August 27, 2024
(press release)
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Challenger Relocation Report Challenger, Gray & Christmas, Inc. © The data comes from a survey of over 3,000 job seekers across the country that the firm conducts quarterly via phone and online.* “The rise in the relocation rate suggests finding jobs close to home is becoming a bit more difficult. With more companies mandating time in the office, job seekers are beginning to recognize the need to move to where the jobs are,” said Andrew Challenger, Senior Vice President and economic expert for Challenger, Gray & Christmas. Since 2017, when 11.2% of job seekers relocated for work, the rate has fallen every year. Overall, job seekers have been less likely to move for their positions since Challenger began tracking data in 1986. The final quarter of 2023 saw the lowest relocation rate on record at 1.1% (revised down from 1.5%). Challenger, Gray & Christmas, Inc. © Source: Challenger, Gray & Christmas, Inc. “Relocation is rising across wage levels. The opportunities are becoming fewer and farther between. Though we are not seeing job seeker relocation at the level we saw prior to the pandemic, with rates expected to fall and inflation cooling, it’s only a matter of time,” said Challenger. Last quarter, the relocation rate was driven by the highest wage earners. In Q1, 11.3% of workers making $250,000 or more per year relocated for new jobs. In the second quarter, 6.9% of job seekers in that group relocated, meaning more job seekers in other wage groups are moving for jobs. Challenger, Gray & Christmas, Inc. © Job openings are down by nearly a million, year over year, according to the Job Openings and Labor Turnover Survey (JOLTS) by the Bureau of Labor Statistics (BLS), and workers are less likely to quit their jobs. The economy added just 114,000 jobs in July, according to the BLS’s employment situation. Average Relocation Rate by Decade Source: Challenger, Gray & Christmas, Inc. Though Challenger expects the relocation rate to rise, it is unlikely job seekers will ever relocate at the rate they did in past decades. The impact of AI on the labor market remains to be fully realized but will likely mean more workers can work from anywhere. “We know technology allows workers to work remotely in many cases, but employers may continue to require in-person work, at least at first. This means workers may need to relocate in order to get the jobs that will eventually allow them to work remotely,” said Challenger. # # # *Surveys are recorded as they are received for the quarter in which job seekers found positions. Challenger is now incorporating revisions to past quarterly data based on the most recent survey submissions. Contact Colleen Madden Blumenfeld for more data or to set up an interview with SVP Andy Challenger.
Job seekers’ relocating for new jobs rose to 2.7% in the second quarter, up from 2.1% in the first quarter* and 2.4% in the same quarter last year. While the rate is rising after falling to historic lows in 2023, it is still not at levels seen pre-pandemic, according to data released Thursday by global outplacement and business and executive coaching firm Challenger, Gray & Christmas, Inc.
Average Relocation Rate Annually
Year
Q1
Q2
Q3
Q4
Annual Average
2018
10.6%
9.5%
10.4%
7.7%
9.6%
2019
6.1%
6.7%
5.5%
4.8%
5.7%
2020
3.8%
7.5%
4.2%
4.6%
5.0%
2021
4.2%
3.3%
4.7%
4.4%
4.1%
2022
4.6%
2.8%
2.9%
3.7%
3.5%
2023
1.6%
2.4%
3.7%
1.1%
2.2%
2024
2.1%
2.7%
Year
Q1
Q2
Q3
Q4
Annual Average
AVERAGE 2018-2023
5.1%
5.4%
5.2%
4.4%
5.02%
Average 2008-2017
10.6%
10.8%
12.3%
10.2%
10.97%
Average 1998-2007
17.3%
18.4%
17.8%
17.6%
17.78%
Average 1986-1997
29.8%
30.6%
28.2%
27.4%
28.99%
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