Foley & Lardner LLP Partner Cristina Solomon is quoted in the SHRM article, “Moving? Answer These Questions for Your Employees,” offering her insight on why employers may relocate and what they need to consider when doing so.
Solomon said the main reason companies choose to relocate to another state is because the new home is employer-friendly with respect to its employment laws and has a pro-business regulatory environment.
For example, Texas is considered an employer-friendly state, she said, noting it has a low tax burden, a healthy economy, a low cost of living, and a skilled workforce. Companies which have relocated to Texas "are experiencing fewer employment lawsuits and a simpler and less expensive climate to operate in from an HR perspective," Solomon said.
She emphasized that companies need to make sure employees “have a thorough understanding of the reason for the relocations and the benefits to residing in the new state," adding that companies moving their corporate headquarters should consult with employment counsel early in the process, to “ensure that relocation agreements and policies are developed for employees they wish to retain.”