© 2007 Robert Sweo International Human Resources.

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Presentation transcript:

© 2007 Robert Sweo International Human Resources

© 2007 Robert Sweo Who Do You Want as Overseas Employees

© 2007 Robert Sweo Who Do You Want as Overseas Employees How many should be home, host or global employees  Usually less then 10% home country  Frequently less then 1% home country

© 2007 Robert Sweo Who Do You Want as Overseas Employees What language should the company operate in  Global language is English  Most require managers to speak at least 2

© 2007 Robert Sweo How Do You Select Overseas Employees

© 2007 Robert Sweo How Do You Select Overseas Employees Competence Factors Cultural competence

© 2007 Robert Sweo How Do You Select Overseas Employees Competence Factors Technical competence

© 2007 Robert Sweo How Do You Select Overseas Employees Adaptability Factors Able to participate in new culture

© 2007 Robert Sweo How Do You Select Overseas Employees Adaptability Factors Family adaptability

© 2007 Robert Sweo How Do You Select Overseas Employees Personal Characteristics Age - many cultures care

© 2007 Robert Sweo How Do You Select Overseas Employees Personal Characteristics Sex

© 2007 Robert Sweo How Do You Select Overseas Employees Personal Characteristics Health

© 2007 Robert Sweo How Do You Select Overseas Employees Personal Characteristics Race/Religion/Sexuality

© 2007 Robert Sweo Culture Shock Phases of Adaptation

© 2007 Robert Sweo Culture Shock Initial Euphoria - employee expects to much before leaving

© 2007 Robert Sweo Culture Shock Irritation and hostility - small aspects of culture bother employee

© 2007 Robert Sweo Culture Shock Poor family adjustment

© 2007 Robert Sweo Culture Shock Re-entry - return to initial culture not planned for

© 2007 Robert Sweo Preventing Culture Shock

© 2007 Robert Sweo Preventing Culture Shock Train employee

© 2007 Robert Sweo Preventing Culture Shock Train employees family

© 2007 Robert Sweo Preventing Culture Shock Set up exchanges between returning employees and those leaving

© 2007 Robert Sweo Preventing Culture Shock Help prevent isolation in new country

© 2007 Robert Sweo Preventing Culture Shock Provide security in foreign country - employee and family

© 2007 Robert Sweo Repatriation

© 2007 Robert Sweo Repatriation Compensate for lost standard of living

© 2007 Robert Sweo Repatriation Compensate for loss of "adventure"

© 2007 Robert Sweo How to Pay Expatriates

© 2007 Robert Sweo How to Pay Expatriates Base Salary Base Salary

© 2007 Robert Sweo How to Pay Expatriates Base Salary Cost of living allowance

© 2007 Robert Sweo How to Pay Expatriates Base Salary Foreign service premium

© 2007 Robert Sweo How to Pay Expatriates Base Salary Hardship allowances - medical, schools etc.

© 2007 Robert Sweo How to Pay Expatriates Base Salary Housing allowance

© 2007 Robert Sweo How to Pay Expatriates Base Salary Tax-equalization

© 2007 Robert Sweo How to Pay Expatriates Non-Salary Items Relocation allowance - moving expenses

© 2007 Robert Sweo How to Pay Expatriates Non-Salary Items Mobility allowance - transportation home occasionally

© 2007 Robert Sweo How to Pay Expatriates Non-Salary Items Home sale allowances

© 2007 Robert Sweo Options on Payment Process

© 2007 Robert Sweo Options on Payment Process Pay all in host currency - good if low tax and strong currency

© 2007 Robert Sweo Options on Payment Process Pay part in host, part home - better if high tax host

© 2007 Robert Sweo Options on Payment Process Pay all expenses in host, all salary in home - high tax or risky currency host

© 2007 Robert Sweo Establishing Pay Balances

© 2007 Robert Sweo Establishing Pay Balances Home nationals expectations

© 2007 Robert Sweo Establishing Pay Balances Host employees reactions

© 2007 Robert Sweo Establishing Pay Balances Global companies standards

© 2007 Robert Sweo Unions and International Business ● Labor dominated countries  Laws dictate strong labor role  Cooperation best  Develop long term attitudes in employees  Try and make employees feel profits and losses  If costs go to high, may have to go to another country ● Weak Labor countries  Avoid creating a need for unions  Adhere to cultural norms of host

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