Dive Brief:
- U.S. employers either considering doing business in or looking to expand the Asia-Pacific (APAC) region may want to know expatriate costs. Japan ranks as the most expensive expatriate pay region for middle managers, with an annual average of $329,000, according to Human Resources Online.
- Japan is followed by Mainland China, India, Hong Kong and Australia in terms of cost. Looking for a bargain? Malaysia, at $176,000, ranks last among the 16 cities or countries rated.
- The estimates are from ECA International's annual MyExpatriate Market Pay survey, which factors in cash salary, benefits (living accommodations, schools, utilities and/or cars) and taxes.
Dive Insight:
Perhaps one of the most interesting changes is Mainland China moving up to second on the list. A total package for an expatriate middle manager is worth about $290,000, the region's largest increase this year.
In the exclusive article, Lee Quane, regional director — Asia, at ECA International, said the increase is likely the results of rising cost of benefits in China. He said while living costs have increased in some major destinations for expatriates, costs associated with benefits commonly provided have also increased, mentioning children's education.
However, he added that the cost of benefits in "tier two" locations is still much lower than in "tier one" cities. For China, if tier two locations were the only areas included, China would end up at the bottom of the APAC ranking.