2012 Olympic Games Impact on Relocation

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1 Information from Cartus to keep you informed on news that may impact your international assignment programme Olympic Games Impact on Relocation This issue is the fourth in a series of Cartus communications, providing information and policy and programme advice on the impact of the London 2012 Olympic Games on UK based international assignments. With less than three months to go until the Olympic Games begin, make sure you are fully prepared for London s global event. Indeed, there will undoubtedly be logistical challenges, especially in the UK Capital where the majority of the events are taking place. Moreover, in addition to the Olympic and Paralympic Games, there are also other UK events scheduled this year: Queen s Diamond Jubilee: Saturday 2 June to Tuesday 5 June. Wimbledon Tennis Championship: Monday 25 June to Sunday 8 July. Olympic Games: Friday 27 July to Sunday 12 August. Paralympic Games: Wednesday 29 August to Sunday 9 September. When you consider the possible impact of all these events, we anticipate that UK-bound relocation will be heavily affected between April and September The majority of events will be held at the Olympic Park in East London, which has the ability to hold up to 80,000 spectators. Locations The majority of events will be held at the Olympic Park in East London and with the ability to hold up to 80,000 spectators, it will be extremely busy in and out of this area of the city. Another popular venue, the North Greenwich Arena, will hold 16,500 for gymnastic events and a further 20,000 spectators will attend the basketball finals, so even venues outside of the Olympic Park will attract a significant number of people. Below are some of the most popular events being held in London: Events Venue Location Olympics Paralympics O p e n i n g / C l o s i n g c e re m o n y, a t h l e t i c s Olympic Park Olympic Park, E.London Duration of Games Duration of Games S w i m m i n g, d i v i n g Aquatic Centre Olympic Park, E.London 28 July 4 Aug 30 Aug 8 Sept Track cycling Velodrome Olympic Park, E.London 2 Aug 7 Aug 30 Aug 2 Sept F o o t b a l l f i n a l s Wembley N.W London 11 Aug N/A Tennis Wimbledon S.W London 28 Jul 5 Aug N/A Archery B e a c h v o l l e y b a l l Lord s Cricket Ground Horse Guards Parade N.W London 27 Jul 3 Aug 30 Aug 5 Sept Central London 28 Jul 9 Aug N/A Page 1 of 6

2 Events Venue Location Olympics Paralympics Tr i a t h l o n Hyde Park West End, London 4 Aug 7 Aug N/A R o a d c y c l i n g The Mall/ Hampton Court Central London 28 Jul 1 Aug N/A B o x i n g / J u d o ExCel Exhibition E. London 28 Jul 12 Aug 30 Aug 1 Sept G y m n a s t i c s North Greenwich Arena Central London 28 Jul 7 Aug N/A The Olympic football tournament is one of the main events that will be hosted outside of London across a number of UK cities. Outside London All water sport events will take place on the south coast of England, although we anticipate that they will not have a major affect on UK relocation. The Olympic football tournament is one of the main events that will be hosted outside of London across a number of UK cities. Most football matches will be held mid-week during the working day and although there will not be heavy disruption, the events may affect the way roads operate in the local area around each football stadium. Below is a list of some of the most popular Olympic venues outside of London: Events Venue Location Olympics Paralympics Sailing Portland Harbour Weymouth, Dorset 29 July 11 Aug 1 Sept 6 Sept Football Hampden Park Glasgow, Scotland Football Millennium Cardiff, Wales Football Old Trafford Manchester (N.E England) Football St. James Park Newcastle (N. England) Football City of Coventry Coventry (Midlands) Immigration The UK Border Agency (UKBA) has set up an Olympic Clearing House to meet the high number of applicants applying for visas. 70,000 athletes, coaches and officials as well as 660,000 visitor applications are currently being processed. As a result, any urgent requests are unlikely to be met until after the Paralympics in September Recommendations We recommend that you discuss the best approach for your immigration needs with your immigration provider, however if you have scheduled UK assignments during the Games: Identify those assignees moving, including their nationalities and the country they are moving from. Consider creating a contingency plan for business visitors travelling to the UK during the Olympics period. The plan should include additional documents to confirm the purpose of travel and intention to leave. Page 2 of 6

