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This is the solution of complex employment management assignment help in which we discuss the case study to needs of employees or local and international policy contract.
The report will highlight the different areas in the overseas assignment packages. Based on the case study it is observed that Mrs. Akiko a talented employee from Japan has been sent to India from Japan for an expatriate assignment. But after reaching India her husband has got a job in Singapore and for that reason Mrs. Akiko is requesting her company to shift her to Singapore from India based on the expatriate assignment. But the company is denying due to the new Local International policies in this circumstances. The reason that is creating the conflict is the salary in this new policy will be based on the standard of that country i.e., Singapore which is comparatively low from Japan. So in this report firstly the different expatriate policy will be discussed, secondly, SWOT analysis of the local international policy will be highlighted in order to apply some elements that could supports the needs of the employees, thirdly a comparison of the expatriate contract, local international contract and the local contract will be discussed with the Equity theory and lastly a suggestion will be given on the new policy.
Describe the content of a 'traditional' expatriate package, and the reasons of the company to provide such benefits. What limitations do you see in this contract when it comes to handling the company's emerging needs?
Traditional expatriate package is the policy of the organization to transfer the talented employees to the abroad for handling the overseas project of the organization where he/she is working for and also to enhance the transfer knowledge of the employees. The duration of these project based on the expatriate policy is of temporary basis that is maximum of three years. The package includes the benefits like health care, medical facilities, travelling cost, permits including the visa, housing allowance, one home trip etc along with the salary.
The reason to provide the employee with the added benefits:
- Ensuring the smooth transition of the employee who are into the expatriate package
- Support him/her to cope up with the standard of living related to that overseas country
- The employees who are provided this package are the talented employees. In order to motivate them and to support the promotion such benefits are generally given.
The limitations in this contract are:
- If we observe the organization’s point of view then it is increasing the cost for an expatriate package as there is no requirement currently in Singapore. As Mrs. Akiko wants to shift in Singapore in order to stay with her husband.
- If we analyse Akiko’s point of view then the remuneration she is receiving is getting decreased.
Make a SWOT analysis of the local international policy using information from the case study.
SWOT analysis of the local international policy will highlight the areas on the ground of Strength, weakness, opportunities and threats.
From the case study we have found that the local international policy is supporting the employees by giving the extra benefits medical checkups, permits, travelling cost including one home trip in a year and other allowances. (Andresen., 2011)
The weakness that lies in this local international policy is the provisions of the salary which is equal to the host country based norms or standard that means Akiko will get less salary due to the low salary structure in Singapore
There are also several opportunities like this policy will give allowances for the housing, schools, retention bonus etc. Apart from that Mrs. Akiko can also able to stay with her husband in Singapore for that she did not have to leave the job.
The employee has the chance to comprise his/her salary due to the structure of the host country.
Compare the employers' and employees' needs regarding international mobility on a local international contract. What elements would have to be included in a package if they were to answer to these needs?
Comparison between the employer’s need and the employee’s need based on the international mobility on a local international contract can be done based on certain aspects follows below:
Employer’s Need:The need of the employer’s is due to the two reasons
- In order to enhance the talent regarding the international experience which is termed as career assignment
- Job assignments with an objective for transferring the knowledge across the boundaries.
Employee’s Need:The need for the employees is as follows
- The contract will increase the benefits and other incentives for the employees which will support him/her financial stability.
- It is one of the ingredients of the human needs relating to the self-achievement which influence the employee to accept the offer.
It is very common that an employee who will accept the local international package should have the high expectation due to the brilliant performances they have given to their company and this package is for the talented employees to gather international experience. An employee will see this offer as a promotion and if there is a decrease in the salary it is genuine that he/she will be depressed. Apart from the other benefits the package must include some increase in the percentage of the basic salary in order to motivate the particular employee to accept the offer.
To what extent do you believe the distinction between the three groups of assignment packages (expatriate contract for expatriates, local international contract for local international hires and local contract for external international new recruits) to be fair? To this end (a) refer to equity theory and determine the referent person in each of the three cases and (b) discuss the role of procedural justice. What can the company do to provoke positive behavioural intentions in reaction to the packages?
To understand the degree of the expatriate contract, local international contract and local contract is fair, it is necessary to discuss the three packages in a brief based on the Adam’s Equity theory. Adams equity theory claims that the inputs of an employee should be matched with the outputs given by the employer’s. Inputs include the time, effort, loyalty, commitment, integrity, personal sacrifice etc which are given by the employees. Outputs are the benefits, positive working environment, recognition, reward, security, praise etc which is the duty of the employer. (Pride., 2009)
Expatriate Contract: It is the contract to transfer the talented employees to the abroad for handling the overseas project of the organization where he/she is working for and also to enhance the transfer knowledge of the employees. Based on the equity theory the employee has given the effort in order to receive the expatriate package as recognition.
Local international Contract: Some foreigners who are into the expatriate package are willing to stay for the long duration in the particular country for which this contract has been developed where all the incentives will be provided but the salary will be as per the related country’s standard.
Local Contract: In this case, simply a structure is followed based on the particular country’s industry standards. Procedural justice implies the application of the fairness factor in the processes of the organization for minimizing the disputes and to optimize the allocation of the resources. The organization can implement measures to ensure positive behavioural intensions like:
- First of all the company can increase some percentage of basic salary in case of the local international contract by reducing some benefits which can motivate the employee to accept the offer.
What does the company need to take into consideration in order to make the Local international policy for this new international employee population be applicable on a global basis? Formalize your arguments and propose a suggestion of a policy framework.
The first and foremost thing is to consider the human needs of the employees. From the Maslow’s need theory we have found that the human beings have the series of needs that comes on after another when they get fulfilled. So it is the common expectation of an employee who will accept the local international policy as a recognition in a company due to the talent or the performance he/she is given. But this policy indicates that there is a chance to get the salary low as it is based on the host country’s standards. This is a reason that we have found in the case study that Mrs Akiko is depressed. So the suggestion would be to increase the salary with certain percentage and provided that the company can reduce some of the incentives. The particular employee will be satisfied to get the hike in their salary and the employer will also reduce some cost on the extra incentives and can also retain the talented employee. So win-win situation can be expected with this suggestion.
So in this report firstly the different expatriate policy are discussed, secondly, SWOT analysis of the local international policy are highlighted in order to apply some elements that could supports the needs of the employees, thirdly a comparison of the expatriate contract, local international contract and the local contract is shown with the Equity theory and lastly a suggestions are given on the new policy based on the proper justification.
- Andresen., M. (2011). Local and International: Managing complex employment expectations. Case study
- Pride., W. H. (2009). Business. Cengage Learning.