Category Archives: Global HR Expertise

Maxi-Devaluation in Malawi – HR Response

Author:
Warren Heaps – Birches Group LLC

One of the most challenging situations that compensation professionals face is how to respond to unexpected or unusual external events such as maxi-devaluation, civil unrest, or natural disasters.

Flag of Malawi

On Monday May 7, the new government of Malawi agreed to the demands of the IMF and other donors, and floated the Kwacha, resulting in a 47% devaluation versus the US dollar. The new exchange rate, 246.26 Kwacha per US Dollar as of May 13, is fairly close to the parallel rate that has been in effect for the last several months, so in many ways, this move just makes official a rate that has been operational already in many parts of the economy. Continue reading

Expatriate Assignment Checklist Part 1 – Assessment, Selection and Approval

Author:
Warren Heaps – Birches Group LLC

If you are an international HR practitioner, then you have probably had to deal with long-term international assignments.  They can be complex, with many different people involved, both internal resources and external suppliers and vendors.

One of the best ways to ensure all the necessary steps are followed is to use checklists.  These are simple yet extremely useful devices that will help you stay on track with your international assignees.  A recommended approach is to develop a checklist for each of the common assignment stages or events that occur, including:

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Salary Survey Insanity in Small Markets – Are You Looking for the Wrong Data?

Author:
Warren Heaps – Birches Group LLC

Benchmarking compensation in smaller countries is challenging.  The usual approaches often do not work well, mostly because the market is small!  If the country is developing (most small ones are), then economic and social instability and immature labor market conditions contribute to the problem, too.

Some of the most common problems expressed by our clients include:

  • Not enough employers in my sector
  • Insufficient job matches for my company
  • Volatile results from year to year
  • Gaps in coverage, with a lack of information for specific levels

There are lots more, but you get the idea.

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Permanent Establishment and the International Assignee

Chris HallGuest Author:
Chris Hall – Global Tax Network, LLC

We are delighted to welcome Chris Hall as a Guest Author.  Chris is the Managing Director for Global Tax Network in New York.  GTN is an award-winning firm that assists clients with expatriate tax matters headquartered in Minneapolis, Minnesota.  He is a Chartered Tax Advisor with over twelve years of experience.  Chris has worked in the UK, Canada and the US.  Before joining GTN, he held positions with Arthur Andersen and Deloitte.

The concept of Permanent Establishment (PE) is one of the fundamental principles used by taxing authorities to claim jurisdiction over a corporate entity deemed to be doing business in their location. When sending people to work in overseas locations it is important to consider the impact the PE concept might have on the company as a whole.

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Birches Group, Aon Hewitt, Announce Partnership

Author:
Warren Heaps – Birches Group LLC

I am delighted to announce today an exciting new partnership between Aon Hewitt and Birches Group.  Under the partnership, Aon Hewitt will make Birches Group surveys in developing country markets available to their clients, expanding their survey coverage to over 170 countries globally.

The two firms will also collaborate closely on consulting projects and promotional activities.

Here is a link to the full Press Release.

Holiday Gift Giving Around the World

Guest Author:
Dean Foster – DFA Intercultural Global Solutions

[Editor's Note:  We are happy to welcome Dean Foster as a Guest Author.  Dean is a well-known expert on culture in business, is a frequent lecturer at various universities and conferences, and  is the author of many books on the topic of culture in business.  He is the Director of his own firm, DFA Intercultural Global Solutions.]

Gift giving can be a little tricky when giving gifts to
international colleagues. Cultural differences can make a terrific gift at home into a terrible no-no abroad. With the holiday season soon upon us, here are some important cross-cultural gift-giving considerations when sending gifts to your international friends and business associates.

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Hey HR! Here’s What Employees and Families Really Need When Relocating Internationally

Guest Author:
Rachel Yates – Definingmoves.com

[Editor's Note:  We are very excited to share with you the assignee's spouse perspective on international relocation, from someone who has lived through five such moves.  Rachel Yates edits a website, Defining Moves, devoted to assisting relocating families around the world. ]

I read the post from May, 2011 by Warren Heaps about global mobility policies for the 21st century on this site, and found it to be fascinating, mainly because I am part of the changing demographics Warren described. On paper, we are the traditional relocating family; husband as assignee, spouse as the accompanying partner, and two dependent children. We have relocated through three continents over the last 10 years, and we have struggled. And we are most definitely not alone.

So what do relocating individuals and families really need from HR?

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Ten Ways to Simplify Administration of Your International Assignment Program


Jennifer Stein – Global Tax Network

[Editor's Note:  We are happy to welcome Jen Stein as a Guest Author.  Jen is the Managing Director of the Global Tax Network Chicago office.  She has more than 15 years of experience in expat and foreign national tax preparation and consulting, starting her career with Arthur Andersen, and then Ernst & Young, where she served for over 14 years.]

International assignment administration is complex. Sometimes it’s useful to take a step back and review basic components.  The list below, while not exhaustive, is a good starting point to help review your international assignment process and procedures.  Adopting one or all of these components may make your life easier when administering international assignments.

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Ten Questions HR Should Ask When Your Company Expands Internationally

Author:
Warren Heaps – Birches Group LLC

Companies are increasing the pace of international expansion, constantly seeking new opportunities and new markets.  One of the most commonly asked questions through our Ask the Experts feature and on other sites is how to prepare, from a human resources perspective, for international expansion.  It might be opening a new office, or just hiring one or two sales reps, but either way, there’s work to do.  If your company is expanding to a new country, what questions should you ask (and answer) as an international HR expert to help prepare your firm?

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Job Evaluation: Why Bother?

Author:
Warren Heaps – Birches Group LLC

Recently on LinkedIn there was a somewhat heated and lengthy debate about job evaluation.  Many were questioning why companies should even bother with such an “archaic” exercise, while taking pot shots at a well-known job evaluation methodology that shall remain nameless (but begins with the letter H).  Some folks proclaimed market pricing was the solution to everything and rendered job evaluation a pointless and unnecessary process for a modern company.   Continue reading