3 Transport & Travel T h e O l y m p i c R o u t e N e t w o r k During both the Olympics and Paralymics, there will be a designated Olympic Route Network (ORN) and Paralympic Route Network (PRN) on London s roads that link all competition and key non-competition venues. 175km long, the ORN is expected to be open just 48 hours before the Olympics begin, with around 80,000 people expected to use it. Most of the roads that are on the network will remain fully open to general traffic, with one lane dedicated to official Olympic vehicles as well as emergency services. These Game Lanes are a temporary measure, to be used on the busiest sections of the network and will include traffic signal timings, suspension of parking or loading bays and the suspension of some pedestrian crossings. The ORN will operate flexibly and will open to general traffic at times when demand from Games family vehicles is low. A network of 150 Variable Message Signs (VMS) will advise motorists when the Games Lanes are open to general traffic. However, delays and restrictions should be considered when you schedule home finding, school search and look/see trips in London this summer. The ORN will continue to operate during the period between the Olympics ending and the Paralympics starting, allowing departures from the Olympics and arrivals for the Paralympics to take place. Once the PRN is up and running, it will operate on a much smaller scale. 175km long, the Olympic Route Network is expected to be open just 48 hours before the Olympics begins, with around 80,000 people expected to use it. Public Transport The Olympic Authority has stated that it expects 100% of the event s spectators to travel to the Games by public transport, walking or cycling. Indeed, each Olympic and Paralympic ticket will include free travel on London s public transport system, including the London Underground and all bus services. This amounts to an additional 800,000 people using public transport every day of the Olympics, which will undoubtedly impact London-based employees and their commute to/from work. One of the key links to Games venues will be the Docklands Light Railway, which also serves Canary Wharf. With this in mind, those working in London s business district should expect disruption to their commutes. Kings Cross station will also be impacted as a high speed rail service between St. Pancras and Stratford International is scheduled to run from the station throughout the Games. The high speed, overground train - called the Javelin - will transport 25,000 Olympic ticketholders an hour, with the aim of taking pressure off of the rest of the Underground network. As a key route that links Central London with the Olympic Park in East London, the Underground s Jubilee Line is expected to be significantly busier than usual during the Games. The Line is currently being upgraded ahead of the Olympics, but Transport for London warns that people may still have to queue for up to an hour at key stations to reach a train. Spectators are also expected to use the Underground s Northern Line. Although it is not a direct route to any Olympic venue, the Northern Line allows spectators to travel to London Bridge tube station where there is an interchange to the Jubilee Line. Additional Underground stations that Transport for London expect to be either exceptionally busy or busier than usual during the Games includes: Bakerloo Line: Marylebone and Embankment. Central Line: Shepherd s Bush, Bond Street, Oxford Circus, Tottenham Court Road, Holborn, Chancery Lane, St. Paul s, Bank, Bethnal Green and Mile End. Circle: Paddington, Baker Street, Great Portland Street, Euston Square, Farringdon, Liverpool Street, St James Park and Monument. District: Fulham Broadway, Parsons Green, Putney Bridge, St. James Park, Earl s Court and South Kensington. Northern Line: Kentish Town, Euston, Angel, Old Street, Moorgate, Waterloo and London Bridge. Page 3 of 6

4 Overground: Kensington (Olympia), Canonbury, Dalston Kingsland, West Brompton and Imperial Wharf. Piccadilly Line: Caledonian Road, Covent Garden, Leicester Square, Piccadilly Circus and Knightsbridge. Victoria Line: Victoria and Oxford Circus. For those commuting to work by bus in London, services may temporarily be diverted during the Games. This is due to the ORN road changes and sport events that require road closures such as marathons and cycle road races. Although the Olympic Games will attract the most visitors, Transport for London also warns that the City s public transport network is expected to be very busy in the second week of the Paralympics (w/c 3 September) as schools reopen after the summer holidays. The Olympic Authority has set up a website identifying where the travel hotspots will be Trains The Olympic Authority estimates that 80% of spectators attending London events will travel to their venue by train. Network Rail, the organisation responsible for the UK train network has announced that over 100 extra daily services will be added to regular timetables during the Games. Trains will also have more carriages to help provide additional capacity at peak times. However, should assignees plan to travel by train either to or from London, they should be made aware that delays are possible. Heathrow have announced that on 13 August (the day after the Olympic Games finish), there will be a special terminal opened for Olympic athletes, to ease congestion. UK Airports With an expected 4,000 extra flights into London airports this summer, the UK Border Agency (UKBA) will be implementing a number of services and provisions to cope with the increased traffic. To meet demand, the UKBA is currently training 500 UKBA officers who do not typically work in customer-facing positions as well as 470 volunteers. To maintain service levels during this period, UKBA is