Relocate Magazine Autumn 2014

FO R H R , G LO BAL MA N A GERS & RELOCATIO N PR OFESSIONALS

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Re: ocate Autumn 2014

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S U C USFO p to Shaping u n o i s n a p x e l globa

This issue sponsored by:

Latin America

UK inward investment

High on the mobility agenda

Immigration and economic trends relocateglobal.com | 1

DID YOU KNOW...

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The top four most popular places for international relocation are: United States United Kingdom China Switzerland

Business etiquette varies among countries around the world. Local customs are often deep-rooted in day-to-day business operations while, at the same time, technology and globalization introduce new protocols, thereby changing

WE DID.

“acceptable” behaviors. Professionals rely on Global LT to thoroughly understand traditional and present-day codes of behavior in the countries where they travel.

Global LT provides its clients with the information they need to navigate–with confidence–workplace and social scenarios. Naturally, many people have uncertainties when they travel or move away from home to a foreign country—which, by definition, is a “distant, strange or unfamiliar” territory. We help our customers appreciate the opportunity to experience life in a different country—and make it an exciting venture.

Discover the vast resources of Global LT. United Kingdom: +44 (0) 122.391.1172 Or visit us at www.Global-LT.co.uk

G LO B A L • LT AMER I C A S • EM EA • APAC

C u l t u ra l Tra i n i n g • E x p a t r i a t e D e s t i n a t i o n S e r v i c e s • L a n g u a g e Tra i n i n g • Tra n s l a t i o n S e r v i c e s • Wo r k f o r c e Ta l e n t D e v e l o p m e n t

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Contents 6 25

38

10

NEWS, ANALYSIS & EVENTS 4 Re:editor’s letter

FEATURES 32 Re:cultural training

46 Re:awards

52 Re:serviced accommodation

Fiona Murchie looks at what’s in store this issue.

Launching the 2014/15 Re:locate Awards.

49 Re:events

Innovations to support those working across global mobility.

64 Re:news & analysis

Key happenings, personalities and comment.

HOT TOPIC 6 Re:inward investment

As the UK competes to attract overseas investment, we continue the immigration debate and ask whether the current economic upturn is sustainable.

GLOBAL MANAGEMENT 10 Re:US focus

Sectors driving inbound and outbound relocation, and the impact of property, tax and immigration issues on the movement of talent.

25 Re:Latin America

Key considerations for companies and investors seeking to do business in the region, plus a look at Brazil’s business and mobility scene.

41 Re:compensation & benefits

How organisations are working to secure greater cost control, flexibility and competitiveness.

Understanding the ‘4 Cs’ can pay dividends.

How the new concept of ‘bleisure’ can fit the global mobility context, plus analysis of current trends.

POLICY & PRACTICE 35 Re:mobility policy

What’s new, and how solutions from a decade ago can help overcome today’s mobility dilemmas.

44 Re:group moves

The unique challenges of an international group move.

50 Re:managing assignments

Illuminating case studies from the Expatriate Management and Global Mobility Forum.

EMPLOYEE SUPPORT 21 Re:US education

An overview of the state system and fee-paying international schools.

38 Re:culture

Destination services providers are well placed to enhance assignees’ cultural understanding.

56 Re:education

Considerations for families seeking places in UK independent schools, plus a step-by-step guide to choosing a school in Europe.

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The Team

your “sayHave in the future

Managing Editor: Fiona Murchie editorial@relocatemagazine.com Design: Nat Munckton

of Re:locate across our multimedia!

Editor: Louise Whitson Advertising: Susana Morss-Davies ads@relocatemagazine.com

Address Re:locate Magazine Spray Hill Hastings Road Lamberhurst Kent TN3 8JB T: +44 (0)1892 891334 F: +44 (0)1892 891336

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T: +44 (0)1892 891334 Subscribe relocateglobal.com subscribe@relocatemagazine.com

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T

”

en years on, and Re:locate is truly global. This year has seen the launch of digital magazines for Asia Pacific, Europe and Latin America. Our website is being relaunched to support our growth potential across the globe, connecting you with global mobility and relocation professionals in the countries and industry sectors you do business with.

Our ambition to combine the ‘hard’ topics with the ‘softer’ issues of supporting employees and their families will be fully realised, giving each sector its own special treatment, which can be reflected by visuals and unique features – a global hub, exciting, innovative and practical. The ability to demo technological developments will be a key feature.

It’s time to have your say in the future of Re:locate across our multimedia! See p49 for just some of the special networking events, video interviews and webinars that will be part of our multimedia releases.

relocatemagazine.com/linkedin Join us at one of our new Editor’s Breakfasts to contribute to the future of relocation. facebook.com/likerelocate @relocatemag #relocatemag

An exciting year lies ahead as we celebrate ten years of Re:locate and connect more of our global audience. Join the conversation, and share your successes and insights to help develop global mobility and improve your company’s performance and the support provided to the people you move, who are doing a great job.

And don’t forget to let us hear about your successes by entering the Re:locate Awards 2014/15. See p46 for details.

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Fiona Murchie Managing Editor

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Coming in the Winter 2014/15 issue of Re:locate magazine © 2014. Re:locate is published by Profile Locations, Spray Hill, Hastings Road, Lamberhurst, Kent TN3 8JB. All rights reserved. This publication (or any part thereof) may not be reproduced in any form without the prior written permission of Profile Locations. Profile Locations accepts no liability for the accuracy of the contents or any opinions expressed herein. ISSN 1743-9566.

10th ersary Anniv Year

COUNTRY PROFILE

AEROSPACE INDUSTRY

UK PROPERTY MARKET

Mobility in Brazil

Special focus

Looking into 2015

Our welcoming committee for your international assignees and their families It’s nice to know they’ve got a friend As an international family moving to the UK, it’s nice to know that they will be supported in not just their banking requirements, but also in settling their family into the UK. Our personal service to help them through the account opening process and new NatWest Global Employee Banking website means they’ve always got a friend ready to lend a helping hand! Helpful guides on everything from banking in the UK and education for their children to family days out plus our superb online and mobile banking. We’re here to make sure their move is as smooth as possible.

natwestglobal.com

+44 (0)1245 355628

National Westminster Bank Plc. Registered in England No. 929027. 135 Bishopsgate, London, EC2M 3UR. National Westminster Bank Plc. is authorised by the Prudential Regulation Authority and regulated by the Financial Conduct Authority and the Prudential Regulation Authority. Calls may be recorded.

IMMIGRATION UK Striking the balance

As countries worldwide compete to attract inward investment and ensure that international companies can source the talent they need, the UK government faces the challenge of keeping the economy growing while boosting public confidence in the immigration system. James Walters, a director of UK immigration practice Smith Stone Walters, winner of the first Re:locate award for Immigration Team of the Year, believes it must send a clear message: Britain is open for business.

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HOT TOPIC

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triking the right balance between having a tough immigration policy and strongly encouraging international business and investment has always been a hard nut to crack. This is especially the case when there are so many negative immigration reports in the press, the weight of public opinion generally seems to be against immigration, and the UK faces an upcoming general election in which immigration is going to be a key issue.

Much confusion exists among the general public, who seem to tar all immigration with the same negative brush, whether it be family, European, students, investment, business or highly skilled migrants. This confusion is further complicated by the ill-advised manifesto promise of the current government to cut net immigration to tens of thousands when it had absolutely no control over the number of European migrants able to enter, reside and work in the UK. That horse had already bolted and left the government with no choice but to tinker with the non-European immigration categories, some of which would have been better left alone.

It is against this backdrop that policymakers have the difficult task of attracting the world’s ‘brightest and best’ and encouraging overseas firms to invest in the UK, whilst giving the public confidence that we have full control of our borders, are protecting the local labour market, and are keeping out those who do not qualify to be here – no easy task.

A recent example of where current UK policy did not support inward investment was a project I worked on in 2013 with a large Japanese restaurant chain. The group had ambitious expansion plans for the UK that included a multimillion-pound financial investment and significant local job creation.

In relation to opening its flagship West End restaurant, the group felt it would be imperative to transfer some of its top chefs to the UK for just the first six months of the project. This would not only ensure that the standard of cuisine was exceptional from the outset but would also help with the training of local staff. These would not have been long-term transfers, and therefore they would have had absolutely no impact on the labour market, aside from providing expertise to local workers.

However, under the immigration rules, chefs are not permitted to enter the UK under the Intracompany Transfer route. They can only qualify under the Tier 2 General scheme, which requires a difficult English-language requirement to be met. Whilst we fully understand the need for the English-language requirement for Tier 2 General hires, it was totally irrelevant in this scenario and acted as a barrier to investment and the success of the project.

Inward investment: the immigration landscape

Prior to the current Points Based System (PBS), which has been in place since 2008, provisions existed for flexibility where inward investment and job creation could be demonstrated. The implementation of the PBS saw the removal of any discretion, but given the worldwide competition that Britain faces for inward investment projects, it is time for this discretion to be returned.

Despite these difficulties, the UKTI and London & Partners are making some progress in encouraging overseas investment. London & Partners, which has responsibility for promoting London on the world stage in respect of tourism and investment, reported that, to the financial year 31 March 2014, 4,407 jobs were created through foreign investors that they supported. The gross added value to the London economy for this period was £100 million.

FDI Intelligence (a division of the Financial Times) has reported that, across the country, there was US$26.5 billion of foreign investment into Britain in 2013. So some progress is being made, and London certainly got a boost on the back of the hugely successful 2012 Olympic Games.

What does the future hold? With a global economy and the internationalisation of businesses continuing to expand, it is essential that the UK is seen as an attractive country for growth and investment. At the same time, the UK government has to control borders and give the public confidence that we have an immigration system that works.

So striking the balance will continue to be key, along with some much-needed education that should result in a greater understanding of the benefits that a good business and investment immigration policy brings to the country.

In respect of business and investor immigration, we are in an unusual position. With some exceptions, the current policies do generally support inward investment and international business, and, although application processes are very expensive and rather bureaucratic, they do work and are relatively fast. However, many overseas businesses are pessimistic about coming to Britain.

During recent UK Trade & Investment (UKTI) missions in India and China, I repeatedly heard from foreign businesses that, although they believed the UK was the right place for their business to expand, they were very nervous about the tough immigration process and had the impression that Britain’s borders were closed. They questioned the point of going through the cost and effort of setting up a UK operation if they were then unable to send staff with the appropriate skills and experience to get the project off the ground.

These views are a great disappointment and make the work of the UKTI exceptionally hard. In reality, a huge push on PR is needed, with a clear message being sent to the international business community that Britain is open for business. However, this is very hard to achieve when the government needs to be seen as being so tough on home soil and barely a week goes by without another negative immigration story in the press.

Though all areas of immigration present their challenges, the UK desperately needs positive investor and business immigration policies that support inward investment and job creation.

Progress being made

www.smithstonewalters.com

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HOT TOPIC

UK ECONOMY Taking stock As unemployment falls and economic indicators suggest that the UK’s recovery is now on a firmer footing, David Sapsted considers whether the upturn is truly sustainable. Is the improvement benefiting London and the South East alone, or being felt around the regions?

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eorge Osborne could not have been clearer. “We’re not going to have a secure economic future if Britain doesn’t earn its way in the world,” the Chancellor admonished in his 2014 Budget speech. “We need our businesses to export more, build more, invest more and manufacture more.”

And that has simply not happened. Not yet, at least, despite the fact that the UK is on course to spearhead the West’s post-recession recovery, with sparkling economic growth of 3.2 per cent, or maybe more, this year.

This growth, though, owes little to exporting or manufacturing more. Apart from a few exceptions – most notably the booming motor industry, which is almost entirely in foreign ownership – it has been the services sector, which accounts for about 78 per cent of the nation’s GDP and which remains heavily reliant on consumer spending, that has been powering Britain’s dramatic economic recovery. By contrast, manufacturing output is still more than 7 per cent less than it was before the 2008 crash.

And even in the services sector, the benefits of growth have mainly been felt in London and South East England.

The Centre for Cities economic think tank estimates that ten times more private-sector jobs have been created in London since 2010 than in any other UK city.

Samuel Tombs, senior UK economist at Capital Economics, says the “markedly stronger” recovery in the South of England compared with the rest of the UK “reflects the likelihood that public-sector job cuts have continued to hurt the North more than they have the South”. He also notes that “the South is less dependent on the manufacturing sector, which has showed signs of slowing over recent months”.

Copernicus Sentinel-1environmental satellite

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Pessimism over exports Professor David Miles, a member of the Bank of England’s Monetary Policy Committee (MPC), remains pessimistic that the government’s hopes of an export-driven recovery will be realised, because of recent figures demonstrating the economic stagnation of so many of the Eurozone nations, which are the UK’s biggest trading partners.

In a rare interview with an MPC member, Professor Miles told the BBC recently, “Our single biggest export market has been, I’m tempted to say, dead in the water. It hasn’t been growing at all. And it’s pretty difficult in that environment to see exports growing very strongly. So the recovery, very welcome as it is, has been a bit dependent on consumer spending.”

Yet, like the government, business leaders believe a growth in exports is essential. David Kern, chief economist at the British Chambers of Commerce, says, “While the strength of the recovery, coupled with the positive job figures, should underpin business confidence, further efforts must be made to rebalance the economy towards exports.

“Recent figures showing stagnant growth in the Eurozone will add to the challenges facing our exporters and reinforce the need to diversify our trade into new, dynamic markets outside Europe.”

Productivity improvements needed Productivity also poses a problem for UK manufacturing, with research by respected think tank the National Institute of Economic and Social Research (NIESR) suggesting that, while considerably stronger GDP growth can be expected in coming years, output per capita will rise at a slower rate.

HOT TOPIC

Describing the UK’s productivity performance as “abysmal”, the NIESR predicts that per capita GDP will not reach its 2007 peak until 2017. “The UK economy has finally recovered its pre-crisis size, just over six years after the onset of the downturn. Yet this is largely symbolic; GDP is still significantly below what would have been expected from the pre-crisis productivity trend, a deviation unprecedented in recent economic history.

“With output per hour worked still around 4.5 per cent below the pre-crisis peak [in the last quarter of 2007], we expect pre-crisis productivity levels to be regained only in the latter half of 2017 – although, given the continuing puzzle about the causes of poor productivity performance, large uncertainties remain.”

Interest rates to rise?

Some analysts also fear that UK household debt, which has more than quadrupled since 1990 despite record low interest rates in recent years, could pose a threat to the recovery, particularly if, as expected, rates start to rise in early 2015.

In a recent study, research company Verum estimated that total household debt had increased from £347 billion in 1990 to £1,437 billion by the end of last year. With real wage growth still low, Robert Macnab, Verum’s director of research, said that “to maintain the recovery and keep a lid on inflation while taking account of the family-debt timebomb” was “an incredibly tough balancing act”.

Mr Macnab added, “Our research has shown that, because outstanding debt levels are so high, particularly mortgage debt, even relatively small increases in interest rates will have a significant impact on household spending.

“If interest rates were to hit 3 per cent – historically an abnormally low level – it could trigger a prolonged and socially damaging recession, with collapsing house prices, rising property repossessions and a further dramatic increase in insolvencies.”

Professor James Fitchett, from Leicester University’s School of Management, agrees that a major problem for the UK economy centres on consumer spending and debt.

“The prospect of even slightly higher marginal lending rates could have a catastrophic effect on the economy,” he says.

Regional divides Additionally, there is the persistent imbalance in the recovery between London and South East England on the one hand, and the rest of the country on the other. The government has, perhaps belatedly, started to address this problem with promises of infrastructure spending outside London, a £3.2 billion Regional Growth Fund to attract private investment and create jobs, and the prospect of more power being devolved to cities in the North.

Andy Clarke, chief executive of the Walmart-owned supermarket chain Asda, has warned of a two-speed economic recovery, particularly in areas such as Northern Ireland

and North East England, where families are struggling compared with their countrymen in the South East. “It feels very different if you are in London to Northern Ireland or the North East,” he says. “If you are a family on a budget in those difficult regions, it still feels very challenging.”

Sir Richard Leese, leader of Manchester City Council, estimates that, were the performance of Britain’s regional cities to be raised to the national economic average, it would generate £1.3 billion of additional economic growth each year.

“The evidence is overwhelming that cities are fundamental to driving economic growth and allow the UK to compete internationally,” adds Sir Howard Bernstein, Manchester’s chief executive. “But we cannot deliver jobs and growth without also delivering fundamental reform of the way that public services are delivered.

“We are now seeking to build on the earlier decentralisation to create a platform for fiscal self-reliance. This will see local authorities empowered to undertake their place-shaping role to create high-quality places that attract and retain more productive people and businesses and reform the way that public services are delivered to improve outcomes for our people.”

George Osborne has undertaken to build a “northern powerhouse” around the major cities of the North, and the government is preparing to transfer powers, including those over spending, to the regions, in a bid to rebalance the economy from its over-reliance on London and the South East. “I’m prepared to roll up my sleeves and get it done, so let’s get on with it,” he said in the summer.

However, it is not all doom and gloom outside the capital, with cities such as Liverpool, Manchester, Nottingham and Leeds all now delivering large numbers of private-sector jobs, and places such as Birmingham, Bristol, Brighton and Cambridge emerging as notable clusters of digitaleconomy undertakings.

Recovery ‘more assured’ Nobody pretends the task of rebalancing the economy, in terms of either geography or exports, is going to be easy, still less a fait accompli. But Mark Carney, governor of the Bank of England, believes that the UK is well on the way to a full recovery after the global financial crisis.

“Wherever the finish line was in the depths of the crisis, we are much more than halfway towards that finish line now,” he told the Sunday Times in August. “The expansion is proceeding, momentum is more assured; the very fact we have had consistent quarters of growth in line with, or slightly better than, our forecasts, shows that.”

For enterprise and immigration news and articles, visit relocatemagazine.com/enterprise and relocatemagazine.com/immigration

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PROFILE: THE US TECH SECTOR

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tretched between the established poles of Silicon Valley in California and Silicon Alley in New York, the US tech sector has ballooned massively since the 1990s, nearly doubling from 2.2 million jobs in 1997 to 3.9 million in 2012. With slowing growth and staffing challenges a growing factor, however, its current outlook is mixed.

“The technology industry is highly susceptible to economic variances because so much of technology spending today is discretionary, versus in the past

The business of technology is continuing to shift rapidly, with change being driven by ever-increasing access to internet connectivity and a number of exciting innovations. Mark E Johnson considers how the US’s tech sector is responding to economic, demographic and social trends to stay ahead in this highly competitive market.

when enterprise spending dominated. With tech now heavily skewed toward consumer demand, local economies largely drive how much is purchased,” said Eric Openshaw, vice-chairman and US technology, media and telecommunications leader for Deloitte, in a look-ahead earlier in the year.

Beyond the macro outlook, Mr Openshaw pointed to ‘patent trolls’ – entities that acquire and sit on patents solely for the purpose of seeking out infringements of their intellectual property – as a looming, widescale continues on p12

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Employee relocation without the culture shock. We’re already immersed in your next emerging market.

Cartus is already at home in up-and-coming locales where businesses are finding new footholds. Because it’s important for your assignee to arrive with their feet on the ground, we’re their trusted guide for housing, schooling, and transportation. And that’s just for starters, We also provide expert language and cultural training to connect them with their new communities more quickly.

If you’re looking for information on new emerging markets, we probably already have what you need. Take a look at our videos and other tools by scanning the code below, or emailing us at trustedguidance@cartus.com.

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Want your assignee to succeed in emerging markets? Scan now. www.cartus.com | connect with us ©2014 Cartus Corporation. All rights reserved.

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concern. Frequently, the claims are based in loose, conceptual language and have served to strangle innovation.

