Expatriates want more support from home - HR Update: News that Works - productivity of employees working outside the country

HR Magazine, July, 2002 by Julie Britt

To shore up the productivity of employees sent on international assignments, companies should do more to support their expatriates and relieve those employees' fears about growing political tensions around the world, according to a recent survey. Expatriates who believe they're not getting enough information about health and safety issues have less peace of mind and feel less productive, according to 55 percent of the 709 international workers who responded to the survey.

The second annual Global Expatriate Study, conducted earlier this year, was sponsored by CIGNA International Expatriate Benefits (CIGNA IEB), a business unit of CIGNA Corp.; the National Foreign Trade Council; and WorldatWork, a compensation and benefits association based in Scottsdale, Ariz.

"With growing tensions around the globe, employees on overseas assignment feel increasingly overwhelmed by health and safety concerns and think they aren't being provided with the preparation and support they need," says Virginia Hollis, CIGNA IEB's vice president of global markets. "Expatriates are looking for more peace of mind, and right now they're not getting it."

Employees working in other countries want their companies to provide them security bulletins, contingency plans and emergency guidelines to keep them up to date about potentially adverse conditions, she says. Only 20 percent of the respondents said their companies are keeping them informed.

Although they're dissatisfied with their employers' perceived lack of assistance in such matters, 77 percent of the respondents said they plan to complete their assignments, and 74 percent said they would accept another expatriate position in the future.

On the other hand, nearly 40 percent of expatriates said they were not prepared adequately for an international assignment, 56 percent cited poor coordination between local-country and home-office HR departments, and 35 percent said they expect to leave their current employer within five years.

"Employers need to realize that health and welfare issues play a crucial role in the outcome of an international assignment and the ultimate return to the company," Hollis says.

Dissatisfied expats can be costly for employers. "Companies invest an average of $1.3 million for each expatriate during the course of a typical three-year assignment," says Bill Sheridan, senior director of the National Foreign Trade Council.

The survey report says expatriates want their employers to:

* Provide cross-cultural and language training for employees, and offer cultural assistance to employees' families.

* Communicate on health and safety issues for most host countries.

* Provide generous benefits packages tailored to international workers' needs.

* Help executives balance personal and professional responsibilities while on assignment.

The survey, posted on the Internet in five languages, was aimed at employees on assignment outside their home countries. Questions addressed preparation for the assignment, compensation and benefits, assignment-related family matters, and personal and professional issues. Respondents represented more than 200 multinational companies, most of them based in the United States, Canada and Western Europe.

For more information on this year's Global Expatriate Study, see the online version of HR Update in the members-only content section of www.shrm.org/hrmagazine.