planning to set up dedicated Olympic lanes at airports for athletes, officials and coaches to use. In addition, all travellers are encouraged to adhere to the following recommendations in order to speed up the entry process: Use automated gates where able. If you are an EU or EEA national, use the separate EU/EEA channels. Should you have a chipped passport, use the e-passport gates. During the Games, UKBA will be operating both arrival and departure hubs at London s main airports, Heathrow and Gatwick. The hubs will be used to monitor traffic and respond to congestion. Heathrow has also announced that on 13 August (the day after the Olympic Games end), there will be a special terminal opened for Olympic athletes. Called Terminal 6, it will help to ease the strain on the day that Heathrow predicts to be its busiest to date, with an estimated 137,000 passengers scheduled to depart. Remember that flight delays will not only affect your inbound assignees, but those leaving the UK as well, so be sure to send Olympic communications to all outbound employees scheduled to leave this summer. Shipments & Cargo Flights Make sure that relocating employees are prepared for delays by pre-warning them of the increased traffic in ports and airports. Certainly, the delays at customs for both air shipments and sea shipments may mean that relocating employees require longer periods in temporary accommodation and more time using furniture rental. With congestion at ports and airports likely, renting temporary furniture is a good way to bridge possible delays; either in the home location so that shipments can leave early or in the host location whilst the employee waits for shipments to arrive. If you are planning to use furniture rental as a contingency plan, consider reflecting the cost of this in your relocation allowance. Page 4 of 6

5 Is it more important to reserve accommodation at any cost or would delaying the start of an assignment be a more cost effective decision? Accommodation When sourcing temporary accommodation in the run up to the Olympics, it is important that you establish your business priority: Is it more important to reserve accommodation at any cost or would delaying the start of an assignment be a more cost effective decision? Achieving the right balance between cost and a successful relocation will no doubt be one of the greatest challenges for businesses this summer. If you do have critical moves into London then you could re-evaluate your accommodation programme and policy. For example, if you offer a 30 day temporary housing service then consider introducing fixed rates now to avoid paying inflated prices at the time of the Games. Furthermore, restructure your home finding programme so that relocating employees attend home search trips, but once they have found a property, they return home until their long term tenancy begins; thus removing the cost of temporary accommodation. Hotels When trying to secure a London hotel room, your relocating employees will be competing with tourists, ticket holders, athletes, officials and coaches, so advance planning is key. Moreover, the Olympic Route Network will prevent non-olympic traffic from using the streets around a number of hotels, so check with your hotel provider to find out whether they will be affected. If they are, consider the logistical implications of booking with them during the Games. Residential Lettings Market The high demand in London s short term residential lettings market is beginning to increase further in the run up to the Olympics. In recent weeks, UK property portal Zoopla reported (April 2012) that it had seen an increase of over 160% in lettings searches for the term Olympics. This is partly due to many deciding that renting a property is a cheaper alternative to booking hotel rooms. It is expected that London rental prices will be pushed up even more in the next couple of months, as current tenancy agreements expire and landlords opt to market their property as short term accommodation, to maximise profit during the Olympic period. Relocating employees should be warned that there have been several reports of bogus temporary living websites set up to capture credit card details. Relocating employees should also be warned that there have been several reports of bogus temporary living websites set up to capture credit card details. We recommend that employees do not book accommodation without discussing their choice with either their internal relocation representative or Cartus. Policy & Practice Considerations As Britain s largest peacetime logistical exercise, this year s London Olympics means that there will inevitably need to be adjustments or compromises made to your UK-based relocation programme such as implementing contingency plans or increasing an employee s relocation allowance. Deliveries & Pick Ups There are some areas in London where deliveries or pick ups will be either restricted or banned during the Games and many of our suppliers are planning overnight or out of hours deliveries in response to this. With this in mind, relocating employees should expect delays for both deliveries and pick ups. Indeed, if goods have to be delivered out of hours, it may incur charges, so consider