AMSOUTH TRANSFER/EMPLOYEE RELOCATION POLICY PROPOSAL
POLICY: It is the policy of AmSouth to assist newly hired and current
employees who are asked by management to relocate themselves and
their families in order to assume new positions. The relocation
assistance outlined in the procedures which follow attempt to
take into consideration the level of responsibility which an
individual is asked to assume as well as the personal
inconvenience and expense which the employee might incur. It is
the further intent of this policy to minimize personal expense
while recognizing that each relocating employee must assume
minimal personal responsibilities in order to benefit from the
career enhancements offered by a job promotion.
The following assistance levels may be provided in part or in
whole to transferred or newly hired employees with the approval
of the Human Resources Director or his designee.
LEVEL OF Management Trainees and Other Non-Exempt Employees Relocation
ASSISTANCE assistance not exceeding the provisions noted below may be
. Move household furnishings plus a moving bonus of up
to one (1) month's salary
. Reimbursement of lease cancellation expense, not to exceed two
(2) months' rent
. Cash payment of up to two (2) months' salary in lieu of any
Management and Professional Positions Below Senior Vice
Relocation assistance not exceeding the provisions noted below
may be provided:
. Reimbursement for movement of household furnishings. Non-
household items and personal recreational items such as
workshops, boats, trailers, etc. are the responsibility of the
employee. AmSouth reserves the right to select the moving
company. Upon selection, the Human Resources Department will
authorize billing direct to AmSouth. Any additional costs for
storage of household furnishings must be pre-approved by the
Corporate Employment Manager.
. Provision of a home mortgage product from either AmSouth
Mortgage Company or AmSouth Bank at the current market rate for
that product, waiving up to one percent (1%) origination fee
and two (2) discount points. (Some mortgage products do not
contain a provision for points.) For each loan, all normal
credit qualifications must be met. The mortgage will include a
non-transferability clause and will specify no prepayment
penalty. All loans to Executive Officers must meet Regulation O
and FIRA standards.
. Reimbursement of normal closing costs on the purchase of a new
home, except prorated insurance and taxes.
. Normal Realtor fees incurred in the sale of existing home, not
to exceed the standard fees within the community where the sale
occurs. If the employee sells the home without using a Realtor,
AmSouth will increase their relocation bonus by one half of the
amount of the standard real estate commission that would have
been charged to close on the purchase. Relocating employees are
not encouraged to spend an extraordinary amount of time in
attempting to sell their home themselves, which could result in
unnecessary distractions and the house selling less quickly.
LEVELS OF . Reimbursement of closing costs in the sale of the existing
ASSISTANCE home excluding points. This would include legal fees, title
PROVIDED insurance policy, survey, and termite bond, if not paid by
. Reimbursement of temporary living expense up to $2,000 maximum
allowance. Only those expenses which an employee would not
incur under normal living conditions should be charged to the
Bank. Under certain circumstances, and in some more expensive
markets, the Bank will consider increasing this allowance. This
must be approved by the hiring manager and the Corporate
. Reimbursement of two (2) house hunting trips with spouse,
limited to a total of five (5) days.
. A bridge loan at the Company's prime lending rate. Such loans
cannot exceed the assumed equity in the existing residence and
must be repaid within thirty (30) days of the sale of the
. A moving bonus of up to ten percent (10%) of new annual
salary, not to exceed $7,000 may be provided to offset unusual
expenses, such as interest on bridge loan, cost of new drapes,
income tax on other reimbursements, etc. Exceptions to this
maximum must be approved by the Director of Corporate Human
. Reimbursement of duplicate house payments for up to twelve
(12) months including interest, taxes, insurance, and necessary
maintenance and utility expense.
. Mileage expense for driving one (1) vehicle to the city of new
residence. Additional expenses of $100 per day will be allowed
while the family is in transit to the new residence.
. Reimbursement for one (1) return trip to prior location (often
to close on the sale of their home).
. Reimbursement to renters for lease cancellation expenses
limited to two (2) months' rent.
. A cash payment of up to two (2) months' salary may be paid in
lieu of all other assistance.
Senior Vice President or Executive Officer Positions
All assistance provided other Officers will be available.
Additionally, the Officer's current primary residence may be
purchased by the Company. In such cases, the following
procedures will be followed:
. Two (2) MAI appraisals will be secured using forms and
instructions provided by the Corporate Properties Department.
The purchase price will be one hundred percent (100%) of the
average of these appraisals. If these appraisals are not within
ten percent (10%) of each other, a third MAI appraisal will be
secured and an average will be determined from the two (2) most
similar. (Use of appraisers not holding the MAI designation
must be approved by the Corporate Properties Department Head.)
. The sale of the property to AmSouth Bancorporation and
subsequent re-sale will be coordinated by the Corporate
. All expenses relating to the sale of the residence to a third
party will be paid by the Company.
PROCEDURE: All relocation offers and commitments must be reviewed by the
Corporate Human Resources Director or his designee prior to
discussion with the transferring employee.
Each request for reimbursement must be documented on the
Company's expense reimbursement form and supported by
appropriate receipts. Each must be approved by the appropriate
member of Executive Management and a copy sent to the Corporate
All relocation expenses will be charged to the expense center
into which the employee will be assigned.
Payment of moving bonus will be made through the payroll system
with appropriate taxes withheld. The transferring employee may
request payment of the moving bonus at any time following
assignment to the new position.
All relocation expenses must be incurred within one (1) year of
the start date in the new position.
TAXATION OF All reimbursements of moving expenses become taxable income to
REIMBURSE- the relocating employee. However, there are certain offsetting
MENTS: deductions allowed under IRS regulations. The Corporate Human
Resources Department will provide each transferring employee a
statement at year end of all reimbursements and will include
total payments within the annual statement of earnings (W-2).
Payment of resulting tax liabilities are the responsibility of
the transferring employee.
OUTSIDE Refer to Section 100-5, and 100-15, when persons are recruited
RECRUITMENT outside of AmSouth, the expense to the Company incurred by their
RELOCATION relocation is negotiated as a part of the offer of employment.
EXPENSES: All such offers must be approved in advance by a senior officer
of the Corporate Human Resources Department. The provisions of
this policy may provide guidance for such offers but are not
necessarily followed in recruiting persons from outside the