Welcome to the latest issue of Mobility Minute, a newsletter created by Worldwide ERC®. Twice a month this newsletter will land in your inbox to keep you up-to-date on news from and about the global workforce mobility industry.
What's happening?
Here's a quick glimpse of what you'll find in this week's Mobility Minute:
● Competitive Housing Market Will Likely Continue in 2022 ● Immigration Policies Expanded to Strengthen US Economy ● Global Talent Mobility is Supported by Changing Laws ● Employers Lose $1 Billion per Week to Pandemic-Related Absences
2021’s Competitive Housing Market Will Likely Continue in 2022
Last year, US home sales surged to a 15-year high. Low mortgage rates and intense buyer demand powered this historic increase as the pandemic increased remote work and regional mobility. All types of homebuyers were encouraged to purchase in 2021. First-time homeowners, luxury vacation-home buyers, and investors all took advantage of saving more money during the pandemic and benefiting from a rising stock market.
Get the facts:
The National Association of Realtors (NAR)’s 2021 Profile of Home Buyers and Sellers reported that the annual share of first-time buyers was 34 percent.
High demand for homes in the first half of 2021 caused the supply of homes for sale to fall to a record low by December.
The rise of remote work and a generation of millennials entering their early and mid-30s added to the increase in homeownership in 2021.
Why is this important?
Housing economists, initially of the opinion that home sales would cool in 2022, are revising their forecasts and predicting another year of fierce competition and increasing home prices. According to Realtor.com, the typical home sold in 61 days in January, which is ten days less than in January 2021 and nearly a month (29 days) faster than the usual pace of sales in January between 2017 and 2020, according to Realtor.com. In some of the hottest markets, such as Nashville, San Diego, San Jose, Denver, and Raleigh, homes sold in 36 days or less in January.
Fierce competition caused the housing market to see significant gains last year due to the supply and demand imbalance. In 2021, home prices grew at a record pace across the country last year. In December, the median existing-home price for all housing types was $358,000, up 15.8per cent from $309,200 in December 2020. This marks 118 straight months of year-over-year increases, the longest-running streak on record.
Of course, as shown, forecasts are subject to change by events not anticipated. Yet to be seen is the effect of the Federal Reserve’s efforts to control inflation which may indirectly result in higher mortgage rates. However, if revised forecasts are realized, 2022 may be another brutal year for home shoppers.
Immigration Policies Expanded to Strengthen US Economy and Competitiveness
Over the years, immigration guidance and procedures have become so inflexible that employers risk losing vital international employees working in emerging science, technology, engineering, and mathematics (STEM) fields. The newly announced guidance on O-1A visas, National Interest Waivers, and foreign student visa programs signals that the US government is trying to keep up with the rapidly changing academic environment.
Get the facts:
The policies were expanded to strengthen the US economy and competitiveness.
The new guidelines affect the F-1 student, J-1 exchange visitor, and O-1 extraordinary ability nonimmigrant visa categories, as well as the EB-2 National Interest Waiver immigrant visa category.
Why Is This Important?
International students account for a large percentage of STEM students at US universities, and the data show it would be difficult to maintain essential graduate programs without international students. According to a National Foundation for American Policy analysis, foreign nationals account for 82% of the full-time graduate students in petroleum engineering, 74% in electrical engineering, 72% in computer and information sciences, 71% in industrial and manufacturing engineering, and 70% in statistics.
Logical next steps might be for the State Department and USCIS to improve the overall visa process, including increasing the number of employment-based green cards and H-1B visas and eliminating the per-country limit for employer-sponsored immigrants.
Supply disruptions from a Russia-Ukraine war and any subsequent sanctions are, experts say, unlikely to stop global chip production. But the disruptions might pinch capacity, especially for some smaller manufacturers. And they will likely cause a jump in semiconductor prices, at a time when chips have already become more expensive owing to exceptionally high demand and previous COVID-19-related supply-chain disruptions. – Fortune
The European Union has announced a €43bn ($48bn) plan to overcome its dependency on Asian computer chip makers as governments and businesses around the world battle with a global supply chain crisis that experts believe could persist for much of the year. – The Guardian
After rebounding to an estimated 5.5% in 2021, global growth is expected to decelerate markedly in 2022 - to 4.1 %, reflecting continued COVID-19 flare-ups, diminished fiscal support, and lingering supply bottlenecks. Although output and investment in advanced economies are projected to return to pre-pandemic trends next year, they will remain below in emerging market and developing economies (EMDEs), owing to lower vaccination rates, tighter fiscal and monetary policies, and more persistent scarring from the pandemic. – The World Economic Forum
The International Monetary Fund's new update to its world economic outlook says "the ongoing climate emergency continues to pose grave risks to the global economy" and warns that current policies are inadequate. The document is also the latest of several recent warnings and lines of evidence that nations are not breathing life into the lofty ambitions of the Paris Agreement and the late 2021 United Nations climate summit. – Axios
Global Talent Mobility is Supported by Changing Laws
To compete in the global economy, companies are building geographically dispersed teams that offer the best expertise from around the world. These teams globally bring together people from many cultures with varied work experiences and perspectives on strategic and organizational challenges. Governments understand the importance of globally diverse teams, and many are passing laws and creating visa categories that will make recruiting international talent easier.