There are more positive factors driving change and giving cause for optimism, however. In October 2013, the US Securities and Exchange Commission proposed new rules for crowdfunding that, when finalised, will enable companies to solicit investment of small sums of capital directly from a large number of backers. This has a lot of potential for startups and entrepreneurs looking to bring new and innovative products to market.

Similarly, the US still offers one of the best environments for companies seeking venture capital, with larger corporates showing interest in setting up their own funds to fuel expansion.

Big data booming The gathering and analysis of big data is a growth area for the tech industry at the moment. An increasingly high volume of information is becoming available, and companies across a range of sectors are scrambling to make use of it to understand consumer bases better and optimise their processes.

Big data is creeping into everything from retail to city planning to politics. Some commentators pointed to the Obama campaign’s proficient use of data to model voter behaviour as a crucial component in the US President’s re-election in 2012, for example.

Much of the data is emerging simply because of the continuing shift online of everyday social, consumer and leisure activity. Companies such as Google and Facebook, with pervasive web presences and growing proliferations of services, are in a prime position to gather such data.

Other opportunities, both for the development of big data and in their own right, are emerging in the fields of ‘wearables’ and the ‘internet of things’. Wearables include devices such as smart watches that monitor and aggregate data on the wearer’s activity for health applications as well as running ‘push notifications’ from smartphones.

The internet of things, a related segment of the market, is the networking of devices ranging from consumer items such as white goods right through to physical city infrastructure such as bridges. By fitting objects with data-gathering sensors and computational ability, it is hoped that traditionally nonnetworked devices can have their performance coordinated and optimised. Cisco Systems, AT&T, ARM Holdings, General Electric and Intel have all made moves in this area. While

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both market segments show promise, however, some analysts have questioned whether genuine demand for the products exists or whether the products are solutions chasing problems.

Led by Netflix, companies that have previously operated as platform holders/service providers have made strong moves into TV content production and ownership. Amazon, Sony and Microsoft (through their online gaming services) have all made the move into production of premium television content recently. There has even been speculation that Rupert Murdoch’s recent bid to buy Time Warner was prompted by fear that his existing media holdings would be unable to compete with the encroaching tech companies as they shifted further into content production.

Mergers and acquisitions The tech sector continues to see high levels of merger and acquisition (M&A) activity. From 2012 to 2013, the overall M&A market increased 4.1 per cent, while the tech sector saw an increase of 30.5 per cent.

Cloud computing is an area of significant activity, though US think tank the Information Technology and Innovation Foundation estimated earlier in the year that US cloud computing companies could lose as much as $35 billion through 2016 in foreign markets as a result of the Snowden revelations of government spying.

Elsewhere, M&A activity remains high in software, with companies looking to industry-specific software solutions in fields like healthcare, retail and banking. Larger companies such as Microsoft (with its acquisition of Nokia), Google (with investments in areas as diverse as artificial intelligence and satellite technology) and Facebook (which purchased the much-hyped virtual reality company Oculus Rift) have used M&A to step into and develop new business areas.

Top talent in demand While the outlook and performance of the tech sector is mixed, the demand for talent remains high, and competition for the best hires is stiff.

“In a recent Dice hiring survey, 54 per cent of hiring managers and recruiters in the West said the inability to find qualified talent was lengthening position fill times. In the North East, 46 per cent of hiring managers said the same,” Shravan Goli, president of tech recruitment site Dice.com, told Re:locate.

While these areas were viewed as the poles of the US tech scene, however, Mr Goli stressed that they were not the only ones in which talent was in demand. “The tech job growth isn’t limited to the East and West Coasts, though, as Texas was the fastest-growing state for tech positions in the first half of the year.” The top five US states for growth in tech jobs in 2014 were rounded out by Florida, North Carolina, Oregon and Washington.

In terms of industry segments, John Reed, senior executive director of Robert Half Technology, told Re:locate, “We’re seeing a lot of movement on the mobile side – a mobile-

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friendly website was considered a ‘nice to have’ as little as a year or two ago; now it’s a requirement if you want to reach an increasingly mobile audience.”

Shravan Goli echoed this, and added, “Companies are leaning on technology professionals with big-data experience to help gain better insight into their customers’ behaviour.”

Security is also increasingly an area of focus, according to John Reed. “Security has become a chief concern for companies as breaches become more common. As a result, positions like data security analyst and information systems security manager are hot right now.”

In some instances, the solution for talent shortages is reaching out beyond US borders. “Some companies are bringing in international hires, particularly large organisations.

The need for technology talent is acute, and companies are leaving no stone unturned when it comes to hiring the people they need for mission-critical IT initiatives,” said Mr Reed.

One domestic source of personnel set to come on stream, however, is Microsoft. The company announced recently that it would lay off some 20,000 staff over the next year as it consolidated and realigned its workforce following the purchase of Nokia.

“It’s still too soon to see how this will impact the tech workforce, but my bet is these knowledgeable, talented professionals will have a variety of opportunities,” said Shravan Goli, noting that Microsoft’s home state of Washington alone had created 1,600 new tech jobs in the first six months of 2014. That said, he added, “Those willing to relocate to other areas like Texas will be all the more successful.”

Promoting diversity In Silicon Valley in particular, there’s been a recent trend towards tech companies attempting to increase their diversity, particularly in their notoriously white, male upper ranks.

“If you look at the big picture, in the first half of the year, 35 per cent of technology positions were filled by women, according to data from the Bureau of Labor Statistics.

I’ve heard organisations, like one university in Maryland, explicitly say that applications from women are more soughtafter. Another large university, in Connecticut, says they actively encourage women to apply for positions. A large investment bank touts itself as one of the Top Companies for Executive Women, a scheme set up by the National Association for Female Executives (NAFE), to attract women tech professionals,” said Shravan Goli.

Looking forward, the huge demand for hires puts tech talent in a strong position. “Professionals are feeling more confident about their prospects. They are more likely to jump ship than they were even a year ago, so it’s a good time for businesses to get their arms around their best people.

“Training has become a more coveted benefit in today’s market. Technology professionals want to make sure their skills remain relevant in a constantly changing market. If they feel their skills are stagnating, that’s going to drive them to leave.”

Family at the heart Family-centric technology marks a new phase in global mobility software, says MoveAssist International’s Robby Wogan.

While there have been many changes recently in the world of relocation, the principles remain the same: good communication is vital. However, the way in which we share information is now very different from even just a few years ago. The use of social media, for example, continues to grow.

As the success or failure of an assignment is largely influenced by the ability of the family to adapt to its new surroundings, any additional support will pay dividends.

Technology can play a part in this by providing tools to help with the transition, plus ongoing support.

These days, teenagers and even young children are used to accessing information via mobile devices. When faced with the upheaval of moving home, it is even more important that they receive prompt answers to their questions.

There are, however, challenges in providing data to family members. Most technology for assignees is delivered via corporate systems which can only be accessed via a corporate ID. Often, family members will not have access to these systems. This may lead them to feel ‘on the outside’ rather than involved in the changes taking place in their lives.

Companies have privacy issues and concerns about how much information can be shared with non-employees.

MoveAssist is developing technology to overcome these problems and to provide support to everyone involved in a relocation. Enabling a quick integration for the entire family into a new environment will make for happier assignees and, in turn, increase the chances of a positive return on investment. www.moveassist.com

For US and technology news and articles, visit

relocatemagazine.com/americas/usa and relocatemagazine.com/technology

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US FOCUS

US BUSINESS ON THE MOVE

Despite stiff competition from around the world, the US is still the most frequent destination for international assignments. But, with a worldwide focus on global growth, where are US organisations choosing to do business, and where are they sending their assignees? Are emerging economies, some of which are experiencing tough economic times, proving less attractive than previously?

Fiona Murchie reports.

R

eading a recent Daily Telegraph article by Daniel J Mitchell, senior fellow at the Cato Institute, was a light-bulb moment for me. The headline said, “US taxes are far too high – it’s no wonder corporations are fleeing”. The thrust of the article related to American companies redomiciling in the UK, Canada and elsewhere, and Mr Mitchell’s opinion reflected the fact that the US has the highest corporation tax in the developed world – around 39 per cent. This compares with the UK, which has a rate of 21 per cent, the EU nations, which average less than 22 per cent, and the Asian economies of Singapore, Taiwan and Hong Kong, all of which are in the 17 per cent bracket.

Other factors also contribute. Daniel Mitchell points to a German economic survey which puts the US at 94 out of 100 nations for overall ‘business attractiveness’, behind countries such as Pakistan, Greece, Russia and Nigeria. This is apparently reinforcing the trend to acquire foreign companies and place their legal HQs in more taxfriendly regimes overseas, which is part of the story behind Pfizer’s attempt to buy AstraZeneca and AbbVie’s interest in pharmaceutical company Shire.

An article in the Economist over the summer had a similar tone and also highlighted the US’s immigration system,

14 | Re:locate | Autumn 2014

which makes it increasingly difficult for the highly skilled to enter the country. The article noted the need for more skilled workers and a faster increase in productivity, with the International Monetary Fund recently cutting its forecast growth rate to 2 per cent.

Barack Obama is seen by many as the least businessfriendly US President for decades, so it is not surprising that American companies are on the move. This is backed up not only by the industry’s mobility surveys but also by the tone and language of those operating in the global mobility marketplace.

The mobility perspective For the inside track on these and other topics, I spoke to some of the US relocation industry’s major players. I started by asking how the current business, economic, and political environment was affecting relocation.

“The US mobility market is steady and increasingly healthy,” said Peggy Smith, president and CEO of Worldwide ERC (WERC). “More-robust real-estate markets, decreasing unemployment, an active labour and hiring environment, rising customer confidence and spending,

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US FOCUS

and a solid global economy all add up to a strong upward trend in US domestic transfer volumes. Our latest survey showed that transfer activity increased by 9 per cent in 2013, and new hire volume was up 7 per cent.”

George Herriage, Executive Vice President/COO of relocation management company CapRelo, described his organisation as “cautiously optimistic” about the economic climate, since wage growth was, at best, static. On the plus side, he added, interest rates were keeping home ownership affordable and allowing businesses to expand.

CapRelo, said Mr Herriage, was concerned about the impact on the relocation industry of federal budget challenges and the US government sequester. “The federal sector and its supporting industries are being disrupted by these challenges,” he explained. “For example, regulations tied to the mortgage industry and real-estate disclosure laws are problematic to implement, and that affects our clients.”

He predicted that government relocation would be static for the next few years because of these constraints.

In terms of domestic relocations, the key trends were a growing demand for corporate relocation services and a shift away from house purchase towards renting. This, George Herriage explained, was being driven by Millennials not wanting to be tied down and an overall fall in home ownership since the property crash.

Location, location, location As expansion into overseas markets gathers pace, I asked Chris Pardo, of Plus Relocation, for his perspective on where US companies were sending their assignees.

“Within the EMEA region, it is really Europe that has garnered the most volume,” said Mr Pardo. “The top European countries where US companies are sending

16 | Re:locate | Autumn 2014

employees are the UK, Germany, the Netherlands, Ireland, France and Switzerland. Within Asia Pacific, the top destinations are Singapore, China, Japan, India and Australia.”

While there had been increased interest and activity in the Middle East and Africa, this had not yet led to significant relocation volumes for Plus’s clients.

“When considering the Americas, we have continued to see US and Canadian outbound increases to Brazil, Argentina and Mexico,” Chris Pardo explained. “Three years ago, it seemed that corporate interest in Brazil was peaking, and we anticipated it would take over as a top-ten destination, but a combination of issues surrounding the economy, expatriate tax and currency restrictions, high costs, and a unique and challenging expat housing rental market seem to have prevented some of that anticipated growth.”

At the beginning of this year, Plus Relocation conducted a survey of 95 corporate global mobility professionals. “Top US companies reported that they anticipated global mobility activity to increase (59 per cent) or remain consistent (33 per cent) over the coming year, with the top destination locations being the UK, China, Brazil and India,” Mr Pardo told me. “Perhaps most interestingly, respondents listed 34 different countries where they anticipated greater mobility, demonstrating a diverse and truly global talent marketplace.”

CapRelo, too, has found that outbound relocations are mainly focused on Europe and Asia. However, longer-range planning showed Latin America as an emerging destination for its clients, George Herriage said.

Immigration consultancy Pro-Link GLOBAL’s Andrea Elliott confirmed the importance of Latin America, describing it as “an increasingly popular destination where we anticipate a lot of movement in the near future”. Brazil and Mexico remained the two most popular destinations across industries, and Pro-Link GLOBAL had seen a particular increase in assignments in the manufacturing, IT and energy sectors.

“While both countries illustrate Latin America as an emerging region with diverse economies and complex immigration, labour and tax systems,” said Ms Elliott, “it is Mexico that we find most revealing in terms of both the increase in the volume of assignments in the region and the corresponding legislative changes aimed at striking that perfect balance between attracting highly skilled foreign labour and promoting a climate of new economic opportunities and increased government transparency and accountability.”

Overall, she said, the trends in global immigration were clear: both established host nations and emerging jurisdictions were trying to attract high-quality foreign talent and corporate investment to fill skills shortages, while striving to protect and build job opportunities for their own workforces. continues on p18

US FOCUS

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US FOCUS

Winning new markets For the removals perspective, I turned to Bill Graebel, whom I met at the Worldwide ERC conference in Shanghai. Although Graebel, the world’s largest removals company, operates in 165 countries, it has a truly American pioneering approach to business and opening new frontiers.

The company was founded 64 years ago in Wisconsin. Early on, it expanded into Chicago to focus on the corporate market.

US domestic work was then core to its business.

assisting corporations to do what they do in bringing products and services to a new country. We are doing our bit to make the world a better place – and that’s kind of fun!”

Deregulation in 1983 brought the opportunity to offer clients discounts for volume of service. At the same time, the growth of outsourcing gave Graebel the opportunity to grow by focusing its energy on being the carrier of choice for both relocation management companies (RMCs) and corporates.

In the last few years, Mr Graebel told me, the US domestic relocation market had become “hyper-commoditised”. Many of the value-added services had been stripped away, but the basics had to be covered – from the packing, the driving, and the standard of equipment and vehicles to the technology and back-up systems.

As the Millennium approached, companies were becoming more global. Around 40 per cent of Graebel’s market share came from the relocation management companies, but Bill Graebel felt its carrier services were being commoditised, and that the RMCs were not accountable or proactive in developing supply chains.

In 2000, the company moved into the RMC market, so it could be more efficient, accountable and transparent. The timing was difficult, coinciding with the dotcom bust, 9/11 and the Iraq war, and the firm lost 40 per cent of its business in 18 months, but Bill Graebel believes it was the right decision.

As he says, “We were born to be different, decision-makers, not subcontractors. We are caregivers, handling people at a very stressful time in their lives. It is a time of uncertainty for children, and spouse’s careers are disrupted.

“Moving people has always been more than just a transaction – it is about helping people. We believe that, by doing jobs well, we are, by extension, improving the quality of life and

Inbound and domestic relocation I wondered what types of employee were being relocated or sent on assignment to the US, from which geographic regions and business sectors they were coming, and to which areas they were going.

CapRelo, George Herriage said, was seeing a mix of seasoned senior-level employees and Millennials.

Emerging companies tended more toward Millennials, while established organisations were predominantly relocating senior personnel.

18 | Re:locate | Autumn 2014

Pick a country that is important to a client, Bill Graebel said, and you have to be as excellent in service delivery there as you are in the USA. But the challenges – from ethics to laws and customs and the state of technology – are different in different countries.

Graebel is an example of an organisation that is capitalising on the American trend to follow new markets. Its figures back up the industry surveys which show that US and UK movement is still number one by volume, but by a narrow margin. Cross-border mobility to Canada is important. Following closely behind are relocations to China. Activity in Asia is significant, with Singapore, Japan, Australia, Korea, the Philippines and Malaysia all key destinations.

To date, Graebel has only marketed to US multinationals, but it is now a logical extension to market to multinationals around the world. Bill Graebel recognises the work that has to be done to deliver the company’s values and solutions to emerging multinational companies in regions such as Asia.

From within the US, Texas was experiencing an uptick in inbound relocation activity, owing to its business-friendly environment and the success of its oil and gas industries.

Relocations to California had also increased.

From outside the US, key activity for CapRelo’s clients was from the UK and China.

Chris Pardo told me that inbound activity among Plus Relocation’s clients had retained a balanced regional mix, with 42 per cent of assignees coming from EMEA, 33 per cent from APAC, and 25 per cent from the Americas. “From

EMEA, the UK, Ireland, Germany, France and Switzerland are the top countries sending employees to the US,” said Mr Pardo, “while APAC employees come mainly from Singapore, China, Malaysia, Japan, India and Australia. Within the Americas region, Canada dominates US inbound activity, while Mexico, Brazil and Argentina continue to be growing contributors.”

As the sectors with the most relocation activity, Chris Pardo cited technology, manufacturing and retail.

Talking trends A number of key trends were highlighted by my interviewees, in areas from talent management and assignment types to technology.

According to a recent Plus Relocation survey, the top three reasons for international mobility were projectbased business needs, knowledge and skills transfer, and employee development. These, Chris Pardo said, typically required different types of talent. While Plus continued to see a steady flow of executive-level employees being sent on international assignment, more highly skilled and high-potential employees at mid-management level were now being sent abroad.

WERC, Peggy Smith commented, was finding that Millennials and Generations X, Y and Z (particularly young, single men), who saw global assignments as CV builders

and essential training for leadership roles, were the largest assignee group. Experienced Baby Boomers made up a smaller number. Expats with families were still common.

“Gone are the days of assignments falling into one or two categories,” said Deborah Wilkes, director of global consulting services at Lexicon Relocation. “Both international and US domestic assignments demand flexible options. Companies are moving away from traditional structured policies and providing lump-sum allowances, core/flex programmes, or managed cap policies to control costs, limit exceptions to policy, and provide consideration for employees’ personal circumstances when relocating.”

Cost containment was an important factor when determining assignment or relocation type. Recent corporate and individual tax legislation had increased the cost of conducting business globally and domestically, affecting companies’ willingness and ability to relocate employees.

“Corporate tax rate increases, employee healthcare costs, and the Foreign Account Tax Compliance Act (FATCA) have greatly affected outbound relocations. Traditional mobility, both inbound and outbound, has slowed. However, shortterm assignment activity is up as a way of fulfilling business objectives while reducing costs,” Deborah Wilkes added.

Pat Jurgens, director of global tax research and consulting at AIRINC, also noted the impact of FATCA. US citizens, he explained, were finding it increasingly

US FOCUS

difficult to open a foreign bank account or make investments in foreign mutual funds. Some had been notified by foreign banks that they were no longer welcome customers and must close their accounts, which could trigger additional tax costs associated with the sale of financial assets.

“The Internal Revenue Service maintains a list of foreign financial institutions (FFIs) that are registered for FATCA, agreeing to comply with the additional reporting requirements and willing to do business with US taxpayers,” said Mr Jurgens. “To date, over 95,000 FFIs have signed on.”

Laurette Bennhold-Samaan, COO and managing director of global mobility for Aperian Global, a provider of talent development consulting and training, pointed out that the shift in global economic centres of activity was compounded by technological advances that were rapidly flattening economic opportunity, creating more borderless connections, and shifting consumer demands.

“Customers now expect global products and services based on global brand awareness and global retail or delivery,” said Ms Bennhold-Samaan. “Few modern organisations are unaffected by these changes. Most have recognised these trends and are in the process of repositioning themselves to benefit from the global economic shifts. They realise that, if they still hope to be relevant in 2025, they need to radically adjust their thinking about where they are located, how they do business, what they produce, and who will lead them.”

