Canadian HR Reporter

CANADIAN HR REPORTER June 1, 2015 16 FEATURES TECHNOLOGY/PAYROLL Localizing international compensation decisions McCain Foods takes advantage of localizer tool to pay its employees on relocation By Eleana Rodriguez M anaging a global work- force is a complex and significant task for any organization that operates internationally. With cost con- siderations driving business decisions, compensation is of increasing concern for multina- tional companies operating in a variety of economic, social and political contexts. For employees, the issue of com- pensation is critical in assessing international work opportunities, especially in determining whether they can maintain the same stan- dard of living for themselves and their families after they move. McCain Foods goes global ese are the types of challenges Terri Oliver tackles every day as senior manager of global mobil- ity at McCain Foods. Based in Toronto, Oliver oversees all of the company's workforce movement across domestic and international borders. She manages everything involving expatriate and reloca- tion programs, as well as frequent business travel, while ensuring compliance with tax and immi- gration policies globally. With more than 20 years of ex- perience, Oliver has seen a shift in how international employees are compensated. For example, in the more traditional home-based approach, a Canadian working in another country would be kept on the Canadian payroll, often re- ceiving additional allowances or benefits. However, more multina- tional companies such as McCain are starting to use host-based packages, where compensation is transferred to the payroll struc- ture in the host country where it has established operations. Local, host-based pay can often provide significant advantages to compa- nies and employees abroad, in- cluding greater cost-effectiveness, administrative simplicity and eq- uity with colleagues within the host country. However, determining how to fairly compensate an employee who will be living and working in another country can be challeng- ing, especially where there are sig- nificant cost-of-living differences, such as a worker experiencing compensation inequalities in a less-developed country. Similarly, employees moving to some of the most expensive cities for expatri- ates — such as Hong Kong, Sin- gapore or Zurich — could experi- ence a significant negative impact on their lifestyle if not adequately compensated. Localizer tool To help inform her decision- making around compensation for international employees, Oliver uses a tool to help establish or support a compensation package when moving employees between countries with different costs of living, housing and tax rates. "It gives you an overall snapshot and breakdown of what we need to address," she says. e technology helps organiza- tions simplify and streamline how they pay international employees. It calculates the economic impact TOOL > pg. 17 More multinational companies are using host-based packages where compensation is transferred to the payroll structure in the host country. HR Manager's Guide to Employment Files and Information Management: Legislation and Best Practices uniquely addresses the management of all types of employee information throughout the employment lifecycle, from recruitment to termination. Employment information and documentation management carries legal requirements that protect an organization from litigation, and are essential to the creation of sound policies for efficient, effective, and ethical business practices. Easy to read and understand, this new guide provides Human Resources professionals and others who deal with employee files, either electronically or in paper format, with: • Key legislation and emerging case law • Best practices in the areas of privacy, records retention, human resources information systems (HRIS), and information security • Practical guidance, tools and templates, such as sample policies • Information on all Canadian jurisdictions Know your legal obligations in managing employee files Available risk-free for 30 days Order online: www.carswell.com Call Toll-Free: 1-800-387-5164 In Toronto: 416-609-3800 Order # 986618-65203 $70 Softcover approx. 100 pages April 2015 978-0-7798-6618-2 Shipping and handling are extra. Price(s) subject to change without notice and subject to applicable taxes. 00228VC-A49657-E98872 New Publication HR Manager's Guide to Employment Files and Information Management: Legislation and Best Practices A Canadian HR Reporter Special Report Howard A. Levitt, B.A., LL.B., and Tanya Neitzert, B.A., CHRP Brought to you by: Credit: Fedor Selivanov (Shutterstock)

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