Nearly half of business owners and senior leaders (39%) believe that there is a direct correlation between supporting employee mobility across the world and higher company profitability. That's according to a new report from Localyze, an online global mobility platform that breaks down borders for companies and their talent.

Findings in the report, ‘The ROI of Global Mobility’, show that global mobility initiatives such as relocations and workcations are a crucial business investment that can supercharge productivity, boost employee retention and raise profits.

According to 78% of businesses surveyed, relocated employees demonstrate higher performance and a stronger commitment to the business. This is in large part because global mobility benefits employees in ways that foster trust and loyalty – 66% note that relocated employees have experienced personal growth, and 70% confirm relocating creates career development opportunities. This is crucial for businesses that want to retain top talent in a competitive market.

Over half of businesses (51%) also said global mobility expands their access to talent across the world. Enabling employees to move beyond borders for work might seem like an initiative that employers can only engage with during times of prosperity, given that the average cost of relocation to the UK is £18,493 ($22,923). However, according to Localyze’s research, the perceived financial benefit of an international hire for UK businesses is £39,646 ($49,144) per year. This means businesses putting resources towards an employee's relocation see more than a 2X return on investment for their first year of employment, and more than 4X return if they stay for two years.

Hanna Asmussen, Co-Founder and CEO at Localyze said: “Our findings confirm what we’ve long suspected: relocations and workcations are not just a ‘nice-to-have’, but a vital business enabler that bolsters the bottom line, improves company culture and supercharges business performance.”

Scott Leishman, Chief People Officer at Raft and former talent leader at Skype and Google added: “When companies invest in cross-border mobility, they ultimately invest in their people – the lifeblood of every business looking to grow and innovate. Research like this only confirms that talent is thinking on a much more global scale than before, and if we want to be their top choice, we need to adapt to the changing landscape.”

Hanna concluded: “The future of work isn’t sitting in the office or our homes, or even our countries. It’s global, mobile and borderless. It’s what employees want, and crucially, it is what businesses need to achieve growth, maintain resilience and hire the best talent in their industry – all of which is essential as business leaders take stock of a challenging year and look ahead to 2024.”