Looking into the crystal ball This year, Re:locate celebrates its tenth anniversary. The past decade has been one of increasingly rapid change, which has had huge implications for HR, relocation professionals and assignees.

What do the next ten years have in store? Plus Relocation’s Chris Pardo told me, “We expect international mobility will continue to grow with the entrance of the Millennials.

This generation will make up 75 per cent of the workforce in ten years, and they expect and seek international work experience as part of their careers. To meet these trends, we are preparing our clients with innovative policies – for expat-lite-type/local plus assignments, short-term

20 | Re:locate | Autumn 2014

assignments, and permanent transfer options leveraging core-plus approaches – and technology.”

George Herriage, of CapRelo, said, “The services we provide are evolving to address real-time business needs and challenges – for example, technology-driven services, rental services, and lump-sum management. We do not expect to see consolidation in the mobility industry; that is, there won’t be fewer relocation management companies, just different ones.

“Technology will continue to change the face of relocation, as it has every other industry. Technology-driven organisations will emerge to address new buyer demands.

“Lastly, all facets of the industry are rethinking their business models, from household goods movers to relocation management companies, and from mortgage providers to real-estate firms. The next few years will see constant changes of direction and models; it will be a lot of fun to be a part of it!”

Peggy Love, MD of Dwellworks, was also upbeat. “The great news for all of us in relocation is that being innovative will give us a leg up on opportunities for growth, and will contribute to success in all regions. As the world appears to get smaller, it may actually be getting bigger. Because of government regulations and compliance, the relocation industry seems much more complicated than it did a decade ago – even though we have technological efficiencies at our fingertips.

“As we create new programmes, we must remember that today’s assignees and their families have similar needs and requirements to those they have always had. Our job is to calibrate their expectations and keep providing the services that help them achieve success.

“Change drives growth, and growth drives innovation, in whatever area of global mobility we find ourselves.”

For US news and articles, visit

relocatemagazine.com/americas/usa

US EDUCATION

CHOOSING

A SCHOOL

in the US

Finding the right school for their child is a key concern for relocating parents. If they are moving to a new country with an unfamiliar education system, the challenge becomes even greater. Rebecca Marriage provides an overview of the US’s state/public school system, and looks at the fee-paying international schools available.

T

he United States has, for many years, remained one of the top international relocation destinations. Some studies suggest that this is due to the quality of life that can be found there, especially for families. However, in the 2014 Brookfield Global Mobility Trends Survey, the US featured in the top three countries with the highest rate of international assignment failure.

It is clear, then, that understanding the education, schooling and family issues that assignees will face on making a move to the US should be top of the list of priorities for professionals assisting with a family move.

In the latest HSBC Expat Explorer survey, the US came out on top for lifestyle for newly relocated employees. A high number of expats even reported enjoying new luxuries and experiencing a good quality of life – in short, they were living the American Dream. The survey indicated that the US’s strong healthcare and education systems played a significant part in its ranking in the top ten of the Raising Children Abroad league table.

However, families relocating to the US looking for public school places for their children are first struck by how significantly the education systems and end-of-school measurements of achievement vary from state to state, and even between districts within the state. This is because individual states’ departments of education are responsible for the funding and administration of schools in the US. “This means that there has always been a huge variation in content and structure across the United States,” says Elizabeth Sawyer, CEO of Bennett Schoolplacement Worldwide. “While some schools are teaching Evolution, for example, others are teaching only Bible-based explanations of our origins. There has been no national exam like the French Baccalaureate or the English A level with which students earn a secondary diploma, and, overall, no shared standards.

“This is not to say that education has been poor across the public system,” Ms Sawyer is keen to stress. “Rather, it has been enormously varied; while some schools have been woefully sub-par, others have successfully prepared students

for the most academically rigorous universities in the country.”

In 2009, the National Governors Association launched the Common Core State Standards, to reduce the current confusion of public education policies. So far, 43 states have signed up.

The initiative is designed to eliminate inconsistencies among states, districts and schools, but the jury is still out as to whether the Core Standards are having an impact.

Considering the next move With this in mind, parents will need to be encouraged to think carefully about their children’s education in the context of either eventual repatriation or their next relocation.

“A surprising number of families arrive here without understanding the US education system very well,” says Elizabeth Sawyer, “and how enrolling their children in a given school or district will affect their repatriation or next assignment in two or three years.”

Among the most important considerations for professionals is to provide families with the proper information and a range of educational options, so that parents can make the best decision for their family and feel comfortable knowing that their child can move overseas with the least amount of disruption. Curriculum choice will play a central part in making this decision, and here the options become as varied as the number of schools available.

Public schools Publicly funded schooling usually begins in US grades K (Kindergarten) at age five to six, followed by middle/junior high school (US grades 6 to 8) and finishing with high school (US grades 9 to 12). This is known as the K-12 curriculum.

The K-12 curriculum is likely to result in a US Diploma on satisfactory completion of 12th grade, the requirements for which are set by individual states. The state will typically set a number of required courses, including core subjects such as English, maths, science and a foreign language.

continues on p22

relocateglobal.com | 21

US EDUCATION

Private and international schools

Cultural agility

International schools offer a range of learning programmes, including the British Curriculum and the International Baccalaureate (IB). “Many of our students choose to pursue the IB diploma because it gives them the most flexibility when choosing a university,” says Gabriella Rowe, school head at the Village School, Houston, Texas, one of the schools in the Meritas International Family of Schools, an international school group with a presence across the US. An internationally recognised and transferable curriculum, such as the IB, is often top of the list when choosing a programme of learning for students relocating to the US. The flexibility and international recognition of the qualification is also a big draw for globally mobile families.

“An internationally accepted qualification and high academic standards are important considerations for most families that are relocating internationally,” says Monica Harter, regional director of admissions and marketing, North America, for Nord Anglia Education, which runs international schools in Boston, New York, Washington, Chicago, Charlotte and Houston. “The international qualifications, including the IB Diploma programme, that our schools offer provide families with the assurance that their child’s credentials will be accepted and transferable around the world should they relocate again in the future.”

But it is not just the ease of global transferability that makes an international school an attractive choice; relocating families are typically also acutely aware of the advantages of the cultural diversity that can go hand in hand with education in an international school.

“Global awareness and international-mindedness have become very important considerations for families when selecting a school for their child,” says Monica Harter.

“Though more prominent amongst families that have made successive moves, we see this thinking also developing in local families who want to ensure that their children will have the skills, knowledge and tools they need to succeed anywhere in the world that their careers and lives will take them.

“We also believe that an international education is about more than just an international curriculum. Our schools support students to develop a truly global perspective, through programmes like our Global Classroom, which unites all our students around the world and allows them to talk and work together on a wide variety of activities.”

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Helping families choose a new school Most schools are keen to stress the vital importance of maintaining a close relationship with the professionals assisting families with an international move. “One of the

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US EDUCATION

primary recruitment channels used at Meritas schools is the relationships we’ve established with agencies,” says Kim Eklund, Meritas’s director of global enrolment, “and each of our admissions directors works very closely with relocation agents in their geographic areas to place new students at one of our six US-based schools.”

“In fact, several of our schools are located in close proximity to large expatriate communities, and therefore the school admissions directors have a personal relationship with a large variety of relocation agencies, and work hand in hand to provide personal tours of the facilities, and also help them to understand the admissions process.”

In addition to curriculum choice, the big concerns of families moving to the US include integration – for their child and the entire family – selecting a neighbourhood, and safe school transport.

“Generally speaking, residences in the US are tied to specific public schools, where children are guaranteed a spot by virtue of their address. Exceptions include NYC and the Bay area,” says Elizabeth Sawyer. “Due to this system, families often take into account the assigned schools for particular neighbourhoods when choosing an area in which to live.

House- and school-hunting should go hand in hand.”

But even with the relative freedom of choice that comes with a private or international school, there are geographical constraints. “It’s important that everyone involved in the admission and enrolment experience communicate with

parents and agents to help them understand all facets of the school experience,” says Kim Eklund, “from school bus routes and pickup and drop-off locations to community maps highlighting other school families living in a certain area, so newcomers to the area can feel they are a part of both the school and the local community.”

A smooth transition It is this relationship between the global mobility professional and the school admissions team which many schools believe to be the most important element in ensuring a successful family move to the US. “We are fortunate to have strong and long-standing partnerships with both local and international relocation agents and HR professionals, who work in partnership with us to make the transition for relocating students and their families as smooth as possible,” says Monica Harter. “They are often our first point of contact for relocating families and are instrumental in providing early information that will enable us to better meet the needs of each individual student and personalise their experience.”

Kim Eklund believes that there is no substitute for getting to know the schools and their staff. “No matter what we say, nothing will ever compare with the first-hand experience an agent can have while visiting a school and meeting the students, teachers and headmaster. This experience helps them to truly get a feel for each unique school community.”

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SECTION HEADING

a mixed picture Despite recent disappointing rates of economic growth in some of its countries, Latin America, with its abundant natural resources, expanding middle class and strong foreign direct investment, is rising ever higher on the global mobility agenda. Mark E Johnson looks at the challenges facing HR managers and decision-makers moving employees to this international relocation destination, and those doing business in the region.

L

atin America spent much of the last decade ploughing ahead with high rates of economic growth and increasing modernisation, propelled by structural reforms such as the privatisations and trade liberalisation enacted in the 1990s.

Growth has sputtered and slowed in 2014, however. In August, the United Nations Economic Commission for Latin America and the Caribbean revised down its estimates for growth in the region yet again, from 2.7 per cent to 2.2 per cent, and the outlook among domestic businesses is pessimistic. However, with a wealth of resources, a growing middle class and strong foreign direct investment, there are still opportunities in the region.

Economic overview In its 2012 Nutshell report, international banking and financial services organisation HSBC noted financials as the largest sector in the region, at 21 per cent, closely followed by commodities, at 20 per cent, and energy, at 13 per cent.

Consumer staples and telecommunications followed, at 16 per cent and 9 per cent respectively. Brazil was the largest market by far, with a 60 per cent weighting, followed by Mexico, Chile, Colombia and Peru.

Foreign direct investment (FDI) was very strong in 2013.

The FDI Report 2014, by FDI Intelligence, a division of

the Financial Times, noted Latin America and the Caribbean as the best-performing region for FDI globally, with the figure doubling to $139.81 billion last year. A $40 billion waterway in Nicaragua, backed by a Hong Kong consortium, accounted for half the growth, while Mexico also had strong greenfield investment. By sector, the top three performers were business and financial services ($48.19 billion), ICT ($17.04 billion) and renewable energy ($13.28 billion).

The domestic view looks less rosy, however. A recent McKinsey Global Survey showed that executives in Latin American firms were pessimistic about their territories’ economic outlook, with 53 per cent noting inflation as a risk, compared with a global average of 21 per cent. More said they expected their companies’ profits to decrease than in any other region.

Peter Hill, president of the Santiago Chamber of Commerce, says that a key factor in the region’s slowing growth is the weakening of local currencies against the dollar and the euro. Outlining the current status of some key nations, Mr Hill told Re:locate, “Brazil is probably growing at about 1 per cent maximum this year. Argentina is in a mess, as it has been for a long time. The same can be said of Bolivia, Venezuela and Ecuador. Columbia has been doing very well, but has been weakening this year. Peru has also been growing considerably. It’s looking at probably 5 per

relocateglobal.com | 25

SECTION HEADING LATIN AMERICA

cent growth this year, but it’s also weakening against the foreign currency.”

Chile, Mr Hill said, had been the worst hit by the weakening of its local currency, and tax reforms were also prompting many companies to take a ‘wait and see’ approach to the country.

Regional variations While a number of countries in the region are feeling the pinch because of weakening local currencies, conditions are far from uniform.

“Countries in Latin America are living vastly different economic realities. Argentina and Venezuela, for example, are suffering through an economic crisis. Their job markets are particularly challenging, with many layoffs occurring as a result of companies freezing investments or even choosing to leave those countries entirely,” Rodrigo F Donoso, board director of executive search alliance organisation InterSearch Worldwide and managing director of InterSearch Argentina, told Re:locate.

“The situation is less dire in Brazil, Chile, Ecuador, Mexico and Uruguay, but even here economic growth has been disappointing recently, with moderate job growth in only a few specific sectors, such as oil and gas, mining, tourism, retail and education.

“Yet other Latin American countries – including Colombia, Peru and Paraguay – are growing at remarkable rates. There is a good level of movement in their job markets. In fact, they are experiencing a shortage of technical and engineering professionals.”

Looking forward, Mr Donoso said, “In most of Latin America, oil and gas is a true growth sector as new reserves are discovered and exploited to keep pace with the region’s needs for these important resources.” He went on to note that mining and pharmaceuticals were also expanding, and that other sectors poised for growth included tourism, medical services, road construction, energy and education.

The recent World Cup has shone a light on Latin America in general and Brazil in particular, with the Olympics set to follow in the football tournament’s tracks in just two years.

The Brazilian Ministry of Sports said that the country’s economy would grow by $70 billion as a result of the World Cup. Widespread protests told a less positive story on the ground, however.

26 | Re:locate | Autumn Autumn2014 2014

Peter Hill thinks that, on balance, the World Cup has probably benefited Brazil, as, most likely, will the Olympics., but that the country has more pressing concerns. “I would say the main thing for them is to get their economy going and open it up a bit more, because basically it’s a closed economy.”

Latin America’s largest economy is famed for what is known as the ‘Brazil cost’, the increased cost of operating in the country thanks to labyrinthine bureaucracy and regulatory hurdles. Brazil isn’t the only nation marked by difficult government policy, however.

“Foreign companies should appreciate that Latin America is a very diverse region, and that beyond cultural and linguistic similarities there are significant differences in business practices. There’s now a rough split between Mexico, Colombia, Peru and Chile on the Pacific side, which are aligning their markets through the reduction of obstacles and bureaucracy, and more protectionist economies with greater government intervention on the Atlantic side, such as Argentina, Brazil and Venezuela,” said Karl Royce, deputy director of UK Trade & Investment in Chile.

Highlighting the difference in ease of access between different countries, Mr Royce said, “Chile, for many foreign companies seeking to either export or invest, stands out as having clear rules, a stable environment, zero per cent tariffs and steady growth. A consequence of that is the scale and strength of the competition – many companies from many countries are already here. Some operators prefer to be in more problematic economies, where they feel confident of being able to handle the difficulties and relish having fewer competitors.

Foreign companies should assess their own appetite for risk and competition, and choose target countries accordingly.”

The green agenda Environmental concerns can play a prominent role for businesses. Peter Hill said that a major hydroelectric project in Chile was recently stopped on environmental grounds, and that a number of mining projects had not gone ahead owing to the blocking of development of coal-based power plants. He added, however, that Chile probably placed the region’s strongest emphasis on the environment.

SECTION HEADING

In its GEO-5 report on the outlook for the global environment, the United Nations Environment Programme noted Latin America’s chief environmental concerns as climate change, biodiversity loss, water and land management, coastal and marine issues, and urbanisation.

Poverty and inequity were also high priorities, it said.

Poor infrastructure and densely populated cites in certain areas fuel environmental issues. “With 79 per cent of its population living in towns and cities, the region is one of the most urbanised in the world. It faces challenges in providing its burgeoning towns and cities with safe water and sanitation, and in addressing air pollution and the contamination of its fresh water, oceans and seas,” the report stated.

Sourcing talent Rapid expansion in certain sectors has produced growing pains on the personnel front. “The flip side of growth in the oil and gas sector is a scarcity of talent at all levels. Companies in oil and gas, as well as mining, face huge challenges today to fill roles at all levels. In particular, there is a demonstrable scarcity of talent for engineers in many sectors,” said Rodrigo F Donoso.

He added that, while his own company regularly recommended cross-border candidates for executive roles, particularly in Bolivia’s oil and gas sector and Paraguay’s

construction sector, this was not currently a widespread practice.

“In Latin America, it is not as common as in other parts of the world to have professionals expatriated from one country to another, although this trend seems to be on the rise. This phenomenon is more common to specific sectors, like oil and gas, or to large engineering projects, for example.

“On the other hand, in some cases, multinationals expatriate top executives – usually those at the general manager level – out of their main Latin American offices to smaller peripheral countries, to keep better control of operations and market development, and also to develop their careers. This mainly occurs in the pharmaceuticals, consumer goods and automotive sectors.”

Outlining the challenges involved, Mr Donoso said, “The main challenge is the cost associated with relocations. Foreign candidates usually ask for comparatively large compensation, and their benefits packages need to be very robust in terms of housing, school fees, and so on.

“For some candidates, security and safety perception issues present a challenge. In other cases, despite speaking the same language, cultural differences can be a problem.”

Conditions in Latin America are challenging, but for those willing to commit to the region, the opportunities are significant.

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BRAZIL B As Brazil waves goodbye to the World Cup cavalcade and takes a breather before the Rio Olympics, this vibrant South American country is getting back down to business. Visiting football teams have found Brazil a less challenging destination than they expected, thanks to the home team’s recent performance. Ruth Holmes asks if globally mobile workers’ views will undergo a similar transformation.

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razil is a dichotomy. It conjures images of a rich, engaging, outgoing and vibrant national culture, ticking all the boxes as an emergent superpower worthy of its BRICS moniker. Yet it and its cities can also be shorthand for poverty, violence and, in mobility circles, challenge.

While respondents to Cartus’s Global Mobility Policy and Practices Survey 2014 place Brazil sixth on the list of the fastest-growing receiving destinations in the past two years, they also find it the third most challenging mobility-wise for assignees, and the second most challenging for companies.

Respondents to the Cartus survey also doubt that Brazil’s challenges can be overcome in the next two years, awarding it first place in the ranking for the destination most companies expect to present the biggest challenges during this time. ”I certainly agree that Brazil is a challenging destination,” says international immigration consultancy Pro-Link GLOBAL’s Fabiano Bittencourt. “In fact, Brazil is certainly within my top seven destinations in terms of difficulty. The main factor is most definitely the bureaucracy.”

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BUSINESS boun back ces to

Language and culture also have a significant impact, observes Cinthya Caggiano, general manager for Latin America at serviced accommodation provider Skyline Worldwide. “Assignees relocating to Brazil may face cultural challenges, language barriers – the majority of local people do not speak English – slow internet connections, costly restaurant bills, poor transport infrastructure, and road traffic and security issues.”

Brazil’s well-documented social circumstances underpin these concerns. Ignited by a rise in bus fares, the widespread civil unrest during the country’s hosting of the FIFA Confederations Cup in June 2013 saw thousands (an estimated 65,000 in São Paulo, Brazil’s business capital, alone) take to the streets across the country to protest against corruption and for a more efficient government and greater investment in education, healthcare and transport.

As Brazil’s president and Workers’ Party leader Dilma Rousseff seeks a second term in October’s presidential election, campaigning to continue her mandate of upgrading the country’s infrastructure and rationalising taxation and bureaucracy, could the unrest return?

Frances Nobes, global security analyst at crisis management assistance company red24, believes this to be a possibility. “The upcoming elections present an opportunity for further protests against economic, social and labour issues,” she comments. “The protests may be reinforced by recent protests surrounding Brazil’s hosting of the World Cup, which many felt took much-needed funds away from important infrastructure and social projects. These protests could be significant at times, but will most likely be confined to urban centres.

“The greatest risks to business travellers in Brazil’s urban centres are street crime and express kidnapping, although rates of violent crime are increasing across the country. An employer’s duty of care requires that travellers are well informed and insured to cover security incidents which may occur.”

