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Issue - January/February 2025

Global Impacts: How Elections Influence the Moving Industry

Move ‘em Out, Move ‘em In

By Terry Head, President Emeritus, IAM | Hall of Honor Class of 2019

Keeping with the focus of this issue of the Portal magazine, I would hazard a guess that no other moving market in the world experiences greater impact from elections than the area encompassing and surrounding the District of Columbia (Washington, DC).


Most readers likely know me as the former president of IAM, having served in that role for twenty-one years and “re-wiring” six years ago. However, some may not be aware that beginning in 1969, before taking on the role at HHGFAA/IAM, I spent 28 years actively employed in various positions in the moving, forwarding and logistics arenas, all here in the DC area.


We all know relocation and moving is both seasonal and cyclical in nature. Every country and hemisphere has its peak season. The rise and fall of global economies often contribute to the ups and downs experienced by numerous industries, including relocation, moving and mobility.


Another contributing factor to the cyclic demand for moving services are the periodic local, regional and national elections that occur here in the United States and elsewhere around the globe. These elections habitually result in the application of different political philosophies along with the implementation of new policies. These policy changes are front-runners to new rules and regulations impacting economic development, global trade and geopolitical shifts—sometimes, reluctantly, resulting in civil strife or worse.


Washington, DC, may not be the largest moving market when it comes to shipment volume. That distinction goes to established markets such as London, New York, Shanghai and Singapore, with cities like Dubai, Delhi and Bombay experiencing increased importance and growth.


The USA’s capital city experiences a major transformation as a result of national and presidential elections. These elections determine the president and vice president for the next four years, as well as who will represent each state and territory in congress for the next two years. Congressional (midterm) elections happen every two years. At that time, one-third of the Senate and every seat in the House of Representatives are up for election. The volume of moving generated is heightened, especially if there is a new, incoming presidential administration, as is now the case.


The media always seems to focus coverage on the move out of the White House by the departing president and, more importantly, the move in by the newly-elected president along with his first lady and family. What the press tends not to cover are the personnel changes (potential moves) generated at the legislative and federal agency level.


The U.S. Senate is welcoming at least a dozen newly elected senators and the House of Representatives is adding 63 “freshman” congressmen. That represents one of the largest turnovers in decades, yet out of 535 elected positions, it doesn’t seem like a lot. But what you have to consider are the ensuing hundreds of potential congressional and committee staffing changes. Most of the outgoing senators and representatives, along with their staffs, typically move back to their home districts. And, you guessed it, the ‘incoming cohort’ hire and move in their own constituents. A report issued in 2023 advised staffing levels for the Senate and House just a little over 10,000 people.


When the U.S. elects a new president, you can anticipate a major turnover within the Executive Branch, most commonly known as the president’s cabinet. The cabinet includes the (elected) vice president and the appointed secretaries (executives) of 15 cabinet level departments and federal agencies. There are around 4,000 presidential political appointees. In many cases, these appointees hire and move in their own deputies and key staffers, replacing those moving out who served under the outgoing administration.


One of those executive branches is the U.S. Department of State, which is a major customer of our industry generating on average 15–20,000 moves a year, the majority of which are international. When a new president comes into power, there can be a major turnover in U.S. ambassadors and other diplomats. Ambassadors can be either a career diplomat (foreign service officer) or a presidential appointee. Career foreign service officers serve a tour of approximately three years per ambassadorship, whereas political appointees customarily tender their resignation upon the inauguration of a new president. Also, foreign embassies and press often transfer in new ambassadors and staff who might have a beneficial relationship with the new president and/or others within the incoming administration.


On last count, there are just over 280,000 U.S. federal civilian government employees in the Washington, DC metro area. The U.S. Department of Defense employs another 61,000 civilians in and around the Capitol.


The majority of the area’s civilian government employees are secure in their jobs. However, when there is a new president and change in administration, a significant number of government employees, who might not share the same values and political beliefs, elect to quit or retire. Most choose to move out of the area to avoid the high cost-of-living in Washington, DC.


There is a new wrinkle to consider with the incoming administration planning to set up a new advisory commission to be known as the Department of Government Efficiency (DOGE). It is tasked with reviewing and restructuring the U.S. federal government, which could lead to the elimination of personnel and, in some cases, entire agencies and departments. There is also talk of relocating some agencies out of the DC area to other parts of the country.


A new president and their administration’s policies will undoubtedly have an effect on global trade. Shipping and related demand for moving services will be impacted through policy changes impacting immigration, tariffs, favored-nation status, foreign military sales (FMS), humanitarian aid, as well as corporate mergers and acquisitions (M&A). I look forward to potentially drilling down into these dynamics in a future Portal article.


Elections here in the USA and around the world will continue to periodically reshape and refocus governments, but one thing is certain—the moving industry stands ready and able to move ‘em out and move ‘em in.  

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