The demise of the expat (package)

Closed Thread
  1. #1

    The demise of the expat (package)

    Hi.
    I'm wanting to guage whether other people are hearing of housing allowances being cut, expats being moved onto local rates, no more company-paid school fees, club memberships, etc.
    Is this is a new phenomenon, or has it been going on for several years now?
    Are financial services companies cutting out the "comprehensive expat remuneration packages" more than other companies, and particularly in the wake of the turmoil on Wall Street?


  2. #2

    Join Date
    Jun 2005
    Location
    Hong Kong
    Posts
    23,205

    It's being going on for years in my business. We have, I think, 7 foreigners in our office of which only one has a few of the traditional expat perqs. Four years ago we had 5 foreigners of whom 3 were on more traditional expat type packages. When I first came here 10 years ago (bigger company) all the foreigners were on expat packages.


  3. #3

    Join Date
    Oct 2006
    Location
    Hong Kong
    Posts
    15,584

    I think its been going on slowly for a few years.

    The idea is you get a bigger lump sum and then you decide how you spend the money.

    I think, now if you want an expat package, you have to look at somewhere like Mumbai.

    I'm sure expat packages still exist in HK, but they are very rare.


  4. #4

    Join Date
    Apr 2003
    Posts
    12,383

    >> I'm sure expat packages still exist in HK, but they are very rare.

    Depends on the sector and where you're being posted from and at what level.

    We still routinely see expats who've been sent over with 60-100K housing allowance + club membership + education package at the senior management level.


  5. #5

    Join Date
    Feb 2007
    Posts
    1,561
    Quote Originally Posted by KnowItAll:
    >> I'm sure expat packages still exist in HK, but they are very rare.

    Depends on the sector and where you're being posted from and at what level.

    We still routinely see expats who've been sent over with 60-100K housing allowance + club membership + education package at the senior management level.
    The above is still standard in law (UK and US firms), except the club memberships are now negotiable and not everyone gets them.

  6. #6

    Join Date
    Mar 2007
    Location
    Gold Coast Marina
    Posts
    17,934

    We came over on a 'local' basis although I think our salaries are higher than pure 'local' and we do have some additional benefits - but nothing like the expat package I had with a previous company when I was in malaysia


  7. #7

    Join Date
    Sep 2008
    Posts
    3,677

    Yep, it's normal. My former company called it 'localization', like cutting housing allowance by 25% each year (after the 1st one), no insurance coverage provided by the company, car allowance instead of company car (if a car was required) and some other things. The salary was however more or less 'expat-level'.

    Currently waiting for the draft of my contract here, which should be an expat package but no club membership and fancy stuff like that as I am not in management (let alone senior management).


  8. #8

    Hi. If anyone's interested in talking on-the-record to a reporter about this, please message me.