Ms Nobes advises that travellers should exercise situational awareness and take basic precautions, such as not wearing expensive jewellery, walking alone at night or using unlicensed taxis, to minimise their exposure.

continues on p30

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Skyline Worldwide, São Paulo Apartments

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Game of two halves The protests highlight Brazil’s predicament. It is already the world’s fifth-largest economy, thanks to its close on 200 million population and global reliance on its abundant commodities. Although Brazil is a founding BRIC and a beacon of hope for multinational companies that is fêted by international business ministers, its journey from growth to superpower status is not yet complete.

Brazil’s vital economic signs are as unflattering as the ill-fated football World Cup match they reflect, July’s historic 7–1 home defeat to Germany at the Estádio Mineirão, in Belo Horizonte, Dilma Rousseff ’s birthplace. In 2014, the Brazilian economy is set to post just 1 per cent growth, according to the Organisation for Economic Co-operation and Development (OECD). Meanwhile, a 7 per cent annual inflation rate means that Brazilians are struggling to maintain living standards.

Yet Brazil is still very much a place to be. Despite the challenges, the upsides – abundant natural resources, agriculture, the biotech sector, and, increasingly, its oil and gas, plus its young, upwardly mobile population – are hard to ignore.

Getting the right team The standard of education is one of the challenges employers in Brazil are facing; the country’s reputation for red tape is another. Brazil’s best higher education institutions compete internationally, but secondary-level education is only accessed by around 75 per cent of those eligible, according to United Nations Children’s Fund (UNICEF) data.

Tightly regulated labour laws, potential taxation of training costs, and high employment compound the issues of retention, attrition and return on training investment, necessitating Brazil’s reliance on overseas workers for roles in key disciplines, including medicine and science, technology and engineering.

This, in part, has led to the changing profile of expatriate workers. Soo Smit, knowledge management specialist at Pro-Link GLOBAL, observes that the top jobs for inbound workers are now highly specialised technical ones, including engineers, maintenance technicians, technical personnel, sales managers, country managers, auditors/consultants, event co-ordinators and marketing directors. “By far the majority of expats are US nationals inbound to Brazil. We also see South Koreans, Indians, and Mexican, Italian and German nationals,” she adds.

30 | Re:locate | Autumn 2014

The familiar issue of proving that a local worker cannot fill the role also holds true in Brazil for companies hiring overseas workers. “While there are many restrictions placed on foreign employees, their work agreements, and their dependants, these criteria are not uncommon in many destination countries, and Brazil remains a major economic destination for multinational companies,” says Soo Smit.

But legislation can be onerous around, for example, salary, with a proportion paid in the local currency and commensurate with local rates, which can seem overly high for senior levels.

Tackling the red-tape challenges The World Bank’s Doing Business Index, which measures 189 economies worldwide on their comparative business regulation and property rights, ranks Brazil in 116th place overall, and 123rd for starting a business. Russia is 92nd, India 134th, and China 96th.

Setting up a company in Brazil, including the procedures required to register with the authorities for the purposes of hiring employees, takes, on average, 107.5 days and 13 procedures. This compares with 36.1 days and nine procedures for the wider Latin America region, and the OECD average of 11.1 days to register and five procedures.

When it comes to hiring and managing immigration and visa requirements, “every single step of the process is interdependent and linked to another step, and there isn’t a whole lot of clarity from the authorities as to when one should start the procedures”, explains Fabiano Bittencourt.

“This is valid from the outset of an application right to the latest post-arrival step in Brazil, and applicable to renewal of applications.”

By seeking good, local advice, employers sending people to Brazil can predict and handle many of the immigration obstacles. “Like many jurisdictions around the world, every location within Brazil has challenges and benefits,” says Soo Smit. “The key is understanding the unique obstacles and benefits of each location within Brazil and setting realistic expectations of difficulty/ease, processing times, document requirements and reliability of local officials.”

Raising the game for accommodation While the evidence about the quantitative economic benefits of global events is mixed, international consultancy PwC believes that Brazil could see some important intangible benefits from its hosting of the international sporting events triumvirate: the Confederations Cup (2013), the World Cup (2014) and the Rio Olympics (2016).

Undoubtedly these events boost tourism and lead to concerted efforts to improve infrastructure, which is a significant issue in this country of 3.3 million square miles.

According to Reuters, Brazil invested 25.8 billion real ($11.3 billion) in World Cup-related infrastructure improvements.

A third of this went to building or overhauling stadiums,

LATIN AMERICA

with airport improvements deemed to be giving some of the most valuable return on investment, improving transit times between the 12 host cities, from Amazon-region Manaus in the north west to coastal Porto Alegro in the south east.

Business and leisure travellers in Brazil are also benefiting from the last decade’s take-off in air travel. The number of routes and connections has increased, with passenger numbers doubling during this period, mirroring significant growth in business and leisure travel, and global mobility.

To service these needs, a number of international hotel and serviced accommodation operators are investing in key cities.

Well-established in Brazil, international serviced apartment provider Skyline Worldwide has seen the changes initiated by these world sporting events at first hand, and is at the forefront of responding to them.

Says Cinthya Caggiano, “The impact of the World Cup was a very positive one in many ways, but particularly prompted new investment in corporate accommodation.

“Owners and operators enhanced their offering by including extra services such as wi-fi, cleaning, breakfast and other amenities, which is something they did not do previously.”

Employers, relocation and destination service providers, too, are responding to the opportunities by innovating to keep abreast of the changes and mitigate the complexities of bureaucracy.

With demand for suitable housing increasing, especially during the summer months of December to February, when tourism peaks, expats are finding themselves competing with the local market. Some employers are reportedly offering lump-sum cash advances during home-finding trips, so that expats have the same advantages as local tenants, rather than having to go through lengthy admin processes.

Skyline Worldwide is enhancing its services to respond to customer and market demand. “We have introduced billback facilities for our clients,” says Cinthya Caggiano. “We pay all deposits, so they don’t have to. We allow them to pay in multiple currencies, and we ensure that the service levels and products we provide meet Skyline’s standards.

“However, accommodation costs are still generally very high, and there is more scope for our industry to work together to create better and more cost-effective solutions to overcome this particular challenge.”

At a time of tight cost control, as well as saving time on bureaucracy, companies can save a considerable amount of money by switching from hotels to apartments, says Cinthya Caggiano, particularly when looking at costs per head. She adds, “With hotels, there is also the on-spend to consider.

On average, apartments are up to 30 per cent cheaper than a hotel room of comparable standard and quality.”

While most Brazilians will have the choice in October to vote on whether the country’s multi-billion-dollar investment was made wisely, with these positive developments in mobility, it seems that businesses looking to invest in Brazil

could be witnessing the country’s reputation as a challenging destination ebbing away – just like the Brazilian football team’s defence on that fateful July night.

Language specialists on call As with many parts of the world, one of the greatest challenges of a posting to Brazil can be communication.

Communication is not just about establishing a relationship with clients: it can mean the difference between profit and loss.

Today, business is such a global affair that no one can really be expected to be fluent in all the tongues they may encounter on their travels.

So how can companies get around the ‘language problem’?

One company that has come up with an innovative solution is Robertson Languages International, which provides language and cultural training programmes for relocating executives and their families. Its range of translation services has now been expanded to include a personal interpreter who is available by phone. Robertson’s translators and revisers – who must be native speakers of the target language, hold a translation degree, and have at least three years’ practical experience – are chosen for their specialist knowledge (for example, medical, legal or financial ).

Says company founder Bob Robertson, “So much communication these days is instant – by telephone or email – and business people need to be able to respond straightaway.

We realised some time ago that telephone interpreting was a service that many business people would need in order to stay in control.

“We know, too, that we may be needed at any time, so we’re available 24/7.” www.robertsonlanguages.co.uk

Subscribe free to our new Latin America digital magazine at relocateglobal.com

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CULTURAL TRAINING

CULTURAL

TRAINING Understanding the 4 Cs Cultural training is now regarded as essential preparation for any international assignment. Borrowing from the ‘4 Cs’ method of assessing the quality of diamonds, Mary Beauregard, of USbased destination services provider Global LT, which provides cultural and language support around the world, considers the 4 Cs of high-quality cultural training.

CULTURAL TRAINING

W

e handed down my grandmother’s engagement ring to my niece Meghan this year, as she is the youngest of the great-grandchildren to marry, fulfilling the wish my grandmother left with her ring. The groom-to-be wanted to be certain the ring fitted her well and had the right sparkle to reflect their joy, so he took it to a gemologist, who confirmed and certified its value. This led to a conversation about the ‘4 Cs’ of diamond quality: colour, cut, clarity and carat weight. It made me think about the measurement of quality for other valuable ‘gems’.

It’s been more than 60 years since cultural experts and anthropologists like Oberg and Hall first encouraged cultural training for world travellers, be they missionaries, militia or managers. Yet we continue to debate the skills of the trainer, programme content, and the efficacy and value of these orientations. We question just what information and instruction are essential and practical if global personnel are to make the most of their time and talent working in a foreign environment.

Quality and expense Family is the cornerstone of most countries and cultures.

Preparing the entire family for any type of international assignment is crucial to the family and a benefit to the corporation. In the most recent, 2014 global mobility surveys, the issue of family adjustment surfaces as one of the leading reasons for expatriate success and/or failure.

Many of these reports identify the inability of family to adapt to the host location as one of the key reasons for assignment failure. “It’s certainly a major factor,” says Carol O’Brien, a 30-year veteran of global relocation and destination services. “A family’s happiness and smooth adjustment influence just how well the employee can focus on his or her job – and that, after all, is the point of the global assignment.”

International corporations have long wrestled with that elusive cultural training return on investment (ROI). We continue the attempt to measure a programme’s worth, examining its components and the expertise of the training professionals who design and deliver the presentations.

“When it comes to quality expatriate preparation, the challenges are many,” says Snejana Koch, manager of training for Global LT. “Because we are a full-service organisation, offering language and cultural training, translation and relocation assistance, our clients come to us for many solutions. Although they rely on us for all areas of expatriate support, they are not always able to invest the dollars, euros or yen that an allencompassing expatriate preparation requires.”

Yet Brookfield’s Global Mobility Trends Survey notes, “Despite increasing

cost pressures, a clear majority of companies recognise the importance of intercultural training in international assignments, 39 per cent offering it on all assignments and 45 per cent offering it for some.” So clearly, the importance of expert preparation and instruction is understood and accepted; it’s a matter of content and delivery.

Training forums, blogs and trainers themselves discuss appropriate approaches, topics and measurement. How do we develop training to include theory but emphasise practicality?

How do we provide learning that will encourage appropriate awareness, change some behaviour and produce the desired results? Post-programme evaluations, often termed ‘happy sheets’, quickly assess reaction to a training programme, but cannot truly assess what has been learned and how it may affect future conduct.

What do the expats say?

Clearly, it is the expats themselves who have the last word on what works and what does not. This evaluation of quality cannot be measured after one or two days, but rather in the long term, often under pressure.

As an interculturalist, I have had the pleasure of interviewing expatriate employees and their spouses from all over the world. Some attended pre-departure training in their home country, while others trained in the destination country with relocation and cultural specialists. The feedback I received revealed many of the same bright spots and many of the same defects.

Maria Rosa, a manufacturing manager from Mexico, was assigned to an urban centre in the Midwestern United States. Her five-year-old twins and her husband spoke no English, but were enthusiastic and motivated by their goals for a long-term stay. With twice-weekly face-to-face tutoring in English and daily online language reinforcement for her husband, she felt that they had received superior expat support and training.

Maria Rosa took pride in applying her new understanding of the difference in business attitudes and expectations during those first several weeks in country. Yet months passed, revealing more dilemmas than anticipated, and she longed to connect again with an impartial adviser, not just her HR department or other Mexican expats.

There were obstacles when it came to her children’s schooling and socialisation; her husband struggled as the non-working spouse, and had little opportunity to grow as he had hoped. Even though she rated her cultural training

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CULTURAL TRAINING

programme as ‘excellent’, upon programme completion she discovered it had been incomplete.

Other expats, like Victor and Sonja, who had their training prior to departure, were extremely pleased with the examples and explanation of culture-shock cycle. They felt wellprepared and armed with skills and strategies to handle the eventual ups and downs. They examined daily living scenarios with their cultural trainer, who had many survival tips for their new life in South Korea.

But upon arrival, they realised that they had had no idea about the things they needed to ask as they began to settle in. After six weeks, they contacted their corporate liaison and requested a Skype meeting with an expat who had recently

lived in the country, to acquire up-to-date details for managing their home and their life. They, too, had rated their training ‘excellent’ upon completion, only to discover it was simply the beginning of their cultural adaptation.

Brilliant, dazzling and sparking on the surface, but somehow flawed within. Here are what we term the 4 Cs of quality for expatriate cultural training:

4 Cs of quality cultural training 1. CUSTOMISATION

3. COLLABORATION

No two expats or families are alike, of course. ‘Cookie cutter’ programmes (not one of the 4 Cs!) have no place in expatriate preparation. An expat named Anne, who accepted a long-term assignment in France, had lived and studied there for three of her university years. She was fluent in French, but was disappointed that her trainer spent much of their valuable time reviewing the historical and geographical background of the country, of which she was keenly aware. He didn’t use Anne’s knowledge and experience to move into more advanced topics and discussions enhancing her abilities as an adult professional.

Even the best trainer cannot meet every single need of the assignee or answer every question expertly. Complementing the training programme with other experts with varying knowledge and perspectives is essential. For example, a programme should employ:

Knowing the participant and recognising their assets as well as their ‘liabilities’ is critical in designing a quality programme.

Using the variety of web tools available, including Skype and other means of virtual communication, also gives the participants a complete and current view of their new life.

Employ detailed, online/written needs assessments from each family member Follow up with a phone call, especially to a spouse Encourage the use of a cultural readiness/assessment tool for the employee, serving as a baseline profile, and explore cultural conditioning Prepare to alter materials and programme focus based on these revelations

2. CONNECTION How well is the trainer able to engage the participants? Has the trainer experienced expatriation? Has the trainer had appropriate exposure to the target country? Is the trainer empathetic, flexible and able to encourage discussion? Is the trainer aware of personal issues and concerns which might affect successful family transition? Designing a programme that is participantbased and not dependent on lectures is crucial. Being able to ‘go with the flow’ and adjust to an individual’s emotional as well as intellectual needs is paramount.

A business specialist Experts on family and personal adjustment Former expats from the native culture Host nationals living in the culture of origin

4. CONTINUATION Pre-departure training works well to ease initial fears and answer comparative questions about the culture, but, as we saw above, it can only go so far. First-time expats don’t know what they don’t know. Providing scheduled follow-up in country should be included in a high-quality training programme. Post-arrival support can be accomplished virtually or in person at an agreed time. Most expats interviewed said that being able to reconnect with an expert on the culture was the most valuable part of their cultural training orientation. Repatriation should also be among the line-up of topics, as it is often only a short time away.

Cost? Yes, perhaps we should consider this ‘5th C’. Experience, effort, and extended support all come with a price.

For further information, contact onal Global LT’s regi : es fic of USA 1 888 645 5881

34 | Re:locate | Autumn 2014

UK 8880 44 (0) 750 793 Hong Kong 852 2354 4616 Web locate Global-LT.com/re

POLICY

10th ersary Anniv Year

Global mobility: a changing landscape?

The more things change, the more they stay the same? As Re:locate celebrates its tenth anniversary, Dr Sue Shortland, in the first of two articles, examines the current state of play in international relocation, to see what is new and how issues faced by relocation professionals a decade ago can help those grappling with today’s mobility dilemmas and challenges.

N

ot only is the volume of international mobility increasing: the very nature of the mobility landscape is changing.

One of the first issues to strike an international mobility professional today is the range of destinations in which global organisations operate. As this continues to grow, so the challenges facing the mobility function, assignees and their families appear incredibly complex, even insurmountable.

Changes in destination locations Emerging-market major players such as China are beginning to catch up with, and overtake, the more traditional expatriate destinations, such as the US and the UK. Global mobility is also resulting in a host of challenging and

previously unfamiliar destinations beginning to feature on the international assignment manager’s daily work list.

Such locations, previously off-radar, now include, for example, Argentina, Bangladesh, Chile, Egypt, Indonesia, Iran, Kazakhstan, Korea, Mexico, Nigeria, Pakistan, the Philippines, Turkey, Uzbekistan and Vietnam. Social customs and societal attitudes are very different in these locations, and these countries are likely to prove very challenging indeed for assignees, their accompanying families, and their employers.

Let’s look at some of the statistics. The UK and the USA have typically been the major assignment destinations, but we should be aware that this still remains so today. For example, the Santa Fe 2014 Global Mobility Survey report indicates that 12 per cent of the 1,269 survey respondents

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rank the USA in their top three assignment destinations over the next 12 months, while 7 per cent accord this status to the UK. However, mainland China is reported by 11 per cent, Singapore by 6 per cent, and Germany by 4 per cent.

There is no doubt that, culturally, China presents immense challenges to businesses, assignees and their families, but that is not to say that the other countries do not. Overall, though, as more organisations move into a country, so the pool of expertise in how to manage factors such as immigration, tax, reward, housing, family issues and so on grows, and shared knowledge aids the process of managing expatriates throughout the cycle, from selection through to repatriation.

Changes in sending locations What is changing besides the range of host destinations is the range of home-country sending locations. Increasing globalisation and geocentric talent resourcing result in the selection and deployment of the very best personnel globally to fill positions and provide staff development. The focus is on generating the best return on investment.

As developed countries face declining birth rates, an ageing population and shortages of young talent, emerging markets are producing a wealth of graduate talent. Yet the pace of global expansion into emerging markets is resulting in the demand for talent outstripping local supply. Nonetheless, we are beginning to see expatriate positions worldwide being staffed from emerging markets. Santa Fe reports, for example, that 6 per cent of its responding employers foresee mainland

36 | Re:locate | Autumn 2014

China as one of their top five countries from which expatriate talent will be sourced over the coming year.

We should also assess the scale of the worldwide sourcing of talent, though, to consider how much change is really taking place. Once again, the USA and the UK remain key sources of expatriates; 14 per cent and 12 per cent respectively of the Santa Fe survey respondents note these two countries as being in their top five home-country sending locations.

Organisations have a long history of resourcing from these countries and expertise in managing outbound expatriates and their families – so there is a comfort blanket there, at least. Interestingly, however, the Santa Fe survey reports that France and Germany are noted by 7 per cent and 5 per cent of employers respectively as being in the top five expatriate home countries in the year ahead. Certainly, to see France as a major exporter of expatriates is a change, and suggests that expertise might need to be developed, supported by specific research in that country, to aid outbound expatriate management.

Changes in assignment volumes A further issue briefly touched upon in the opening paragraph that requires further consideration is the volume of expatriation. Year on year, this is reported as increasing. This seems at odds with the requirement to reduce costs, given that the cost of an expatriate to an organisation is cited as being between three and five times that of a local employee (and this figure has not changed over the past decade).

POLICY

Surveys consistently report increasing expatriation, but this is not the case for all employers. Indeed, Santa Fe notes that just under a fifth of its respondents experienced a slight or a significant decrease in assignment numbers last year, while just over a third (37 per cent) said their volume remained the same. We should not therefore ‘talk up’ the market, when less than half of employers (45 per cent) say that assignment volume increased slightly or significantly.

That said, whether assignment volumes are increasing or not, the key focus today is return on investment (ROI) for every assignee sent abroad. This represents a shift in emphasis. In the past, cost control has been king – although it is important to note that ROI and cost control are two sides of the same coin. Today, as in the past, international assignment managers view and pursue cost control in two ways – trimming back policy components (with awareness that too much trimming can have a negative effect on assignees’ willingness to relocate, engagement and motivation on assignment) and ensuring efficient and effective delivery of relocation policy elements.

