Remote Work Incentives: Cities Pay Cash to Attract New Residents

Cumberland, Maryland, is paying up to 20,000 dollars for each new resident who agrees to relocate. The city launched a pilot program called Choose Cumberland this year. The initiative targets up to 10 individuals who work remotely. Each selected candidate receives 10,000 dollars in cash. They also receive 10,000 dollars toward a down payment or approved home renovations.

The program requires participants to make Cumberland their primary residence for at least five years. Mayor Ray Morriss stated the city aims to attract people who bring their jobs with them. Cumberland is located approximately 130 miles from Washington, D.C. The population dropped from over 40,000 to fewer than 19,000 after major employers closed starting in the 1970s. Morriss noted the city once supported a much larger population before these closures.

Tulsa, Oklahoma, operates one of the largest relocation programs in the country. Tulsa Remote pays 10,000 dollars to remote workers who move to the city to rent or buy a home. Justin Harlan, the managing director of Tulsa Remote, said the program began as an experiment to diversify a workforce heavily reliant on the oil and gas industries. The number of participants grew from about 70 in 2019 to more than 3,500. The program requires only a one-year residency.

Harlan reported that 90% of participants remain in Tulsa after that one-year requirement. Additionally, 75% of participants since 2019 still live in the city. The organization meets with each individual within their first 90 days in Tulsa. Harlan said these meetings help integrate new residents into the community. The goal is to understand what participants want from their new location.

Faith Langevin moved from Atlanta to Tulsa in 2022. She cited a lower cost of living and the financial incentive as primary reasons for the move. Her husband also works remotely and received the same payment. Langevin said the social component of the move was a deciding factor. When asked about regrets three years later, she answered, "Absolutely not!" She described Tulsa as her real home.

The website Make My Move lists more than 100 places advertising cash offers to attract potential new residents. Evan Starr, an associate professor at the University of Maryland, School of Business, studied the Tulsa Remote program. He sought to understand how cities compete for remote workers. Starr found the retention rates to be high. He warned against programs that attract people solely for money. Those individuals might leave as soon as restrictions expire.

Starr believes remote work will remain a standard part of the labor market. He noted that this shift has opened up a new level of geographic mobility. Workers are no longer tied to the location of their employer. Starr said this trend allows localities to benefit from attracting a diverse workforce.

Gino Giatras has lived in Cumberland for a long time. His family has operated a hot dog shop in the city since 1918. Giatras said he welcomes new neighbors to the community. He cited the people, weather, and activities as the main reasons he loves living there.