Reasons for Poor Expatriate Retention

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Reasons for poor expatriate retention A very important role of IHR managers in every MNC is the management of expatriates. An expatriate is an employee who is assigned a position in another country which can either be headquarter countries or third countries. The most important role of the human resource is the selection, training, acculturation and finally the evaluation of the expatriates (Sepehri, 2011). However, the rate of attrition of expatriates is about double that of non-expatriates. Therefore the MNCs have to come up with a way of ensuring that they retain their expatriates. The paper will look at some of the ways through which MNCs increase their expatriate will also look at the three reasons for poor expatriate retention. Expatriate retention An appropriate compensation and benefit package is quite significant when it comes to the attraction, retention and motivation of expatriates. Compensation is a very crucial link between a strategy and its eventual implementation. When the IHRM professionals are coming up with a compensation package they should ensure that they maintain a standard of living for the expatriates which equal to other employees who are back at home. They should also be compensated for any additional costs that they incur .this policy are referred to as keeping "expatriate whole". Another approach known as balance sheet approach is used in order to ensure that the expatriates do not loose out through the assignments given to
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