Get the facts:
Despite a global pandemic, talent is still willing to move abroad, and remote work makes closing the gap between workers and employers easier.
The growing talent pool is willing to relocate, with 50% of international talents reporting they remain willing to move to seek better job opportunities elsewhere.
Although work-visa-based migration dropped in many countries during Covid-19, it has started to rebound and is approaching pre-pandemic levels.
Why is this important?
The Boston Consulting Group recently surveyed 850 senior executives and found that while 95% say they want to develop globally diverse teams, only 2% have succeeded. The companies with globally diverse groups are more than twice as likely to be innovative and fast-growing than their more homogenous peers.
Ultimately, if domestic talent isn’t interested in working for your company, you’ll struggle to attract foreign talent. To build a globally diverse team, companies should introduce a smooth, remote hiring process for digital talent and targeted relocation packages that help recruits with housing support and ensure better retention of its globalizing workforce.
Global talent mobility may seem to be in a weakened state, but it offers an opportunity to address urgent talent shortages and drive innovation. Now is the time to widen your net while hiring and work to diversify your team.
House Passes COMPETES Act with immigration provisions. Read more on Worldwide ERC®.
Extension of Form I-9 Verification. Read more on Worldwide ERC®.
The difference between DEI and anti-racism at work. Read more on CNBC.
Delta Air Lines dropped from a corporate sustainability index. Read more on Skift.
The annual H-1B Visa lottery will open on March 1, 2022. Read more on The National Law Review.
HR departments are rushing to make onboarding feel more human. Read more on Fortune.
California bill would require vaccines for all employees. Read more on US News & World Report.
Issues of accommodation and flexibility are at the new frontier of job design. Read more on MIT Sloan Management Review.
On Tap
Register for the 2022 CRP® exam. The deadline is April 29, 2022. The deadline to apply to sit for the CRP® is April 29, 2022. This will be the ONLY opportunity to sit for the CRP exam this year. The Worldwide ERC® Certified Relocation Professional (CRP®) designation is the only credential dedicated to identifying professionals that demonstrate a broad understanding of managing employee mobility within the United States. Learn more on Worldwide ERC®.
You are the voice of Global Mobility. A survey of the Corporate Sector is being conducted to understand the current situation and the ground realities of skills mobility and migration. The responses will inform and prioritize private sector needs and shape recommendations for governments. The deadline is February 25, 2022. Click here to complete the survey.
Webinar—Resilience: The Art of Recovering from Setbacks. What have we learned from this pandemic, and how will HR and Mobility leaders transform their organizational capabilities in today’s environment? How did leaders keep their teams afloat and safe, and what tough decisions needed to be made to keep business going? What did we do to respond to the unpredictable needs of our confused and worried transferees? Register today.
As governments worldwide loosen coronavirus restrictions and shift their approach to accepting Covid-19 as a manageable part of everyday life, the travel industry is growing hopeful that this will be the year that travel comes roaring back.
Travel agents and operators have reported a significant increase in bookings for the upcoming spring and summer seasons in recent weeks. The World Travel & Tourism Council (W.T.T.C.), which represents the global travel and tourism industry, projects that travel and tourism in the United States will reach pre-pandemic levels in 2022, contributing nearly $2 trillion to the U.S. economy.
Travel Trends for Spring 2022: While uncertainty remains over the pandemic and government policies on mask mandates and testing requirements for travel, the industry is seeing a strong desire among travelers to take big bucket list trips this year, particularly to far-flung international destinations and European cities.
Here are some of the trends you can expect to see:
There are fewer restrictions on air travel, but for now, the masks stay on. When flying in the United States, everyone will need to wear a mask until at least late March.
Rental cars will remain expensive and hard to find. Rental agencies still haven’t expanded their fleets — thanks largely to slowdowns in automotive manufacturing — and the anticipated return of travel after Omicron suggests more car trouble ahead.
Family travel is on the rise. Parents eager for lesson plans that can supplement learning are now seeking experiences with an educational bent when they travel.
Cruise ships will be smaller and dock at luxury destinations. One of the biggest cruise trends for 2022 is luxury expedition voyages, appealing to a growing number of travelers throughout the pandemic because they typically sail on smaller ships and steer away from crowded destinations. Read more about travel trends for 2022 in The New York Times.
Worldwide ERC®, P.O. Box 41990, Arlington, VA 22204, United States, 1-703-842-3400
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