When an expatriate’s home country currency weakens, what do you do? In my recent post, I talked about the importance of initiating an increase in their goods and services allowance because the employee’s salary portion, meant to be spent on their market basket, will no longer go as far once converted into their host currency.
COLA is affected by complex economic factors like exchange rate fluctuation and economic volatility, which are highly unpredictable. For a COLA to be effective, the allowance must be reviewed and updated periodically to take these factors into account.
When there are significant exchange rate fluctuations, what does this mean for international assignees, and how should your mobility program address this volatility?
Brexit raises similar concerns for larger and smaller organisations alike. In fact, it affects tens of thousands of small businesses in the UK, who often lack the corporate infrastructure to support the costs and complexities that result from such an unprecedented constitutional change.
The unpredictability of fluctuating foreign exchange rates is a daily reality. For many companies, it can have a significant effect on employee compensation.
The Venezuelan Bolivar Fuerte continues to be the most extreme depreciation in the world.
After years of unsteady depreciation, the Haitian Gourde gained 9.27% against the dollar this month. Learn more!
Exchange Rates: The anticipation is over! Here are summaries of the recent exchange rate changes of more than 4%!