Careful tax planning and cost projections can help here, and should be – and are – actively used. However, gaining high ROI is not just a matter of cost control of policy elements/expenses and vendor management. The quality of the individuals selected, and their contribution to meeting assignment objectives and strategic organisational goals, is critical. Finding the right person is identified as the most common assignment challenge.

Such destinations are unlikely to have established expatriate support networks, and managers based in traditional sending HQ locations will be thousands of miles and several time zones away, and so unable to provide immediate support. It is therefore also important to ensure that back-up emergency evacuation plans and measures are in place if needed.

Once again, though, it is worth considering whether this is a new phenomenon. The answer is no. Organisations have operated in volatile places for decades: mining and oil and gas firms, for example, have done so in their quest to extract and distribute natural resources. The difference now is that manufacturing and service firms are increasingly entering such domains as they pursue global distribution networks and tap into huge local markets and sources of cost-effective labour supply.

The importance of talent management This brings us to talent management, which has emerged as a major talking point over the past decade. Although talent is defined differently by different people, everyone agrees on the critical importance of getting assignee selection right.

Given the expanding range of home and host destinations and the increasing concern over ROI, the selection and deployment of ‘talent’ (however it is defined) has become the number-one priority.

This is not simply about an individual being able to do the job. High levels of performance in a home-country environment do not simply translate into similar (or higher) levels of performance abroad. This is where culture, language, security, healthcare, housing, children’s education, dual careers, family issues and a whole host of other matters impact on assignees’ ability to do their jobs effectively. And this is where the biggest challenges come in managing assignees, particularly in unknown host-country environments.

When international assignment managers are sending assignees and, potentially, their families into emerging economies, it is critical to ensure that up-to-date intelligence is gathered and that there is on-the-ground support. Current vendors may not have direct experience of such marketplaces, and it is important to check out, and even challenge, their ability to deliver a quality service, thus ensuring that they are able to meet assignees’ needs locally.

Sharing knowledge with those who have ‘been there and done it’ before and operated successfully will help all those in the mobility industry. Those new to particular markets have everything to learn. Those with experience can always learn more through questioning, evaluation and rethinking the issues.

Sharing good practice and adapting it to fit company culture and expatriate profile will help the mobility professionals of today to move forward successfully, just as it did those facing relocation dilemmas and challenges ten or more years ago.

To celebrate Re:locate’s tenth anniversary, we are introducing some exciting innovations to support you in the work you do across global mobility. See p49 for details.

For international assignments news and articles, visit relocatemagazine.com/

international-assignments

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CULTURE IN THE SPOTLIGHT An understanding of culture is key to a successful relocation or international assignment, enabling individuals to settle more quickly and do better business for their organisations.

Dominic Tidey, chief operating officer of the European Relocation Association (EuRA), explains the valuable contribution that providers of destination services can make.

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D

estination service providers (DSPs) across the globe are knowledge specialists. It is their expertise in a multitude of fields that helps corporations, their staff and families to settle into a new life in a new place.

Central to this is their ability to mitigate the likely impact on transferees of the shock inherent in moving from their culture to the new one. Of assignments that end before their planned time, 80 per cent are attributable to a failure to settle into the host culture, and with less than 40 per cent of transferees being given specialised cross-cultural training, DSPs must be the on-the-ground experts.

The traditional approach to training DSPs and their consultants has centred on the research-led dimensionsbased models, but is this traditional approach to training still relevant 40 years on from the first global research project?

In a remarkable 1973 study by Geert Hofstede, data was collected from more than 110,000 people in 70 countries, and it is still an important benchmark. However, other researchers, such as Edward T Hall and Fons Trompenaars, have also contributed significantly, adding dimensions that are particularly useful in the sphere of global mobility.

However, one reason why new pioneers of intercultural theory are looking for different ways of promoting intercultural understanding is that the methodology of the studies doesn’t reflect the true makeup of the societies they examine. Predominantly undertaken with the focus firmly on international business, they fail to take account of wider societal issues such as gender, class, and regionality.

Nevertheless, they form an excellent place to start learning about how to work successfully with people in transition.

Dealing with difference Four dimensions are particularly relevant to both transferees and relocation professionals. The first of these is how we use time.

There are significant differences in the way in which cultures use time and structure activities. For example, one of the most polarised cultures in terms of chronology is Germany. In the business world, this is exhibited in meetings that are highly structured and agenda-driven. The purpose of the meeting is to get the job done, complete all the action points on the agenda, and move forward with the business in hand. This means that interruptions or disruptions are not tolerated.

However, looking at a culture at the opposite end of the chronology scale, such as Italy, a very different dynamic emerges. The agenda is flexible; in fact, the most important item on it is lunch. This is not just because of the Italian love of great food, but more because lunchtime is when relationships are built, or built upon. The business will flow from the trust between the people involved in the meeting.

Without this trust, there will be no business.

How we use time is not just about how we approach a business meeting, but also how we see past, present and future events. Anita Meyer, CEO of am&pm Relocation

Belgium, is keen that her relocation consultants understand the wider impact of this dynamic.

“During conversations with a French executive director,” she says, “one might become gradually aware of his achievements in the past, his excellent marks from a highly respected Parisian university; to him, where you come from impacts on where you are going. This person will be inclined to choose the traditional school for his children, a discreet but classy house for his family.

“A Russian sales manager, however, is more present and future-oriented. His choices are based on getting the most out of today, which explains why a very ostentatiously luxurious house, at the top of his budget, will make him very happy. One individual thrives on the past, the other has eyes for the achievements of his present and his future.”

There are many more ways in which the dimension of time will impact upon the transferee. Anita Meyer again: “In a chronological culture such as the UK, people will wait in line for the bus. If it starts raining, they will not disrupt the queue by leaving this line to stay dry in a bus shelter on the other side of the street.

“To illustrate a synchronic way of acting, there’s the Italian butcher who’s slicing off half a pound of salami, who asks the other customers in the shop whether anybody else needs salami. It makes sense to continue to cut the slices of the same salami, rather than wrapping it up, putting it back in the fridge, and unwrapping it again for the next customer.

Yet the butcher’s question would never be answered with ‘yes, please’ by a Dutch customer, as it is not yet his turn.”

Not knowing the cultural norms of the society you are moving into can cause immediate confusion, isolation and fear. An Italian moving to London will feel very ostracised if he or she is not made aware of the importance placed on queuing. A German in Mexico will feel his colleagues are deliberately disrespecting him if he has not been made aware of the more relaxed attitude to business meetings.

However, we are all individuals and not just examples of our culture, so an understanding of how we use time is useful, but there are still Germans who will be late, and Italians who will follow an agenda! Understanding these intercultural nuances, and acting accordingly, is one of the differences between a great relocation service and a standard one. continues on p40

relocateglobal.com | 39

SECTION HEADING CULTURE IMMIGRATION

Ambiguity and risk

Competition or collaboration The second intercultural dimension critical to the global mobility process is whether we interact in a competitive or a collaborative way. Highly collaborative cultures can be identified by how similar the gender roles are, both at home and in the workplace. A strongly collaborative culture such as Denmark’s has an extremely high glass ceiling, with women able and encouraged to achieve great success in business. In socio-political terms, this manifests itself in government support in the realms of childcare, generous maternity and paternity leave, and enshrined laws protecting the roles and rights of women in the workplace.

Highly competitive cultures like Japan’s exhibit much more traditional male and female roles. Women tend to work only until they have children, and generally speaking in less-senior roles than their male counterparts. Women transferring from a collaborative to a competitive culture as the transferee or the partner of the transferee will find a tension in the adoption of their new role as a different type of citizen within the new country.

Views of hierarchy How we view hierarchy as a culture is a third important aspect in successful assimilation. Individuals from cultures that place great importance on seniority and hierarchy can, at first contact, be difficult to work with from the point of view of the relocation consultant. Their status is clearly higher than yours, and therefore they may regard what you are trying to do with them as trivial.

In societies which place a low level of importance on hierarchy, managers are informal and on a first-name basis with staff, and value highly the experience of their team members. Therefore, they are more likely to get the most from the knowledge capital of the DSP. The Brazilian CEO moving to Vienna will expect a level of deference which is not within the cultural makeup of the Austrian. It’s easy to see how moving from one end of this spectrum to the other would cause conflict and uncertainty.

But again, working with the person as a distinct individual has to go alongside the knowledge of the wider cultural dimensions, and it is here that coaching and leadership skills will come into play.

How a culture deals with risk is the fourth fundamental indicator of how well a transfer may go. As Hofstede puts it, “The extent to which the members of a culture feel threatened by ambiguous or unknown situations and have created beliefs and institutions that try to avoid these is reflected in how they deal with risk.”

With the rise of the BRIC countries, this dimension becomes especially interesting. Russians feel very much threatened by ambiguity, and as a result, they have one of the most complex bureaucracies in the world. Detailed planning and briefing in any project is very common.

The Chinese chief financial officer moving into the regional Russian office may find this need for certainty and clarity very difficult to cope with, as China scores very low on this scale. The Russian colleagues will find the Chinese way of working to be very alien and not structured enough.

Understanding cultural theory For DSPs and relocation professionals, an understanding of intercultural theory and the transfer process is crucial. But it’s also critical in the wider corporate sphere.

One huge growth area in corporate services over the last decade has been leadership and intercultural coaching. With corporate teams increasingly coming from diverse cultural backgrounds, fast team assimilation is of critical importance to businesses. DSPs who have successfully diversified into this field have found a whole new revenue stream.

The traditional approach of looking at intercultural dimensions still has great validity, but it’s only a starting point. Innovations, such as developing cultural intelligence, or cultural quotient (CQ), take the traditional approach as a launch pad for looking further into how we can learn to work with the knowledge of the theory, but on a one-to-one basis, respecting the individuality of the person.

At EuRA, we have spent three years developing an online Relocation Coaching Programme, which uses the intercultural knowledge of all participants to build a picture of how best we can work with each other as individuals. In collaboration with the School for Leadership Development at Oxford Brookes University, the programme is truly global, and those DSPs who have so far undertaken the 12 modules have found that they are better able to communicate with, and assist, transferees.

Knowledge of a culture is a way of truly enhancing a visit to a new country, but ultimately it’s knowledge of the individual that builds a strong working relationship. www.eura-relocation.com

For culture & language news and articles, visit relocatemagazine.com/

culture_language

40 | Re:locate | Autumn 2014

COMPENSATION & BENEFITS

REWARDING

RETURNS on global compensation & benefits?

With changes in assignment types and a shifting compliance landscape, Re:locate’s Winter 2013/14 issue asked if it was time to cash in on change and revisit compensation and benefits.

Ruth Holmes finds out how organisations are approaching the challenges to secure greater cost control, flexibility and competitiveness.

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ontinuing the trend set in motion post-2006 and the global financial crisis, cost control and compliance remain key focuses for global mobility and HR practitioners.

Cartus’s newly released 2014 Global Policy & Practices Survey reports that cost control is the top future mobility challenge (cited by 75 per cent of respondents), followed by compliance (62 per cent, up 12 percentage points on last year) and immigration (57 per cent, up 13 percentage points) – findings echoed across similar sector data sets.

The impact of budget constraints is also making employers seek greater flexibility (67 per cent), suggests the study. Regional need (up 15 percentage points to 36 per cent), changing employee needs (44 per cent, up eight percentage points) and expectations (29 per cent, up seven percentage points), as well as the changing profile of assignment types, are combining to create a demand for more flexible and cost-effective mobility programmes.

The top two mobility challenges for hiring overseas talent, according to the compensation and benefits, global mobility and HR practitioners responding to the latest

Global Mobility Survey carried out by employee relocation and workplace service provider Santa Fe, were family/ accompanying partner complications (55 per cent) and agreeing compensation packages with candidates (48 per cent).

For around half (49 per cent) of the Cartus survey respondents, the solution is to develop more clearly defined policies and processes. A similar number (46 per cent) are interested in containing the costs of their mobility programmes – the second most popular way of improving it after more upfront assignment planning, at 55 per cent.

Mobility policy, compensation and benefits – at the juncture of key challenges around talent management, compliance and overall business strategy – are therefore on the front line of how global mobility can address the key strategic issues of the day. According to professional services firm Towers Watson’s 2014 Current and Emerging Global Benefit Themes study, Employee Benefits: A Headquarters Perspective, multinationals can drive more value from employee benefits, and have “significant opportunities to raise their global game” as a result. continues on p42 relocateglobal.com | 41

COMPENSATION & BENEFITS

Building core-flex strength Employers are responding to the need for continued cost control, further flexibility and compliance focus by adopting global policies with regional variations, according to the Cartus survey, continuing a trend prevalent in the company’s previous two surveys.

Fewer organisations report using a single global policy (28 per cent, down 14 percentage points from 2012), while an increasing number are adopting a global approach to mobility programme administration (up ten percentage points from 2012, to 73 per cent), which covers tiered or core-flex approaches. Nevertheless, around four in ten still rely on ad hoc solutions to maintain the required levels of flexibility.

Employee benefits specialist Michelle Bishop, client development manager at Willis Employee Benefits, has also witnessed these changes. She comments, “The main challenges often relate to compliance and the ability to manage this within a centralised approach, especially as businesses expand further into a larger number of territories.

“For instance, we work with many clients with a large US presence but with a scattering of employees in a number of European countries. These numbers alone do not warrant internal investment in managing policies for these employees, but to manage on a per country basis creates a huge administrative burden for their HR function.

“We’re therefore seeing a greater focus on pan-regional solutions for local nationals and centralised ‘global policies’ for expatriates, to manage multiple populations and locations more efficiently.”

These approaches can combine to “ensure the equitable application of the policy and eliminate individual negotiation,” advises independent global mobility consultant Laraine Nee.

Compliance However, keeping pace with not only the diversity of assignment types but also taxation and immigration rules around the world adds an extra layer of challenge. “The global benefits world is complex, and trends can be benefit-, country- and industry-specific,” explains Michelle Bishop.

Rounding up the main current issues by region, she says, “In Europe, there are many countries implementing regulatory changes to pensions, which will impact all employers operating in these locations.

“For medical insurance, again, there are regulatory changes in the Middle East and US, which impact both nationals and expatriates. The US at the moment is generally focused on the impact of healthcare reform. With regulation still being ‘grey’, a very cautious and measured approach to the application of benefits under regulation is being adopted.

“In the Middle East, there is a keen focus on compliance with regulatory changes being implemented. Africa also

42 | Re:locate | Autumn 2014

represents a large growth target for many, and a growing demand for benefits to meet Western norms for both expats and locals.

“Latin America, too, is an emerging market and growth area. It is a difficult territory to manage due to the limited regulation locally, and poses issues for the acquisition of cover limits for those adopting a host-country benefits structure for expatriates.

“Asia Pacific generally operates in a highly competitive environment, with a keen focus on benefits cost management.”

The benefit of audits With so much flux, Michelle Bishop advocates the advantages of regular benefits audits. “Depending on the industry, we commonly advise that a full review be conducted every three to five years,” she explains. “However, small, focused audits might also be appropriate, dependent upon any organic and acquisitive growth strategies. New locations, risk and compliance regulation present regular challenges and can create a long-term need to effect a change in policy structure.

“As well as providing companies with a full understanding of their benefits structure, the process can highlight risk gaps and exposures, but also duplications in cover. In addition, it provides businesses with an updated understanding of how they compare to the rest of their market sector, which can be invaluable to those operating in highly competitive, talent-driven environments.”

The Towers Watson study agrees. “Our research and experience show that organisations willing to continuously improve their global benefit strategy and management practices – and adopt or adapt what works for others – are better able to manage risks and create opportunities that lead to improved competitive position against their peers.”

Costs: pooling assets and liabilities One approach geared to controlling costs emerging out of mature Western economies, particularly those facing significant company pension liabilities, is pensions derisking, under either a buy-in or a buyout approach.

Broadly speaking, through buy-ins the responsibility for paying the pension of a scheme member who lives longer

COMPENSATION & BENEFITS

than expected falls to an insurer or a bank. The employer has effectively purchased indemnity against longevity.

In buyouts, employers transfer their pension liabilities to a regulated insurer, enabling sponsoring employers and trustees to be fully discharged of pension scheme liabilities.

Reporting on the trend, Frank Oldham, global head of the defined benefit (DB) risk team at Mercer, the human resources, health, talent and financial services consultant, said, “Globally, in 2013, we saw an increase in asset activity, with active or dynamic derisking coming to the fore. We anticipate that the risk transfer market will thrive in 2014.

In the UK, the volume of buy-ins, buyouts and longevity protection transactions increased in 2013, and we also saw more interest from pension schemes in the US and Canada.”

In line with the increasing flexibility required to match diverse employees’ needs, auto-enrolment and further new UK legislation to give people aged 55 and above greater control over how they access their pension pots, Mr Oldham notes, “Liability management tactics, such as provision of flexible options for individuals in DB plans at retirement, are becoming more common in the UK. The picture is the same as in the US. There are now ways and means to offer cash-outs to deferred pensioners, pensioners and even active members. In Ireland, and to a limited extent in Germany, there are also instances of cash-out activity taking place.”

Some employers report difficulty in communicating these new approaches and offering the flexibility to respond to the diverse needs of a multigenerational workforce. The newly released Thomson Online Benefits Global Employee Benefits Watch – a study of 150 HR and compensation and benefits directors and managers working globally – reveals that 38 per cent of companies find it hard to respond to diverse workers’ needs with a flexible strategy. Moreover, it identifies the most common global benefits challenge as “employees’ lack of understanding of the value of the organisation’s total reward programme’.

A similar trend for consolidating employee health and life insurance liabilities is also underway through global insurance schemes. Here companies can achieve greater coordination and cost savings through multinational pooling and exploiting scale: 80 per cent of those surveyed at 2014’s IGP pooling network seminar in Berlin reported that cost control was their primary driver for pooling. This applied to European firms in particular.

However, other studies, such as the research carried out by Employee Benefits and Cigna Healthcare in 2012, suggests significant potential scope for uptake and savings, as 76 per cent of multinationals do not yet use multinational pooling.

Monitoring human capital investment and returns Of course, in addition to facilitating new financial approaches to cost control and compliance, global mobility and HR teams are well placed to ensure that return on investment (ROI) in assignments is maximised through people and their effective management.

“The only way to control costs and measure ROI is by a rigorous upfront talent management programme linked to managing the number of assignees,” says Laraine Nee. “Each assignment should be part of a clear talent management strategy and succession plan set by a top management group, with the goals for each assignment assessed annually.

“Each stream or business should also ensure agreed business justification definitions, such as critical skills – that is, those unavailable at the host destination – integration for leadership positions, professional development of highpotential candidates, or technology transfer.

“The respective parties should also be able to report on and provide key management and financial data – such as total employment costs over domestic home and host, total number of assignees, length of assignments, locations, and diversity (in terms of gender or nationality, for example), – and update management every quarter on whether the business is meeting assignment deadlines and costs.

“For each new assignment, management should be clear on the business reasons for it and its proposed length, together with the goals to be met on assignment and the career plan for the end of the assignment.

“For their part, HR and mobility teams should provide management and financial controllers with a full estimate of the costs, updated annually, of the appropriate policy options, including total tax grossed up, which must be signed off by the financial controller and line manager.”

However, according to Towers Watson’s report, “seven out of ten global or regional benefit managers at multinational companies have limited or no access to timely financial information related to current employee benefit spending”.

This view is echoed in the Thomson study.

Mark O’Brien, a senior consultant at Towers Watson, comments, “It is striking that global and regional benefit managers at many multinationals – which often spend hundreds of millions of dollars on employee benefits annually – do not have this vital piece of information.

