Expatriate Jobs

Expatriate Jobs - Summary of Main Employment Issues

We provide a checklist below of the areas you should consider when considering an overseas job, whether it is a new job or an assignment from your existing employer.  

Career

Many positions will expand your horizons both technically and also managerially.  You should not expect however that these will automatically be appreciated when you return to Australia and you should explore what has happened to other employees who have gone on similar assignments, or returnees within your own profession or sector.  There are a limited number of companies that manage this aspect properly, and they tend to be “international” in their scope and dependent upon an internationally mobile and professional workforce.  Similarly, in a number of professions like accounting, law and engineering periods overseas can be viewed very positively – but you can leave your “network” behind and that can have a negative impact. In short, Australia can still be a very parochial environment and you need to plan for your eventual return and work hard to maintain your contacts (a more detailed discussion of these issues is available in a paper: Australian Expatriates - Career and Remuneration Issues.)

This will likely change with time, but you shouldn’t rely upon it as an excuse for not doing planning and thinking the future will look after itself. Australians usually return home – usually at those junctures which are critical in terms of the education of their children.  Whatever excitement an expatriate career holds, most Australians still believe this is one of the best countries in the world to bring up children.

Remuneration

Offshore salaries can often look very attractive when translated into Australian dollars – but you should consider a number of factors when comparing packages and negotiating terms and conditions:

• Host Country Tax rates, including social security costs
• Exchange rate changes – are you protected
• Cost of Living Differences - see table below
• Housing Costs
• Health & Life Insurance
• Education Costs – including later boarding schools
• Social Security Payments
• Pension Benefits
• Costs of regular returns to Australia and holiday leave
• Relocation costs
• Notice provisions
• Redundancy terms

In the case of a dispute over your contract entitlements, an important consideration is also where any dispute will be adjudicated and what contract law (eg. Australian) applies to any interpretation of the contract.

Cost of Living Differences - World Cities - 2006

The table below provides a quick indication of the cost of living differences between Sydney, Australia's most expensive city, and some other expatriate destinations - based on a major survey in 2006. It is crucial to appreciate that these figures are based on averages - so the real cost impact will depend on issues such as family size and number of school age children, lifestyle and accomodation required. Also, they will change with exchange rates.