increasing allowances for the Olympics period. In furniture rental, relocating employees should exercise flexibility with regards to dates and times of delivery as demand is high. Many of our suppliers are increasing their furniture inventory to meet demand, but we anticipate that flexibility is still required with regards to the choice of furniture items. H o m e F i n d i n g & S c h o o l S e a rc h Tr i p s We do advise that if the move is not business critical you consider rescheduling home finding and school searches in the London area during the two and half weeks that the Olympics takes place. However, if you are planning to carry out such trips, consider extending them from three days to five and the same extensions should be applied to look/see trips too. Remember that any extensions to trips will also increase both duration and cost of temporary accommodation. Page 5 of 6

6 Schedule home finding, school search and look/see trips during less busy times of the day, avoiding lunch hours especially. This will help to eliminate delays if using London roads or public transport. Furthermore, due to availability and time constraints, second viewings of properties or schools will be challenging, so relocating employees should be fully prepared with regards to possible questions they wish to ask and to have researched the property area/school before they attend viewings. O u t b o u n d M o v e s & R e p a t r i a t i o n Outbound moves should be given the same careful planning as inbound relocations, as should those employees who are returning to the UK after being on assignment. They will all be impacted by travel and transport disruption, as well as being affected by delays at UK airports, shipping ports and customs. There are some areas in London where deliveries or pickups will be either restricted or banned during the Games and many of our suppliers are planning overnight or out of hours deliveries in response to this. Recommendations Advance Planning. Any advance planning for your business should start now. Graduate programmes, long and short term assignments as well as repatriations should be reviewed as soon as possible and where necessary re-evaluated or rescheduled altogether. Clear communication is also key. Managing Expectations. Update your relocating employees with as much information as possible on the potential challenges and logistical difficulties that they may encounter in London this summer. Visit our dedicated Olympic website - to download our Employee Information Sheet, which provides assignees with information on the possible impact the Olympics may have on their move. Flexibility. Those moving to the UK this summer need to demonstrate a reasonable amount of flexibility. For family moves, the employee may want to move their family at a later date to save cost and logistical challenges, as it will be easier to source temporary accommodation for an individual rather than an entire family. Companies too will need to demonstrate flexibility. Consider offering a temporary flexible working option for the duration of the Olympics; either allowing employees to arrive to work later or (if their position allows) work remotely. Re-schedule. If you have scheduled low priority moves between 1 July and 1 September, then consider rescheduling them. The cost and resources required to move an employee during such a busy period may not be worth it if the assignment is not business critical. trustedguidance for every move you make. trustedguidanceasia@cartus.com 2012 Cartus Limited. All rights reserved. The information in this Mobility Insights publication is provided in good faith based on information currently available and is therefore subject to change. However it is not intended to provide specific advice or guidance or take the place of either written law or regulations. Cartus accepts no liability for the accuracy, completeness or usefulness of the data and information contained herein or for any loss or damage arising in contract, tort or otherwise in reliance of the data contained or omitted from this Mobility Insights publication or from any action or decision taken as a result. Keep in touch. If you have a large population of relocating employees moving to and from the UK this summer especially London-based moves we recommend that you keep in regular contact with your Cartus representative. This will help us to monitor your current relocation programme and make any recommendation as we near the event. Whilst travel and logistical disruption to your UK relocation is likely this summer, for assignees and locals alike, London will be a fantastic city to be in during both the Olympics and Paralympic Games. For more information and additional publications on the London Olympics and the possible impact it will have on UK inbound and outbound relocation, visit our dedicated London Olympics website: More information Official London 2012 website Transport for London website - Sources: Official London 2012 website Transport for London UK Border Agency Fragomen For further information on this or any other aspect of your international assignment programme, please do not hesitate to contact your Cartus representative or trustedguidance@cartus.com Page 6 of 6