“Nowhere else within their businesses would such a lack of management information or oversight be acceptable. The underlying information exists, but needs to be extracted in a structured manner from finance systems, which is often the difficult part.

“From our experience, continuous review and refinement of the global benefit management organisation and its processes, programmes and strategies leads to better outcomes for both employees and their organisations.

“Multinationals that ask themselves the most challenging and strategic questions, and address them, are typically the companies that achieve the greatest value from their employee benefit programmes and spending.”

For international assignments news and articles, visit relocatemagazine.com/

international-assignments

relocateglobal.com | 43

INTERNATIONAL GROUP MOVES – PLANNING FOR THE CHALLENGES Though both domestic and international group moves can be complex for mobility departments, international group moves bring unique extra challenges. Karen Cancroft, director of group move consulting at Brookfield Global Relocation Services, winner of the 2013/14 Re:locate award for Global Relocation Service Provider of the Year, examines some of the more common ones.

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general definition of a group move is the movement of a group of employees as a result of a business initiative. Such initiatives often entail consolidating operations, expanding into new markets, closing facilities, mergers and acquisitions, or the transfer of critical skills.

Those being moved can range from small groups impacting key talent in critical functions to very large groups impacting thousands of jobs across all levels and functions. Not all jobs need to be moved at the same time for the initiative to constitute a group move, and, in many cases, employees are moved in phases that can span several years.

International group moves entail crossing country borders, which adds an extra layer of complexity.

consolidation, candidates from multiple departure countries faced barriers in language and customs which reduced their ability to share and address common challenges. This made adjusting to the new culture and country more difficult, and impacted employees’ willingness to accept the permanent move.

Offering extensive pre-departure support services, such as an area familiarisation trip, will be critical in this situation.

Intercultural competency assessment tools can also help to identify and raise awareness of some of the challenges that the employees and families may face when they begin to settle into their new country.

Challenges and solutions

Moving to a country in which they do not speak the language can be one of the biggest hurdles of the move for employees and their families. While the employee may be able to continue to speak in the home-country language with business colleagues, the spouse/partner and children may have to function in a country whose language they don’t speak.

Children may need tutoring, or to attend a special programme or international school until they develop sufficient language skills to integrate into the standard classroom. This may place a financial burden on the family.

If the spouse or partner attempts to secure employment in the destination country, knowing the language is usually essential.

Time permitting, the optimal solution is for the employee and family members to begin language lessons well before the relocation.

In recent years, the complexity of international group moves has been further heightened by dynamics such as: multiple departure and destination countries; the need to adjust group move global mobility policies in response to budget pressures or employee eligibility; a broader mix of employee levels compared with normal transfer activity; the increase in the mix of assignment types within the same group move; and the frequent lack of advance notice provided to mobility programme managers by corporate decision-makers.

We’ll explore further the challenges a mobility manager should anticipate with an international group move, and present solutions for some of the more common ones.

Culture and adaptability The move may involve a number of employees and families who have never relocated, lived, worked or even travelled abroad before, in which case many of the cultural and logistical challenges that are familiar to experienced international assignees may be completely new to them.

A major pharmaceutical company recently found that these hurdles could pose significant obstacles to achieving desired levels of employee retention. During their global

44 | Re:locate | Autumn 2014

Language

Immigration For group moves involving permanent transfers, permanent residency and work authorisations must be secured, which may be problematic based upon the employee’s destination country, skills and nationality. Some employees may be prohibited from securing the required authorisations because

GROUP MOVES

of their nationalities. In addition, based upon an individual’s job level, education/credentials or salary level, he or she may experience problems securing authorisations.

The spouse or partner may have similar problems securing a work visa. Unlike the employee, he or she may not have secured employment prior to the relocation, and may experience difficulties or delays working in the new country.

The need to coordinate timing in securing visas created challenges during a recent international group move for a global technology leader. The group move project involved training teams who would continue to work closely as units.

Training could not proceed without all members involved, and the project plan called for rotation of teams within set schedules. Although this company had long-term experience in mobility in the global locations involved, the complexity of managing the timing of securing multiple visas resulted in unexpected delays to its training initiative.

Advance notification and accurate citizenship information are the key to a successful immigration strategy. The further in advance that the mobility department is aware of the group move and destination location(s), the sooner the planning process can begin. Having complete and accurate information about every employee and each family member’s nationality and citizenship status is key.

Taxes The amount and type of taxes will affect the employee’s net (or take-home) pay. In most countries, income is taxed in the country or jurisdiction in which it is earned. However, in some countries, such as the US and Australia, taxes are due on worldwide income based on citizenship, regardless of the country in which the income is earned. This can create double-taxation situations, which can make working outside the home country an expensive proposition. While there may be tax treaties in place to limit the consequences of double taxation, it is still cumbersome and creates a need for careful taxation strategy and planning.

The best strategy for managing the tax obligation is to be aware of the various taxes, understand the impact on the employee’s net pay, and determine the company’s tax strategy ahead of the group move. The company should decide and clearly communicate whether the group move relocation policy will include any tax-filing assistance and for what period of time, as well as whether any tax equalisation benefits will be provided.

Compensation and benefits Compensation varies by country, with different philosophies on total compensation and the mix between base pay (ie fixed guaranteed pay) and variable pay (ie non-guaranteed pay).

Cash bonuses, sales incentives, profit sharing and other types of performance incentive will differ from country to country and may result in a very different mix of fixed and variable pay compared with what the employee was familiar with in their departure country.

Even if the gross pay is roughly equivalent, take-home pay may be significantly impacted in countries with high federal, provincial and/or local tax rates. In addition, differences in payroll taxes or social security taxes also impact take-home pay. Engaging a compensation specialist as part of the company’s internal project team will be critical to the success of an international group move. Providing employees with a gross-to-net analysis of their new compensation package will help them to understand and evaluate the financial impact of the move.

In addition to cash compensation, the delivery and funding of healthcare and pension/retirement benefits may be very different from one country to the next. In countries such as Germany and France, a large portion of the healthcare benefits are provided through government-funded social insurance programmes. In other countries, such as the US and Brazil, most of the benefits are provided by the employer. The potential elimination or reduction of a pension/retirement plan may be a significant barrier to employee move acceptance.

It is critical to engage a benefits expert as part of the group move project team. Being able to respond to employee concerns and questions with confidence and accurate information will support the company’s credibility during the move.

The company should evaluate the financial implications to employees of the potential loss of pension/retirement benefits in the departure country and the type/value of benefits that are available in the destination country, and explain the financial impact honestly, so that employees can make decisions with complete, accurate information.

Cost-of-living differences The cost of housing, goods and services will have a substantial impact on the standard of living experienced by relocating employees and their families. Even if the take-home pay is roughly equivalent, the cost of goods and services may be very different in the destination country.

Companies have different strategies for communicating the impact of cost-of-living differences to their relocating employees. The internet makes it easy for employees to research living costs, but much of the information there is confusing, contradictory and inaccurate.

Some companies provide employees with cost-of-living data purchased through reputable data providers. Others focus on providing strong communication around the new compensation and benefits package and the opportunities that the group move may present, both financially and professionally.

The complexities of international group moves are numerous, but, with advance notification and project team participation of group move, tax, and compensation and benefits specialists, the mobility department will be well positioned to anticipate and address them. www.brookfieldgrs.com

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S H OW C A S E YO U R AC H I E V E M E N T S Your team’s success across the year is part of the bigger picture, supporting global growth, stimulating the economy, and showcasing best practice.

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s companies get back into the swing after the summer break and assignees and relocatees settle into their new locations, a new cycle begins, with schools starting their admissions programmes for the next academic year and graduate recruiters targeting universities for 2015’s graduate schemes.

Companies are planning budgets and mobility policies, and getting up to speed with the latest developments in technology and management thinking.

Now is the time to take stock of your achievements and think about your team! Whether you are in HR, global mobility, compensation and benefits, or talent, a supplier service or a specialist in the sector, consider the benefits that winning one of this year’s Re:locate Awards will bring to your team and your business.

What better way to reinforce the value of winning than by showcasing the valuable contribution our winners make to global mobility in their areas of expertise? In this issue, James Walters, of UK immigration practice Smith Stone Walters, winner of the 2013/14 Immigration Team of the Year award, contributes to the great immigration debate.

Karen Cancroft, of Brookfield Global Relocation Services, our Global Relocation Service Provider of the Year, supplies a valuable overview of managing an international group move. Best Property Provider or Solution winner Skyline

46 | Re:locate | Autumn 2014

Worldwide contributes to our Brazil feature with insights into the serviced accommodation market and tips on doing business in the region.

Healix International, our Global Health & Wellness winner, contributed to the health feature in our Summer 2014 issue. Managing change and engagement was key to the success of ING Investment Management India’s Inspirational HR Team of the Year award win. Find out more about motivating your team in our Spring 2015 issue.

In our Winter 2014/15 issue, we’ll hear from IPM Global Mobility, which took the award for Relocation Service Provider of the Year. Our Middle East feature will be the perfect opportunity for Relocation Personality of the Year Mona Radwan to share her views on operating successfully in the region. Francine O’Byrne, of The Relocation Bureau Ireland, winner of Best International Destination Services Provider, will reveal how mobility is contributing to business success in her country.

Employee support is at the heart of successful relocation.

Elite Executive Services, winner of the Excellence in Employee & Family Support award, will share views on supporting families on the move in Australasia and Europe.

If you hear an outstanding presentation at one of this autumn’s conferences, please put it forward for this year’s Inspirational HR Team of the Year award. And if you are

AWARDS

Cheval Three Quays – One of the Collection

RESIDENCES

Serviced apartments, London – the obvious relocation choice We are delighted to be sponsoring the Re:locate Awards 2014 in honour of our commitment to providing property solutions to corporates globally.

Cheval Residences offers unparalleled solutions for global mobility in to London, boasting a collection of luxury serviced apartments in some of London’s most desirable neighbourhoods for both short and extended stay requirements.

For a seamless experience, from organising the accommodation to providing a 'home from home', Cheval Residences understands the needs and requirements of both the relocation teams and employees and their families.

+44 (0)20 7205 2519

chevalresidences.com

AWARDS

presenting at an event over the coming months, why not use the opportunity to showcase your team’s achievements by also entering the Re:locate Awards?

OUR SPONSORS Already, we have sponsors for three of this year’s awards. They are Smith Stone Walters, Skyline Worldwide and Cheval Residences.

James Walters says, “Keeping immigration at the forefront of the business agenda is essential if international companies are to thrive and compete on the global stage. By sponsoring the immigration award, we are endorsing the great work that immigration teams do to keep employees and their families on the move.”

Serviced apartment provider Skyline is sponsoring Relocation Service Provider or Team of the Year for the second time. Its team chose this category because relocation is the main focus of their business and they appreciate how important the sector is to international businesses and the success of corporate housing.

George Westwell, director of Cheval Residences, sponsor of Best HR & Supplier Strategy or Team, says, “The Re:locate Awards are a benchmark of excellence in a challenging and important sector. As providers of luxury serviced residences in London, we are at the sharp end of the relocation process. We understand the huge amount of work that HR teams invest in managing the relocation of staff, and we wanted to sponsor this award in recognition of it.”

JUDGES One of the great strengths of the Re:locate Awards is the independence of the judging panel. A team of experts, with many years’ experience in their specialist fields and the global mobility and relocation arenas, come together to assess the entries and select the winners.

If you are interested in joining this year’s distinguished panel or would like to suggest someone who has the relevant experience and a passion for excellence across relocation, please contact Fiona Murchie via awards@relocatemagazine.com

ENTERING This year, entry to the awards will be simpler and easier, with new online capability via our website.

Find out more when entries open at the end of October. To ensure that international entrants have plenty of time to enter, we have extended the closing date to mid-March.

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AWARD CATEGORIES TECHNOLOGICAL INNOVATION IN RELOCATION INSPIRATIONAL HR TEAM OF THE YEAR BEST MANAGING OR GROWING TALENT INITIATIVE BEST HR & SUPPLIER STRATEGY OR TEAM Sponsored by Cheval Residences RELOCATION SERVICE PROVIDER OR TEAM OF THE YEAR Sponsored by Skyline Worldwide BEST PROPERTY PROVIDER OR SOLUTION FINANCIAL SUPPORT & INNOVATION IMMIGRATION TEAM OF THE YEAR Sponsored by Smith Stone Walters GLOBAL HEALTH & WELLNESS EXCELLENCE IN EMPLOYEE & FAMILY SUPPORT BEST INTERNATIONAL DESTINATION SERVICES PROVIDER RELOCATION PERSONALITY OF THE YEAR

KEY DATES AWARDS WEBINARS November 2014 onwards ENTRY DEADLINE Friday 13 March 2015 GALA AWARDS DINNER Thursday 14 May 2015

Re:1ocate Years

To celebrate our tenth anniversary, we are introducing some exciting innovations to support you in the work you do across global mobility.

Editor’s Breakfasts A series designed to focus on different market sectors, from meeting the buyers to cross-fertilisation across disciplines, tackling challenging agendas, debating the issues of the future, informing governments, and driving change. This is an opportunity to have your say and help shape the relocation and global mobility agenda.

Video & Webinar Interview Series Latin America

Asia Pacific

Coping with property hotspots

Africa

International school places

Oil, gas and energy

Skills shortages and the talent mix

Aerospace industry

The great global immigration

debate

Serviced apartments – unlocking the future

Eldercare on the agenda to en

High-impact supp enterprise, high-flort – entrepreneurs, yers and growth International group mov best practice pays off es –

Technology and global mobility

Setting up in a new dominion

Minimising risk: global healthcare and security

Re:locate Awards series, November 2014–February 2015

Preparing for Digital Natives (Gen Z) Developing women leaders sure mobility

Events

Charity

king Evening International Networ d enjoy a taste of Make new connections an al capital. February 2015 London, the UK’s magic

Support our Gift of Time initiatives, including M agpie Dan ce and the Wo men’s Inte rlink Foundatio n, with fun a ctivities and network ing.

For further details, see our website and Re:locate Extra.

Contact Annabel Letham at annabel@relocatemagazine.com or on +44 (0)1892 891334 about sponsorship opportunities throughout our anniversary year.

relocateglobal.com | 49

MOBILITY

CHALLENGES exploring best practice

Those at the forefront of managing international assignments are dealing with growth and change as their businesses extend their global reach. Fiona Murchie shares two case studies delivered at the recent Symposium Events Expatriate Management and Global Mobility Forum in London.

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e all know that managing assignee populations in a new country is challenging. As well as getting the type of assignment right, there is the tension between cost control and the need to respond to global demand and business growth.

Policy and practice are having to move towards a more flexible approach in order to deploy talent overseas and respond to commercial needs. Equally, there is a shift in compensation and benefits from balance-sheet to more responsive types of compensation package.

Getting it right in terms of compensation and the quality of talent is critical. But now, owing to demographics and an ageing population, there are fewer middle managers with families willing to undertake assignments, mainly because of concerns about education.

Far fewer children now go on assignment, and this isn’t helped by the shortage of international school places in many regions and the cost involved. Concerns about health, together with heightened anxiety regarding security and safety in some regions, are also part of the mix.

50 | Re:locate | Autumn 2014

Add to this resistance from partners and spouses to go on assignment because of concerns about their own career paths and remuneration, and one can see that the role of the HR global mobility manager or overstretched HR team is not easy, particularly against a global background of increased compliance across tax, social security and immigration.

General Motors: coping with difficult locations Managing assignments in difficult locations was brought to life at the Symposium Events Expatriate Management and Global Mobility Forum by Richard Pennington, General Motors’ head of global mobility for the EMEA region. He shared some of the things that went well, as well as some of those that didn’t, and lessons learnt from moving employees to Uzbekistan. This came about when the company took on a new engine manufacturing operation in the capital, Tashkent, as well as an existing manufacturing plant in Andijan.

The objects were the same as for most global mobility projects: to get the right people to the right place at the right time for the right cost. The general approach was Action – Plan – Do – Check.

Richard Pennington urged his audience not to be overreliant on the internet and, if possible, to go and see for themselves. “Nothing beats going to a location – particularly a harsh location – yourself. Get out from behind your desk and go and assess the place for two weeks if you can.”

It was crucial to be able to identify and nurture reliable local sources of information, Mr Pennington said, to be able to listen to them carefully, and then to suspend judgment, to ensure you made the right decisions. He also emphasised the

MANAGING ASSIGNMENTS DUMMY

importance of selecting suppliers on the ground carefully, even if you already have a network of existing suppliers.

Strong relationships in the host location are of paramount importance. In difficult locations, it is particularly important that the local HR, finance and legal staff work with you proactively, as making payments at the right time can be critical. Equally, cultural training and language providers are essential.

take immediate action on some, and delay action on others.

Richard Pennington’s overriding advice was not to make assumptions, because the devil is in the detail and more time spent on planning will pay off. He advised his audience to be prepared to spend more time on difficult and small locations, to act decisively if required, and to enjoy the challenges!

Man with a plan

David Wells, director of global mobility at drinks company Diageo, spoke about his experience of bringing the company’s polices up to date to serve its population of 350 international assignees in 61 countries.

With 36,000 employees across 80 countries and around 40 per cent of its business in emerging markets (primarily in Africa and Latin America), the company was reviewing its policies to align better with the business strategy and to accommodate changing international assignment demographics.

Emerging markets are expected to contribute 50 per cent of sales by the end of 2015. With the overarching ambition to create “the best-performing, most trusted and respected consumer products in the world”, there was the desire to drive down cost, invest in growth, and guarantee growth plans with the right people with the right capability. Inevitably, this meant implementing policies which promoted global mobility.

The principle of being bold in execution, which was highlighted in the company’s performance ambition agenda, gave clear direction. The policy choices needed to be clear and to provide the tools to allow the right choice to be made first time. Administration of polices needed to be simpler while enabling 100 per cent compliance.

The policy review resulted in a change from eight policy types with unclear guidelines and definitions of how to apply, plus inconsistent treatment of transfers, to four simple policy choices. A clear decision tree ensured that the policy choice was right first time and global mobility took ownership of international transfers with a clear IT policy.

Diageo has also made the shift from all benefits being provided in kind to a flexible arrangement based on individual circumstance wherever feasible, which fits the needs of its diverse international assignment population better. By moving from a generous above-market benefits package to median benefit provision, in line with the market and competitors, the company succeeded in saving £3 million in costs, which is being used to underwrite growth plans and ensure the right talent is benefiting from global mobility experience.

As David Wells said, “We provide global mobility polices which guarantee our plans with the right people and capabilities; mobility plays a key role in achieving what talent must do. Fulfilling the company’s ambition to ‘act like owners’, global mobility were empowering international assignees to own their international assignment package and, at the same time, enhance the overall international experience.

No doubt Diageo’s shareholders will drink to that!

In terms of making the plan, Richard Pennington recommended being prepared to think differently and not be drawn into familiar patterns. General Motors works with stakeholders to produce a very comprehensive plan, which includes nearly 150 items.

Procuring property had been difficult, and things could take a long time. Tackling employees’ reservations and nervousness, particularly around health and security, had been overcome by formulating a worst-case-scenario plan that offered reassurance regarding medical and security evacuation. This built and sustained trust.

Hard measures of success are needed. In General Motors’ case, the measure of success was to be 60 per cent uptake.

Good communication is essential, and documenting the process flow gave people confidence in the move. It takes time in such circumstances to gain trust, but honesty is crucial, and trust was built by encouraging questions.

Mr Pennington felt that it was very important for the local global mobility managers to be empowered and to have some flexibility to act in the region. This can be difficult to negotiate, but he saw it as being essential to doing an effective job in that location.

He also advised that it was very important to be able to distinguish the ‘noise’ from the genuine issues. In difficult locations, he warned, there could be a multiplier effect, so get things validated and don’t just rely on what you hear from assignees.

