Welcome to Mobility Minute, a newsletter published every Friday byWorldwide ERC®for the benefit of members and the global mobility and relocation industry. Here’s a quick glimpse of what you’ll find in this week’s issue:
Takeaways From the World Economic Forum in Davos
The Benefits of Using a Professional Employment Organization
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Takeaways From the World Economic Forum in Davos
From 16-20 January, the annual World Economic Forum meeting (WEF) was held in Davos, Switzerland. For global mobility professionals, the focus at the WEF meeting on improving inflation over the next year, both assessing and mitigating threats to a fragmented supply chain, and improving upon current sustainability efforts will be crucial for understanding the trends and forecasts in the industry for the coming years.
Why is this important?
The annual meeting discussed many topics, including the polycrisis, sustainability, and a global recession. The global economic outlook for the year ahead is more positive than expected, and world leaders are becoming cautiously optimistic about avoiding a recession. While inflation and interest rates are still high, delegates say that the chances of an outright recession and economic contraction are decreasing.
The Benefits of Using a Professional Employment Organization
Attracting top talent is more important than ever. However, the current conditions for international relocation to the U.S. are difficult, especially for smaller companies and organizations. Both the green card visa and the H-1B work visa can be difficult to obtain. A professional employment organization (PEO) could be a conduit for attracting and retaining foreign talent while streamlining employee benefits and the immigration process.
Why is this important?
A third-party PEO acts as the employer of an individual and takes on the responsibility of tax implications, human resources, payroll, and benefits while the original company handles the employee’s day-to-day responsibilities. An international PEO can be used almost anywhere in the world and many PEOs advertise help expanding in up to 170 different countries globally. In particular, Canada has been using PEOs to bring in international talent with great success.
Webinar: Car Services – How to Manage Assignees’ Global Transportation Needs — This session, held 28 February, will explain how to create and manage a Global Transportation Plan. We will discuss the challenges international assignees faces in new locations and how to overcome these. And how you can manage and centralize all your global transportation expenses. Learn more and register.
Worldwide ERC Town Hall: Strategic Plan and Beyond — Hear from Lynn Shotwell, Worldwide ERC president and CEO, and Anupam Singhal, Worldwide ERC chairman, on 2 March about the 2023 strategic planning that will guide the organization throughout the coming years. Learn more and register.
Global Economic Snapshot
India’s economic transformation is kicking into high gear. Global manufacturers are looking beyond China, with Prime Minister Narendra Modi stepping up to seize the moment. The government is spending nearly 20% of its budget this fiscal year on capital investments, the most in at least a decade. — Bloomberg
The United Nations forecast Wednesday that global economic growth will fall significantly to 1.9% this year as a result of the food and energy crisis sparked by the war in Ukraine, the impact of the COVID-19 pandemic, persistently high inflation, and the climate emergency. — AP News
Tech giants like Amazon, Google, Meta, and Microsoft have announced mass layoffs in recent weeks. However, tech jobs are in high demand across the U.S. economy, according to an Indeed ranking of the 25 best U.S. jobs of 2023. — CNBC
Spending on business travel globally is expected to recover to 80% of 2019 levels in 2023, up from 65% in 2022, according to the Global Business Travel Association. Global airlines are expected to return to profitability this year for the first time since 2019, fueled by demand for leisure trips, according to trade group IATA. Also helping is expected demand from small- and medium-sized enterprises (SMEs), according to industry officials and various surveys.
Small businesses will boost business travel rebound in 2023
SME executives were some of the first business travelers back on planes after the pandemic-induced slump. They have since emerged as the fastest-growing segment within corporate travel according to American Express Global Business Travel.
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