When Cisco Systems relocated Senior VP Chuck Robbins to California, the networking company agreed to cover a range of expenses that some employees might otherwise overlook. For employees who are asked to relocate, this SEC filing may help you to negotiate the deal.

The VAR Guy

December 6, 2013

2 Min Read
Cisco Executive Relocations: $2,000 Per Pet

Unlike Noah, tech executives can have their expenses covered when they relocate their animals. A case in point: Cisco Systems (CSCO) offered a $2,000 allowance per pet shipment (up to $8,000 total) when the company relocated Senior VP Chuck Robbins from Lawrenceville, Ga., to San Jose, Calif., in 2012, according to an SEC filing. But that’s not all.

Robbins is rumored to be on the shortlist of candidates who may succeed CEO John Chambers. The VAR Guy has also been tracking Cisco President Rob Lloyd as a potential CEO candidate and aspiring Chambers successor.

Chuck Wagon Heads West

But back to the story at hand. Let’s assume you’re a high profile executive who’s willing to relocate. What expenses does a tech company like Cisco cover for its executives? According to an SEC filing that disclosed the relocation agreement between Cisco and Robbins, the 2012 transfer agreement covered:

  • Two house hunting trips for the family.

  • Shipment of household goods.

  • Final travel for employee, spouse and legal dependents.

  • Corporate temporary housing accommodations of up to 90 consecutive days, with an allowance of $300 per family. (Per day? The VAR Guy didn’t confirm that point.)

  • Compact automobile rental for up to 15 consecutive days or until personal automobile arrives to new employment destination.

  • A miscellaneous relocation allowance of $20,000 (minus taxes).

  • Area orientation session that includes home finding tours plus information on communities, schools, recreation and special needs.

  • A Pet Shipment Allowance of up to $2,000 per pet, with a maximum of up to four pets.

So far so good. But that’s not all. Additional benefits include a home sale program, sales incentive bonus, home purchase assistance (capped at $20,000), and a mortgage subsidy of up to $300,000 over five years.

That may sound like a lengthy list of financial perks. But moving to San Jose often triggers sticker shock for many folks. The average (loosely translated as “nothing special”) Silicon Valley home now costs more than $1 million.

Pet Sounds

Still, The VAR Guy is fixated on the Pet Shipment Allowance. Our resident blogger has a dog, a gold fish, a cat and a parrot. Really. Truly. Well… not really. The actual list only includes a dog and a gold fish. But The VAR Guy was looking to fully leverage the four-pet maximum allowance.

Not that The VAR Guy is looking to leave Long Island’s Gold Coast anytime soon. Besides, Cisco’s HR department hasn’t dialed The VAR Guy recently…

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