Another piece of sound advice was to visit the assignees regularly. Lessons learnt had included underestimating the power of local landlords, the legal environment and cultural issues, and perhaps focusing too much on the assignees and not enough on their families. Looking under the surface had resulted in some pragmatic remedies, such as problems with internet and expense being overcome by issuing flatscreen TVs and a ready supply of films, plus extra money for Skype and upgrading kitchens.

Assignees’ origins can be important. General Motors was seeing increasing numbers of inexperienced assignees coming from developing regions of China and India. Family issues regarding dependants and schooling, as well as problems with landlords, were of a different nature, and culturally the assignees were reluctant to talk about problems.

This required those responsible for global mobility to think in a different way. By carrying out a detailed formal review every six months, they were able to identify a range of issues,

Diageo: enabling global mobility

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SERVICED ACCOMMODATION

BLEISURE MIXING BUSINESS WITH LEISURE

A heady cocktail too far for corporate HR? Re:locate’s managing editor, Fiona Murchie, shared a panel discussion with Miriam Rayman, cultural intelligence strategist with Flamingo London, and Kelly Murphy, VP of marketing for BridgeStreet Global Hospitality, at July’s Serviced Apartment Summit in London.

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his lively session, chaired by business travel expert Mark Harris, of the Travel Intelligence Network, left an engaged audience of industry professionals to ponder the potential and pitfalls.

Bleisure sounds such fun. Who wouldn’t want to extend their business trip by a few days and enjoy the delights of a European city or a far-flung exotic location in Asia Pacific? But what would corporate HR say to this blurring of business and pleasure? Is it seen as something that helps to aid retention, a reward for hard work, compensation for working away, a corporate gesture that helps to nurture – or will the drive for cost control and accountability put a stop to a potential trend that the serviced apartment industry may see as a golden opportunity for cross-marketing?

It is true that there is a trend towards more flexible benefits and lump-sum payments, but the majority of companies still offer a suite of relocation packages depending on seniority and destination. According to the latest Santa Fe global mobility report, global mobility and HR are the guardians of the relocation purse strings in about 50 per cent of businesses, with divisional management and business units accounting for 16 per cent, and corporate finance 17 per cent.

52 | Re:locate | Autumn 2014

Corporate attitude will also be influenced by corporate culture and the employee brand of an organisation, not to mention the industry sector. Media and creative industry organisations may well have a very different take on the blurring of parameters from the financial sector or government institutions.

Changing demographics mean that stretched middle managers may have family ties that make it essential to keep returning to their home country throughout an assignment, so tacking on a few days’ leisure to a business trip in the region can be very attractive and a way of exploring the wider new location. This is all part of the cultural experience, leading ultimately to doing better business for the organisation.

Kelly Murphy, of BridgeStreet Global Hospitality, explained that bleisure was definitely an area her organisation was exploring through its six distinct brands of accommodation designed to fit the budget and lifestyle needs of both those on assignment and the business traveller.

Indeed, BridgeStreet is about to publish the results of a recent survey, which will reveal how serviced apartment guests fall into the bleisure category.

SECTION HEADING

The term ‘bleisure’ was first coined in 2009 by the Future Laboratory. Five years on, how has the mindset evolved, and what can we learn from that evolution? What socio-cultural forces are impacting on bleisurites, be they travellers or employees, and how do these influence their needs?

Flamingo London’s Miriam Rayman was involved in the original brainstorming that led to the birth of the bleisure concept. It is also about demographics. Back in 2008, she argues, “a whole generation of Millennials were entering the workforce and demanding the set-up be on their terms.

They didn’t want to stay in drab, grey business hotels when they travelled, for a start: they wanted boutique and design hotels. And thus the bleisure traveller was born.

“At that time, we were aspiring towards seamlessness, we longed for life on demand, where we could shop, eat, work whenever we wanted. The bleisure generation was a particularly entrepreneurial type who would turn an evening out over drinks into a networking opportunity, where Facebook could just as easily be a place to win clients.”

But five years on, she argues, things have changed.

She thinks people now want a more compartmentalised lifestyle because “the blurring of business and leisure left us feeling burnt out, and stressed that we weren’t doing either business or leisure particularly well.

“Gone are the days of the dichotomous work/life paradigm, but that doesn’t mean we don’t hunger for a bit of structure now, too. People are developing their own rituals to act as anchors in this increasingly fluid world.

We are putting some seams back into our seamless lives.

The thing is, after five years of being promised seamless

living, we’ve realised it is actually quite stressful and can leave us exhausted.

“So whilst the bleisure traveller will want to be able to access the ‘new utilities’ of high-speed connectivity and other business facilities, they will also require space to switch off, disconnect from work, and plug into their locale. Smart brands are those that can design products and services for our blurred lifestyles and also help us to compartmentalise when needed.”

If this is true, then the serviced apartment providers can certainly deliver at both ends of the spectrum. Whether it is the provision of extra services or simply making guests feel more comfortable, the industry is already doing a lot to help its business guests plug into the local scene, get to know the neighbourhood, and feel more like locals than travellers.

From restaurant and shopping advice to laying on special events and activities, those at the forefront are already wellversed in helping assignees to feel at home, extending their stay, and welcoming family members. This is one step away from booking the next business trip with the same provider under one of its other brands, which could be perfect for mixing business with pleasure.

With good tracking and management systems in place, who picks up the tab shouldn’t be an issue, and corporate HR can also tick the duty-of-care box if it is easy for the assignee to choose a trusted brand rather than going ‘off piste’ in what may be a challenging location.

What are your views? Let us know by emailing editorial@ relocateglobal.com

relocateglobal.com | 53

SERVICED APARTMENTS

the relocation picture

A number of new trends and challenges were discussed at the Serviced Apartment Summit held in London this summer. Fiona Murchie reports.

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urope is the second-largest serviced apartment market in the world after the US, and although it is relatively young, having emerged over the last 20 years or so, the volume across the region means it is a force to be reckoned with and has some influence on definitions for the future.

As countries such as Germany and the UK compete for market share in the emerging markets, so their influence is important in the battle of the brands, and in terminology.

Corporate business based in Europe has as strong an influence as corporate business based out of the USA, and perhaps the US global brands need to listen to European businesses if they want a share of their global market. The latest Santa Fe global mobility survey shows that the USA is expected to continue to top the relocation destinations table for the next 12 months but is followed closely by China, with the UK third, followed by Singapore and Germany.

We know from the Global Serviced Apartments Industry Report that the main concentrations of serviced accommodation in Europe fall in London, Paris, Geneva, Dublin, Brussels and Berlin, but the products vary widely, with different standards across countries.

Jo Layton, of The Apartment Service, representing Europe at the Around the World discussion session at the summit, commented that the serviced apartment picture in Europe ten years ago had been hugely fragmented, with virtually no distribution across the continent. Today, she said, there is a huge challenge but also an opportunity to make the product clearer.

Ms Layton partly explained the confusion in the European market by the number of languages spoken and the different tax systems, legislations and currencies that made it difficult for global agencies to know what they were selling.

She was clear that the industry needed to clarify its offering in order to move forward, and that the global and US providers must listen to the buyers in Europe. For example, although Paris was defined as a mature market in an earlier session

54 | Re:locate | Autumn 2014

given by HVS, with a lot of aparthotels and an existing rĂŠsidence de tourisme classification of one to five rooms with kitchenettes, in terms of catering for the relocation market, which requires longer-stay serviced apartments, the market was still immature.

Germany has a newly created classification scheme known as Certified Serviced Apartment.

The HVS report states that France, Germany and the UK are all creating clearer industry terms and definitions, if not certification schemes, for serviced apartments, which it sees as imperative if industry-wide understanding, security and transparency are to be fostered.

According to the Santa Fe report, 76 per cent of the clients surveyed offer temporary housing, with 62 per cent providing destination services support. Net assignment activity is expected to grow by 29 per cent over the next 12 months.

The biggest growth is expected to be in the professional services and consulting sectors.

And who will be moving? Well, it’s the managers, at 58 per cent, with specialists and technical experts following at 44 per cent. Engineers and oil and gas experts are most in demand. Senior executives at president, vice-president or director level will also be on the move.

With short-term assignments now accounting for 46 per cent of relocations, the message for the serviced apartment sector is clear.

Other global mobility surveys, too, show that companies are planning an increase in relocation over the next year. Serviced apartments will be needed, as 76 per cent of organisations offer temporary housing as part of their benefits package.

With 52 per cent of companies surveyed having only one or two staff in their global mobility team, it is also clear that relocation professionals working for relocation management companies and destination service providers should be the serviced apartment industry’s new best friends if they want a share of the corporate relocation market.

SACO, Broad Quay Apartments, Bristol, UK

SERVICED ACCOMMODATION

SERVICED ACCOMMODATION

What’s in a name?

After years of putting forward the serviced apartment case and educating corporates about the benefits of this accommodation solution, I was perturbed to hear of an attempt to change the terminology in Europe.

Length of stay currently determines the product. It is all about the distinction between aparthotels, which accommodate shorter stays of a few nights and operate on the hotel model, and serviced apartments, which are typically looking for stays of four to six weeks or longer.

The introduction of the alien US term ‘corporate housing’ to the UK and European markets would surely set the clock back and add more confusion to this young property sector.

It already struggles to educate its marketplace, but recognises the need for clarity and is making strides as it seeks to keep pace with the growth agenda and satisfy the need for consistent quality, compliance and trackability.

After the sterling work done by members of the Association of Serviced Apartment Providers (ASAP) in the UK to educate the corporate marketplace, promote quality standards and introduce an accreditation scheme, changing the vocabulary to ‘corporate housing’ would surely be a retrograde step.

In the UK and Europe, the corporate world of HR and its relocation service providers understands the terminology.

There is always more work to be done on clarification of offering, but progress has been made.

In the long term, an international accreditation scheme may be the answer, but as this hasn’t been achieved in the hotel industry, it seems to be an unrealistic goal in the short term, when providers are focusing on chasing growth in both existing and new markets.

There is strong demand for the right product, and the leading global brands are striving to clarify their levels of offering. BridgeStreet Global Hospitality, Oakwood and The Ascott Limited are just some of those that have made huge strides over recent years.

SACO Apartments has a clear and respected brand and is managing to move into international markets, bringing its loyal corporate clients with it. New initiatives such as the TAS Alliance represent a network of independent providers and the potential framework for tiers and consistency.

If the corporate relocation buyer is the prize, perhaps a little more consultation with both the corporate global mobility professionals and the relocation service providers would be wise.

Does the terminology matter? Email editorial@ relocatemagazine.com with your views.

For serviced apartments news and articles, visit relocatemagazine.com/

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Securing a place at a

TOP UK SCHOOL Securing a place at a select fee-paying school in the UK is becoming ever more competitive as top public schools report long waiting lists and overseas students and their families look to a British education as a stepping stone to a coveted university place in the country. Rebecca Marriage investigates what is happening in British independent schools today and what families making an inbound transition to the UK will need to consider when making a school application – including preparation for entrance examinations and, critically, the timing of applications.

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ndependent reports suggest that more international students than ever before are attracted to the UK by the quality of its schooling and the route into a highly respected higher education which that schooling can provide. The Independent Schools Council (ISC), the body representing the UK’s independent schools, reports in its 2014 Census that there are just under 25,000 overseas pupils studying in the approximately 1,250 British private schools. That figure represents pupils whose parents remain in their country of residence; a further 11,000+ pupils with

56 | Re:locate | Autumn 2014

foreign passports whose parents live in the UK are reported for the first time this year.

A British independent education has long been recognised as a passport to future success, but in its latest PISA (Programme for International Student Assessment, a worldwide study of 15-year-old school pupils’ performance in mathematics, science and reading) rankings, the Organisation for Economic Co-operation and Development (OECD) placed its stamp of approval by rating UK private schools among

SECTION HEADING EDUCATION

the best in the world in preparing pupils to be successful in today’s globally mobile society.

Registration and annual fees The average overall fees for attendance at a British independent school are up by only 3.9 per cent this year. This represents the lowest annual fee rise since 1994. However, the costs are not inconsiderable and vary hugely across the regions and between schools. The overall average termly fee is £9,596 for boarders, and the average day fee is £4,241.

Regional differences can be extreme. For example, the average boarding fee in Wales is £7,953 per term, compared with £11,168 in Greater London. Likewise, day fees in the

North of England average £3,333 per term, against an average of £4,940 in Greater London.

Public schools such as Wellington College, in Berkshire, and Dulwich College, in South London, represent some of the UK’s most highly sought-after schools for foreign and domestic students. As would be expected, their fee structure reflects the quality of education and opportunities available, with termly fees registering just above the average.

Also worth considering are the registration, enrolment and overseas pupil deposits that some schools require. Many of these are fully refundable on leaving the school. However, they are significant sums of money; an overseas deposit can be as much as £10,000 in some cases. Most schools will request a registration fee even before an application is made, to register the family’s interest in the school, but this is usually no more than a couple of hundred pounds.

It will be helpful for professionals to be aware of some of the pitfalls for families when negotiating admission to fee-paying schools. Matthew Cook, managing director of Castle Consulting, which offers help to families looking to secure a place at a UK school, points out that, when parents accept a school place, they are very often agreeing to pay the first term’s fees, and could find themselves owing money to a school they are not attending.

“When it comes to accepting a place at a school, parents do need to be mindful of responding in a timely manner and that a deposit is usually required,” says Mr Cook. “In accepting

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EDUCATION

a place, you are entering into a legally binding contract and will be liable for fees whether your child attends the school or not. This can be problematic for families when a child is offered places at more than one school. It is also worth bearing in mind that there will be a notice period (usually one term) should you wish your child to leave the school.”

Timing of application and entry to UK schools It is worth noting that the timing of entry into some of the UK’s top public schools is structured around the completion of entrance tests and assessment days.

For example, most pupils join Wellington College when they are 13+, in what is known as Year 9. However, the closing date for accepting registrations is at the end of December in Year 6. This period allows for pupils to sit an entrance test in Year 6 and to attend an assessment day at the start of Year 7.

“Once we have confirmed registrations and details with families, we then ask all candidates to sit the ISEB [Independent Schools Examinations Board] Common Pre-Test in the second half of the Lent Term of Year 6,” explains James Dahl, admissions director at Wellington College. “This usually takes place at the Prep School, and a small number of candidates come to Wellington to do this.

Overseas candidates can take the test at a British Council or an approved testing centre.”

Successful pupils will then be asked to a September assessment day, which consists of a number of interpersonal activities, such as interviews, mock lessons and group tasks.

“By getting to know the characters, strengths and personalities of each and every candidate during their day with us,” says James Dahl, “we hope to adopt a ‘whole child’ approach to the assessment process. Candidates who we feel are the best all-round fit for Wellington will be offered a conditional place, subject to success in Common Entrance, Academic Scholarship, or the college’s own entrance examinations, which are taken in Year 8.”

International schools There are many schools in the UK with a solid international academic reputation that do not require such lengthy leadin times, however. The International Community School (ICS), an international school in the heart of London that celebrates its 30th anniversary this year, operates a yearround admissions cycle.

“There are no application deadlines,” explains Tejal Patel, director of admissions, “and, space permitting, ICS can admit students year round. Applications can be made up to one year before the next academic year; availability of places may be subject to the outcome of the school’s pre-registration process, which is completed at the start of the third term. continues on p60

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ICS is an international day school located over 3 sites in the centre of London. We offer the R 35 Y E A R International Baccalaurate Programmes (Primary and Middle Years Programme and Diploma) to children aged 3-18yrs. ICS has a diverse community with 45 different nationalities, and boasts a strong tradition of working with students in a highly personalised tuition framework in a rigorous but supportive environment.

For students needing English language support we offer our customised preparation programme. We also welcome and provide outstanding support to children with special educational needs (SEN). All our students benefit from a wide ranging sports & activity programme. This year ICS is proud to be celebrating 35 years of offering international education.

EDUCATION

For older students looking to enter a UK school, Matthew Cook advises that careful thought be given to academic preparation. “For students coming to study in the UK, especially those coming in their mid-to-late teens to study A levels or the International Baccalaureate Diploma, English-language proficiency and proper academic preparation are vital.

“A levels, the International Baccalaureate Diploma, International A levels and Pre-U courses are all challenging programmes, even for those who are fluent in English and have taken GCSEs, International GCSEs, the International Baccalaureate Middle Years Programme, or similar courses.

It is important that students who may need to develop their English-language skills or certain academic areas begin this process as soon as they are aware that they are coming to the UK, in order to give themselves the best chance of gaining entry into their preferred schools, and in order to be successful in their chosen courses.”

Language requirements

“Our process of admissions is through an assessment of materials requested during the application stage, which includes prior school reports, teacher references and an applicant questionnaire. Visits to the school are recommended, but are not a compulsory part of the admissions process.”

Preparing for admission from overseas For the many overseas students who will be facing an entrance test or a new academic programme of study, it will be worth making the necessary academic preparations to ensure a good chance of success.

Some overseas students prepare for UK private school entrance exams long in advance of taking the entrance assessments, and engage the help of a tutor in their home country. William Stadlen, managing director of Holland Park Education, a London-based tuition company and education consultancy, explains that its services are increasingly soughtafter around the world. “Our team of professional teachers are in demand throughout the year,” says Mr Stadlen. “We add value by identifying the line of best fit for an individual child, and by plotting out a course for a family to sail seamlessly through the process of educating their children in the UK.” From its offices in London and Dubai, Holland Park has tutors available to visit families in their home country and prepare them for the tests that may be required to gain entry into the UK’s top public schools.

60 | Re:locate | Autumn 2014

Although support for pupils who do not speak English will be given in many schools in the UK, it is often a requirement that pupils are able to demonstrate a degree of competence in the English language.

“Initially, it may be worthwhile looking for schools with dedicated English-language preparation programmes,” advises Matthew Cook, “and/or talking to schools about the support that they can realistically offer to students.”

But even for pupils who have a limited grasp of the language, there is some flexibility. For example, ICS pupils study the International Baccalaureate Programme and are given the option of joining a parallel preparation programme to help develop their fluency in English.

At Wellington College, all students for whom English is a second language are tested on arrival, and recommendations are made as to the most appropriate support. “Some students may have a slightly reduced timetable, to allow them to take extra English-language lessons, and workshops are available for tuition, advice and voice coaching,” explains James Dahl.

“EAL [English as an Additional Language] students are advised to read and speak English as often as possible, and to follow the news on the radio and in the newspapers.”

With recent research revealing that some 64 per cent of privately educated A-level students in the UK secured places at the most selective British universities, such as Oxford, Cambridge, and London’s Imperial College and University College, the international appeal of a British private-school education is not hard to understand.

The academic preparation, rigid timing and level of fees involved mean that such an education will not be for everyone. As with all relocation-related school moves – whether international or domestic, state-funded or feepaying – families will need knowledgeable advice and help with planning their child’s education options to ensure a smooth transition.

EDUCATION

Points for parents to consider on a school visit • Do they feel welcome as they enter the school?

• Are the staff friendly and confident?

• Are pupils involved in the school tour? Are the children friendly, polite and confident?

• How will the school communicate with parents? Does it produce regular newsletters? Can parents see copies?

• What are the displays on the walls like? Are there photos of children engaging in lively, interesting activities, such as field trips and community involvement?

• Are the school resources well treated and respected?

• Will their child have an orientation visit or be given a

• How long has the headteacher been in post? (Provides

• What extra-curricular activities are available, and how

evidence of stable leadership.)

buddy to help them settle in?

many of them are free?

