When employment go from expat status to local permanent, does one usually to take a pay cut?

[Claire ex-ax]

What does 'expat package' mean? Paid overseas? I dont even know the definition of 'expat package' or 'local package'. Im employed locally, paid in HKD, but negotiated with my company that they pay my 2 kids international school fees, BUPA health insurance, relocation fees when I first came out, etc. So am I on an 'expat package'? I have no idea. Nobody told me this when I signed up. I just negotiate the best overall 'package' that I can.

If your local (Hong Kong) colleagues also have their kids' international schools fees paid for by the company, plus BUPA insurance and moving expenses paid, then you are on a local package, according to your company. If your local colleagues don't have these things, then you are on an expat package, again according to your company.

[PDLM]

Or you're a Civil Servant.

[RobertFisher]

My colleagues' and my situation is this: when our company hires people from overseas it will offer a "package" to attract candidates to come. People coming from overseas have additional expenses compared to locals, thus needing some additional compensation to make it worthwhile. Our company signs finite-term contracts with these expats. At the end of the contract, if the company really wants to retain this employee, it may offer to continue the "expat package"; on the other hand if the company thinks it's got the upper hand in negotiation, it may offer just a local-equivalent compensation and tell the candidate to take it or leave it. So my colleague lost his expat perks and just got a salary. I just don't know if he got a salary cut as well...

[virago]

Well, that's by choice. If they wanted, they can return home. I would assume that in the contract if the employer didn't want to renew the contract then they would repatriate the employee back to their home country.

[Raccon]

If your local (Hong Kong) colleagues also have their kids' international schools fees paid for by the company, plus BUPA insurance and moving expenses paid, then you are on a local package, according to your company. If your local colleagues don't have these things, then you are on an expat package, again according to your company.

Just curious, but when do additional benefits in a local contract make it an 'expat package'? - Does one need to be an "expat", a term that itself has so many different definitions and differs from company to company (that do expat contracts), to have an expat package?

I.e. local contract + additional benefits + being an expat = expat package ??

(just looking at the situation with local contracts, there can be other expat packages, too)


Which brings up another interesting question: What package would a HK-born citizen have who lived overseas for years but now returns to work on a local contract but with certain benefits that the local colleagues do not have? Expat, local+, local, other ... ?

[RobertFisher]

My personal take is, expat package in this case refers to a collection of extra compensation/goodies that's designed to offset the additional cost of a person relocating to Hong Kong.

My company offered me to ship furnitures from US and back, for example, so I don't have to buy furniture here and end up having to dump them. My kids are not coming here so company buys me 4 tickets to fly home a year. I'm a poor negotiator; these are about the only goodies I got, and I declined the shipping offer (I live very simply).