelligence (AI) is also emerging as a tool to enhance policy design and administration, though human expertise remains essential to align policies with organizational values and employee needs.

The Impact: For companies, understanding these trends can help optimize relocation strategies and better support transferring employees. The rise of short-term assignments and international one-way transfers offers companies greater flexibility and cost savings over traditional long-term assignments, enabling faster talent deployment and supporting diversity goals. Regardless of the assignment length and purpose, companies must be wary of potential challenges like managing tax compliance, controlling costs, and ensuring employee wellbeing, especially for unaccompanied or frequent travelers. Mobility leaders should also remain wary of relying exclusively on AI to enhance or administer policies.

Employees on short-term or commuter assignments may face increased stress from family separation and frequent travel, requiring care and empathy to maintain morale and productivity.

Navigating Global DEI Trends: Impact on Relocation Programs and the Future of Inclusive Mobility

Global Diversity, Equity, and Inclusion (DEI) efforts have evolved at different rates across regions and industries, according to a recent report by WERC Staff. In Europe, the Ernst & Young DEI Index reports that only 7% of companies are actively building inclusive cultures, with significant gaps in addressing cultural, LGBTQIA+, and disability diversity. In Latin America and the Caribbean, gender parity has improved more significantly, with nearly 75% parity achieved, though workforce participation still lags in part due to setbacks from the pandemic. Meanwhile, in India, 70% of women in tech feel that DEI efforts are still largely superficial.

More significant progress has been made in Singapore, where 72% of companies have prioritized DEI, with nearly 90% implementing dedicated budgets. WERC also highlights success stories like Heineken’s targeted initiatives to boost female leadership and Nissan’s effort to support hearing-impaired workers by teaching hearing-abled coworkers sign language. These initiatives demonstrate how thoughtful, action-oriented DEI programs can create meaningful workplace change.

The Impact: For mobility leaders, understanding these global DEI trends is crucial in adapting policies that foster inclusive environments for relocating employees. As companies navigate varying DEI landscapes across regions, leaders must consider how local cultural norms, diversity challenges, and regulatory requirements influence the employee moving experience. Companies should also use robust pre-screening tools to ensure a successful cultural alignment in the destination location.

Relocation programs should be tailored to accommodate diverse needs, offering resources like inclusive onboarding practices, flexible benefits, and support systems that address the specific DEI challenges in the destination country. In addition to backing CapRelo’s employee led Belonging & Inclusion Council and implementing a robust supplier diversity program, we put intentional effort into providing inclusive services for our client’s relocating employees. We offer family-neutral support and ensure our employee-facing staff members represent the diversity of our clientele and are trained in diversity and inclusion. Ultimately, robust DEI strategies in relocation programs help retain talent, increase engagement, and contribute to a company’s global success by ensuring that all employees can thrive in the community they relocate to.

Update on Emissions-Free Trucks: Cost Challenges and EU Targets

A recent study by McKinsey, cited by Reuters, highlights that prices for emissions-free trucks must decrease by up to 50% to make them a viable alternative to diesel models and keep up with European Union climate goals. Less than 2% of heavy freight vehicles in the EU are currently electric or hydrogen powered. To align with the EU’s carbon reduction targets, this percentage needs to rise to 40% of new truck sales by 2030.

Currently, electric trucks cost 2.5 to 3 times more than diesel models in Europe. Because of this, logistics companies are reluctant to bear the extra expense. McKinsey’s study suggests that electric truck prices will need to drop to within 30% of diesel trucks which will require significant advancements in battery technology. A 25% reduction in charging costs and an investment of $20 billion in 900,000 new charging stations by 2035 are also needed.
European truck manufacturers also face competition from Chinese firms, which already hold 20% of the bus market with lower-cost electric vehicles.

For those managing moves in Europe, expect future cost adjustments and investment opportunities as the market shifts toward more sustainable solutions.

The Impact: McKinsey’s study highlights the need for everyone to do their part and work toward leveraging lower emission or emissions-free options. CapRelo’s supply chain is actively exploring ways to offer sustainable alternatives for clients prioritizing sustainable options. However, it is important to note that these alternatives may involve additional costs.

Global Mobility Radar

CapRelo’s Mobility Radar provides valuable insights into trends worth monitoring. This month, we are tracking important global mobility updates in the UK, Florida, and the East and Gulf Coast ports.

• Some UK businesses have delayed hiring and investment decisions because of uncertainty regarding potential tax hikes in the upcoming Budget, according to the Confederation of British Industry (CBI). The government is set to release its fiscal policies on October 30. Despite UK economic growth of 0.2% in August some remain concerned about sluggish growth overall.
• Following back-to-back Hurricanes Helene and Milton, with severe damage to areas in Florida and the Southern U.S. Coast, multiple logistics companies responded with donations, transportation support, and equipment deliveries. Among a myriad of other companies and organizations, CapRelo’s sister company, Kuhn Aviation, flew helicopters to difficult-to-reach areas to aid in recovery efforts with deliveries of supplies for impacted communities.
• The recent three-day strike at the East and Gulf Coast ports, led by the International Longshoremen’s Association, came to a swift resolution. While the work stoppage posed potential threats to supply chains and exports, its brief duration helped limit economic impact. Despite the resolution, final contract approval remains pending union ratification.