• Can parents take a look at a break time or a lunch period • How much involvement is there for parents in a parents’ to see how the pupils interact? Do children have a good relationship with staff?

organisation? Does the school offer programmes and support for accompanying partners?

• Are the administrative staff friendly and helpful? These

are the people parents will be communicating with on a daily basis.

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SECTION HEADING EDUCATION

EUROPEAN EDUCATION Choosing a school Helping a family to find a good school in their new location has never been more important. Time and again, research has proved that poor family adjustment can be one of the biggest causes of assignment failure. Rebecca Marriage offers a stepby-step guide to choosing a new school, to help families make a smooth transition.

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ccording to the latest Cartus Trends in Global Relocation Survey, ‘inability of the family to adjust’ is a leading reason for assignment failure. But, unlike some of the more challenging parts of the world and emerging markets, which can be perceived as unsuitable for families, schools in the UK and Europe can offer the chance of a smooth cultural exchange in a wide variety of school types, including some of the world’s longest-established international and local schools.

Many state schools in the region are the envy of the world for their quality teaching staff and excellent academic results, and the reputation of some of the big-name private and international schools is known to many. But finding a home and school which tick all the boxes is no easy task, as the most desirable – and most expensive – locations often fall within the catchment area of good schools.

“Parents should make sure they look for a school before they decide where to live,” advises Kim Burgess, external relations director at the British School of Brussels. Casting the net wide to start with can help families to understand what they really want from a home and school, and where they would be prepared to compromise. Oversubscribed state schools in England, for example, will require families to live within their catchment area if they are to stand a chance of being offered a place, so it’s important to ensure that their chosen home is both affordable and falls within the designated area of their chosen school.

Likewise, deciding between local state schools, independent fee-paying schools and an international school will depend on budget, as well as on other considerations, such as length

EDUCATION

of assignment and the standard of education available in the area. On a longer assignment or permanent transfer, families are likely to want to make more of an effort to integrate into the local community and concentrate on developing their knowledge of the local language, making the country’s state and independent schools an attractive option.

International accreditation When it comes to selecting an international school overseas, Andrew Wigford, managing director of Teachers International Consultancy, an organisation for international school recruitment, suggests that families might also want to consider whether the school is a member of a respected organisation such as COBIS (the Council of British International Schools) or CIS (the Council of International Schools).

“Many of these organisations have codes of practice and standards that schools need to maintain,” Mr Wigford says.

“It’s important to look for registered, accredited international schools to ensure the best learning support.”

Visit the schools No matter how much information about their preferred schools families gather in advance, there is no substitute for visiting a school in person. “Parents should feel free to ask questions and to use the time to get to know the school as best they can,” says Elizabeth Sawyer, of Bennett Schoolplacement Worldwide. “Provided that questions are asked in polite

fashion, schools will appreciate parents’ interest, and so they should not feel embarrassed or shy about asking ‘too many’ questions. Good schools will be eager to provide information and reassurance.

“Ultimately, parents should be able to feel that they can envision their child in a given environment and feel confident that the school will have the resources and desire to support him or her appropriately.”

For a useful checklist of points for parents to consider when visiting schools, see p61.

Kim Burgess suggests asking if the school provides options for prospective parents to talk to current families. This enables parents to ask candid questions about the school environment, as well as offering a potential network of essential support after the move. All new families at the British School of Brussels are welcomed into the Friends of BSB association, where parents are able to make new friends, meet other families, and get involved in the school community.

Finally, it is important to remind families that a happy child is likely to be the key to a successful relocation. “Choosing a school for one’s child is not about keeping up with the Smiths or simply having a well-known school name on one’s child’s academic record,” says Elizabeth Sawyer. “While those things may be nice, what’s more important is to choose the best-fit school for one’s particular child, and to find the environment where he or she will thrive – academically, socially and emotionally.”

Read the full version of this article on relocateglobal.com

Celebrating 50 years of education at Mougins School Mougins School has been installed on its present site since 1987. It follows the British curriculum, offering an advanced international programme to students aged 3 to 18 years of age. With nearly 40 nationalities, the School’s philosophy promotes tolerance and unders tanding of cultural differences.

The purpose-built campus has state-of-the-art facilities which include 4 Science Laboratories, 2 IT Suites, 2 Art Studios, Library, Gymnasium, fully-equipped Performing Arts Hall. Sport, Music, Art and Theatre are an integral part of the programme. The caring family atmosphere assists new students and families and promotes lifelong friendships. A wide-ranging programme permits students to achieve their potential and enter into prestigious universities world-wide.

For further details please visit our website or make an appointment to visit Mougins School

www.mougins-school.com - information@mougins-school.com - Tel: 04 93 90 15 47

Keep up with daily news on relocateglobal.com

FTSE350 pension funds’ funding levels fall

The results of a new risk survey from Mercer show that the accounting deficit of defined benefit (DB) pension schemes for the UK’s 350 largest companies increased significantly during July.

According to the data, the estimated aggregate IAS19 deficit for the DB schemes of FTSE350 companies stood at £116 billion (equivalent to a funding ratio of 83 per cent) at 31 July, compared with £112 billion (equivalent to a funding ratio of 84 per cent) at 30 June.

At 31 July, asset values were £583 billion and liability values were £699 billion. At 31 December 2013, pension scheme deficits stood at £96 billion, corresponding to a funding ratio of 85 per cent.

“Despite intermittent improvements in funding levels, the broad trend of a gradually increasing month-end deficit, witnessed since the start of the year, continued over July,” said

Ali Tayyebi, senior partner in Mercer’s retirement business. “Employers’ cash contributions are decided based on the scheme’s deficit, which in turn is calculated based on funding levels agreed between the employer and the trustees.

“So, for many companies, this deficit is now often considerably lower than the IAS19 accounting deficit that they are required to calculate and report on in their accounts. The gap between these two deficits is unlikely to shrink unless there is a significant change in financial market conditions.”

Adrian Hartshorn, senior partner in Mercer’s financial strategy group, added, “As the fall in funding levels used for accounting purposes is not being mirrored in the funding levels used by scheme trustees to determine cash contributions, there are opportunities

Global competitiveness rankings published Switzerland topped the rankings in the World Economic Forum’s (WEF) annual Global Competitiveness Report, with Singapore in second place.

The US was third on the list – two places higher than in 2013 – thanks to improving competitiveness. Finland, in fourth place, and Germany, in fifth, both dropped down a place.

The WEF, which is based in Geneva, rates countries on a dozen criteria, including infrastructure, technology, education and training, labour-market efficiency and innovation.

It warned that, despite years of “bold monetary policy” since the 2008 crisis, the global economy could be at risk from “uneven implementation of structural reforms across different regions and levels of development.”

For more on the US business and relocation scene, see p14.

64 | Re:locate | Autumn 2014

for pension scheme sponsors to negotiate lower cash contributions and also to take advantage of higher funding levels by implementing risk management actions through changes to investment strategy. They can also take advantage of the additional flexibility introduced by the Chancellor’s March Budget and now confirmed by the subsequent consultation exercise.”

In our Winter 2014/15 issue, we’ll look at recent changes in pensions legislation and their implications for employees and international assignees.

Business Secretary

visits translation company Business Secretary Vince Cable has visited language solutions provider thebigword at its Leeds HQ. The visit coincided with the latest campaign to promote apprenticeships and the next phase of the Apprenticeship Standards.

Dr Cable toured thebigword’s global hub, which manages language projects from 13 offices in 12 countries, and met apprentices working on translation and interpreting projects and linguist recruitment. More than 120 apprentices have undertaken the programme, and 64 per cent have progressed to full-time jobs with the company, which has been named a Top 100 Apprentice Employer and won a Leeds City Council Apprenticeship Award.

After his visit, Dr Cable said, “For too long, there has been a divide between university and vocational education which has been damaging for both employers and young people. Placing university degrees and apprenticeships on an equal footing will help break down barriers and better meet the needs of business.”

NEWS & ANALYSIS

Growth slows

but outlook ‘remains bright’ The UK’s economic growth slowed in the three months to August, but expectations for the next quarter remain strong, according to the latest growth indicator from the CBI. The business organisation’s survey of 771 respondents across manufacturing, retail and services showed continued growth in the private sector, with a balance of +21 per cent in August. While the pace of growth slowed to a five-month low (down from +29 per cent in July), it remained well above average.

Sales volumes in the retail sector grew strongly, but growth eased in manufacturing and business and professional services.

The outlook for the next three months is particularly robust, the CBI says, with expectations for growth (+38 per cent), only

marginally below the record high (since 2003) set in April (+42 per cent).

Rain Newton-Smith, the CBI’s director of economics, said, “There are a few early signs that momentum in the economy may ease slightly in the second half of the year.

“However, growth is set to remain robust, and there are positive signs that the recovery is continuing along the right track.

“Alongside the strong showing from the retail sector, it’s encouraging that firms feel particularly upbeat about growth prospects as we head into the autumn.

“Businesses will continue to keep a weather eye on developments overseas,

UK seeks to attract top Indian talent UK Deputy Prime Minister Nick Clegg, leading the third high-level UK trade and cultural delegation to India in a year, met Indian Prime Minister Narendra Modi in New Delhi over the summer to discuss trade, climate change and education.

Mr Clegg said, “Prime Minister Modi has set out a visionary agenda, and the UK wants to be India’s partner of choice on its economic journey. I want to rekindle the Great British love affair with India and keep attracting top Indian talent to the UK to study and work.

“I want to increase trade and investment, improve our strong historic education links, and bind our cultural ties further. What this means is jobs, growth and security for our two nations.”

The next issue of Re:locate Global Asia Pacific, our new digital magazine, will be published in November.

as subdued prospects in the Eurozone and international political uncertainty make the global economic environment that bit more challenging.”

David Sapsted’s analysis of the current state of the UK economy is on p6.

The challenges of emerging locations Emerging economies across the globe mean we’re seeing a rise in assignments to challenging locations. But with the biggest cause of assignment failure being the inability to adjust to the host location, companies are having to adapt their policies and support levels for employees being placed in these areas, says Peter Sewell, regional director, Crown World Mobility.

Housing, transportation, significant cultural differences, insufficient medical facilities, and language barriers are all forces to contend with in new and emerging markets.

For companies considering a move to short-term or rotational projects instead of long-term assignments, considerations around cultural and language training, nearby schools for families, and accommodation should play a key part in the support programme provided.

Attracting candidates with the right skillset and likelihood of adapting, as well as the cost implications associated with these destinations, often means that tactical project-based assignments are considered in the short term – at least until these challenging locations develop their governance and infrastructure. www.crownworldmobility.com

relocateglobal.com | 65

DIRECTORY

Re:directory AREA GUIDES

Essential Contacts...

PROFESSIONAL ORGANISATIONS

RELOCATION MANAGEMENT COMPANIES

Contact: Fiona Murchie

Association of Relocation

360 Relocations

Tel: +44 (0)1892 891334

Professionals (ARP)

Contact: Tony Squire

Email: relocation@profilelocations.co.uk

Contact: Tad Zurlinden

Tel: +44 (0)1923 235360

Website: www.profilelocations.co.uk

Tel: +44 (0)870 073 7475

Email: sales@360relo.com

Area: National

Email: enquiries@arp-relocation.com

Website: www.360relo.com

Website: www.arp-relocation.com

Area: Worldwide

BANKING

Area: National

NatWest Global Employee Banking

Chartered Institute of Personnel and

Contact: Neil Barsby

Development (CIPD)

Tel: +44 (0)1245 355628

Tel: +44 (0)20 8612 6200

Email: neil.barsby@natwestglobal.com

Website: www.cipd.co.uk

Website: www.natwestglobal.com

Area: National

Profile Locations

Area: Worldwide

European Association of

DESTINATION SERVICES PROVIDERS

Relocation Professionals (EuRA)

Profile Locations

Contact: Tad Zurlinden Tel: +44 (0)870 072 6727

Beswick Relocation Services Contact: Oliver Beswick Tel: +44 (0)1477 533533 Email: oliverb@brsuk.com Website: www.brsuk.com Area: National & International

Cartus Contact: Nigel Passingham Tel: +44 (0)1793 756000

Email: enquiries@eura-relocation.com

Email: trustedguidance@cartus.com

Contact: Vanessa McConnell

Website: www.eura-relocation.com

Website: www.cartus.com

Tel: +44 (0)1892 891334

Area: International

Area: National & International

FOCUS

Connells Relocation Services

Contact: Alessandra Gnudi

Contact: Simon Robins

Tel: +44 (0)20 7937 7799

Tel: +44 (0)1635 271271

Email: agnudi@focus-info.org

Email: simon.robins@connells.co.uk

Website: www.focus-info.org

Website: www.connellsrelocation.co.uk

Area: London, South East

Area: National & International

Email: relocation@profilelocations.co.uk Website: www.profilelocations.co.uk Area: London, South East, Aberdeen

Quintessential Relocation Consultants Contact: Jo Stoddart Tel: +44 (0)1481 257200 / (0)1534 854574 Email: info@qrcci.com

The Relocation Network

Website: www.qrcci.com

Contact: Deborah de Cerff

Area: Channel Islands (Guernsey, Jersey)

Tel: +61 (0)4225 77724 Email: deborah@relocationnetwork.com.au

HCR Group Contact: Sally Kelly Tel: +44 (0)1256 313780

INTERNATIONAL EMPLOYEE BENEFITS

Website: www.relocationnetwork.com.au

Email: skelly@hcr.co.uk

Area: Australasia

Website: www.hcr.co.uk

William Russell Limited

PROPERTY

Contact: Zoe Lawrance Tel: +44 (0)1276 486477 Email: zoe.lawrance@william-russell.com Website: www.william-russell.com Area: UK, Middle East, Far East, Asia, Europe, Africa

IMMIGRATION SERVICES Paragon GeoImmigration Contact: Elaine Martin Tel: +353 (0)1811 6630 Email: emartin@paragongri.com Web: www.paragongeoimmigration.com Area: Worldwide

Area: UK & Worldwide

Eyes On Inventories Contact: Barbara Eyeson Tel: +44 (0)20 3691 4950 Email: info@eyesoninventories.co.uk Website: www.eyesoninventories.co.uk Area: National

RECRUITMENT First Choice Staff Contact: Lorne Jennings Tel: +44 (0)20 8529 2981 Email: lorne.jennings@firstchoiceuk.com Website: www.firstchoiceuk.com

Interdean International Relocation Contact: Rob Lucas Tel: +44 (0)20 8961 4141 Email: rob.lucas@interdean.com Website: www.interdean.com Area: Worldwide

Paragon Relocation Contact: Liam Brennan Tel: +44 (0)20 7559 3412 Email: lbrennan@paragonrelocation.com Website: www.paragonrelocation.com Area: Worldwide

Area: National & International

SIRVA Worldwide

Pro-Link GLOBAL

Red Recruit

Contact: Andrea Elliott

Contact: Caroline Seear

Tel: +44 (0)20 3004 9276

Tel: +44 (0)1621 840600

Tel: +44 (0)1793 606527

Email: info@pro-linkglobal.com

Email: caroline.seear@redrecruit.com

Email: alistair.murray@sirva.com

Website: www.pro-linkglobal.com

Website: www.redrecruit.com

Website: www.sirva.com

Area: Global

Area: Worldwide

Area: National & International

Contact: Alistair Murray

To advertise here, or in our online directory, please call: +44 (0)1892 891334

DIRECTORY

Team Relocations

Dwight School London

Oakwood Worldwide

Contact: Colin Atkins

Contact: Mrs V Rose

Contact: Claire Barrie

Tel: +44 (0)20 8955 1312 Email: colin.atkins@teamrelocations.com Website: www.teamrelocations.com

Tel: +44 (0)20 8920 0637 Email: vrose@dwightlondon.org Website: www.dwightlondon.org

Email: oakwooduk@oakwood.com

Area: North London

Website: www.oakwood.com

Area: Worldwide

International Community School Weichert Workforce Mobility Contact: Andreas von Strachwitz Tel: +44 (0)1293 813838 Email: avonstrachwitz@weichertwm.com

Contact: Laura Thompson

Refresh Accommodation

Email: laura.thompson@ics.uk.net

Contact: Ross Patterson

Website: www.icschool.co.uk

Tel: +44 (0)845 680 0080

Area: Central London

International School of London (ISL) Group of Schools

REMOVALS AND STORAGE

Contact: Heather Mulkey

Bishop’s Move

Email: admissions@islondon.org

Contact: Neil Bishop Tel: +44 (0)20 8391 8269

Area: Worldwide

Tel: +44 (0)20 7402 0416

Website: www.weichertworkforcemobility.com Area: Worldwide

Tel: +44 (0)20 7749 4460

Tel: +44 (0)1483 750409

Email: ross@refreshaccommodation.com Website: www.refreshaccommodation.com Area: UK & Worldwide

SACO The Serviced Apartment Company

Website: www.islschools.org

Contact: Xiu Xiu Sun

Area: London, Surrey, Qatar

Tel: +44 (0)20 3405 2877 Email: xsun@sacoapartments.com

Email: neil.bishop@bishopsmove.com

Marymount

Website: www.bishopsmove.com

Contact: Admissions

Website: www.sacoapartments.com

Tel: +44 (0)20 8949 0571

Area: National & International

Area: Worldwide

Email: admissions@marymountlondon.com Website: www.marymountlondon.com

Britannia Movers International

Area: London

SPOUSAL ASSISTANCE/ CAREERS

TASIS The American School in England

Profile Locations

Contact: Tony Vullo Tel: +44 (0)20 8256 1742 Email: tony.vullo@britannia-movers.co.uk

Contact: Karen House

Contact: Vanessa McConnell

Website: www.britannia-movers.co.uk

Tel: +44 (0)1932 582316

Tel: +44 (0)1892 891334

Area: Worldwide

Email: ukadmissions@tasisengland.org Website: www.tasisengland.org

DT Moving

Area: West London, Berkshire, Surrey

Wellington College

Tel: +44 (0)20 7622 4393

Contact: James Dahl

Email: london@dtmoving.com

Tel: +44 (0)1344 444013 (Admissions Office)

Area: Worldwide

Website: www.profilelocations.co.uk Area: National & International

Contact: Tim Daniells

Website: www.dtmoving.com

Email: careers@profilelocations.co.uk

Email: admissions@wellingtoncollege.org.uk Website: www.wellingtoncollege.org.uk Area: Berkshire, UK

SCHOOLS

SERVICED APARTMENTS

ACS International Schools

The Apartment Service

Contact: Fergus Rose

Contact: Shabina Awan

Tel: +44 (0)1932 867251

Tel: +44 (0)20 8944 1444

Email: frose@acs-england.co.uk

Email: shabina.awan@apartmentservice.com

Website: www.acs-england.co.uk

Website: www.apartmentservice.com

Area: London, South East

Area: UK & Worldwide

Dulwich College Beijing

Hyde Park Residence

Contact: Admissions

Contact: Heike Taylor

Tel: (0086) 10 6454 9000 (Main Reception)

Tel: +44 (0)20 7409 9000

Email: info@dulwich-beijing.cn

Email: sales@hpr.co.uk

Website: www.dulwich-beijing.cn

Website: www.hpr.co.uk

Area: Beijing, China

Area: Mayfair, London

Online Directories

relocateglobal.com

Industry jobs at: relocatecareers.com

A must-attend event for all talent mobility professionals: Fir Corpost-time r Atten ate HR d Come ee? our g as uest!

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As Wo Worldwide wid wi de ERC® ce celebrates 50 years of dedication to workforce mobility, we e invite invit you ou to t be part of the he fest festivities! The Global Workforce Symposium will bring you exciting new content, outstanding tand speakers, spea , and tremendous me networking and learning opportunities, all in the dynamic city in which we were originally founded in 1964!

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