ex-pat packages for IB execs?

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  1. #1

    Join Date
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    ex-pat packages for IB execs?

    Hello everyone,

    Full disclosure: I'm a reporter. I'm trying to get a sense of whether senior IB execs are still getting fully loaded expat packages when moving to HK or elsewhere in Asia. My understanding is that such packages for associates are mostly a thing of the past, but that MDs at Goldman, Morgan Stanley, Citi, et al, are still getting housing allowances, school fees for kids, tax assistance, etc.
    Does anyone have any insight into this? If so, would love to chat online or by phone, completely on background. You can reach me at [email protected].

    Thanks and apologies in advance for intruding on your excellent forum.

    cheers.


  2. #2
    fm7

    I can't answer your question specifically, but I do hope you give a little background to your readers on how expat packages work.

    For example, the way you cite school fees in there makes it sound like unqualified perk (like fuelling the private jet). Most expats with families find managing the transitions in and out of different school systems to be the stressful part of an assignment. That's why even expats on less generous terms (including a vast number of consular/diplomatic/NGO staff) get some sort of educational assistance as part of their package.


  3. #3

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    >> are still getting housing allowances, school fees for kids, tax assistance

    These allowances go far below MD grade. As FM7 explained, there are hardship allowances and then there are perks.

    Educational expenses (specially if you consider that the kids might need to go to a portable school system offered by an international private school) can be sky high in this town.


  4. #4

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    As a wife of an IBer (management level) here in HK I can say that they are pretty much a thing of the past, both here and in many 'typical' expat postings, Dubai, Abu Dhabi etc. HK is just not considered a hardship post any more which was one of the main factors determining when an expat package would be paid.

    Don't get me wrong, we still get very well looked after but as an example we are on a 'local plus' package so we pay our own housing although he is paid extra salary to cover it. No help on school fees but we have excellent medical. We were paid relocation, were given help finding a place to live and they looked after all the documentation etc. We get tax assistance. We do not get trips back home paid for by the company.

    He is often offered jobs in other parts of the world and the sell is always the same. No full expat package, if you want your school fees paid you'd better just negotiate a higher salary. I'm not sure it's a question of money per se it's more the extra effort that goes into managing full expat packages. He had been an expat for years in various countries and this is the first time for example he's had to pay his own bills!

    On a side note, he doesn't work for any of the bailed out banks or one that is in trouble at all. I'm sure if you're working for one of those you can kiss goodbye to a lot of the extras.


  5. #5

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    One other comment, we know more people who are not IBers who are on full expat packages here than IBers'. They get the works, including very signficant housing allowances ($70plus) even though their job titles, roles etc would be considered lesser. They of course don't have the opportunity to earn a 'big' bonus (not talking millions unfortunately) IF they perform, which is how it works at hubbies bank. And even those who did perform well in the bank last year didn't get much of a bonus because of the global crisis.


  6. #6

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    >> No help on school fees

    Not even debentures or placement assistance?

    For example .. the German / Swiss banks offer assistance to get the kids into GSIS. That by itself is an allowance worth several 100K HK$.


  7. #7

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    Not that I am aware of but will find out. Our kids are younger but one is already at Sunshine House which we pay for ourselves (thankfully no debenture). Haven't even thought about where to send him in a few years time and how much the costs will be. Yikes!

    We do get club membership. Go figure.

    Last edited by aussiegal; 27-02-2009 at 02:41 PM.