QUOTE(McF7y @ Jun 8 2017, 10:26 AM)
Not much on this topic in other industries. There was one generic article saying that one of the justifications was the
'hardships' of living abroad, 'inconveniences' and 'exchange rate' of said expat and their home country as factors for the gap in salary. I kinda chuckled because well maybe back in the 60s or 70s you could use that argument. But these days I think 'hardship' would be better replaced by 'perks' and 'benefits' of working abroad.
Also, from a broader perspective, wouldn't it be better if they
evened out the salary gap? By that I mean probably reducing the wages of expats while increasing the wage of the locals. But again, I'm not a business owner so I am not talking from experience.
Any employers/upper management/owner of businesses care to comment? I'm asking because, sincerely, I want to know why - please don't take this as an attack on expats or failure of upper-management in managing employees.
im a Malaysian expat and yes all those things apply.
1)
hardship scale - depends on which country ur working in so it is needed. of course u will not see it when an expat is working in the city but imagine being in shitholes like Sierra Leone or El Salvador
inconvinience - cause away from family and home country
exchange rate - every quarter there are adjustments. sometimes up sometimes down
2)
Expats are on different contracts to locals. They will always earn more as they are earning in Euros and ur earning RM. the 3-4 times difference is easily the exchange rate cause we are paid the equivalent of what we will earn in our home country (ie European countries)