Asian companies need to internationalise to attract top expat talent

Whilst a good salary is essential for expat retention within Asian companies, culture also plays a major part in individual decisions

According to a leading recruitment company, the initial attractions of a specific firm for its potential employees aren’t the reasons why they’re happy to stay long-term. Whilst a high salary is perhaps the strongest motivation for many expat professionals considering a job in an Asian company, the business’s reputation and growth potential are equally if not even more important. Salary scales in Asian companies are slightly different from those in the West as, for example, Thai companies’ entry-level jobs pay far less than in the developed world, whilst senior managers are paid far more than in Europe.

For international top talent, a close relationship with management, the local corporate culture and the sense of giving back are the major reasons many professionals choose to work in Asian companies. In many ways, Asia makes it easier for a foreigner to settle than do major European countries and the USA, giving more time for appreciating the new quality of life both in the workplace and at home. For those expats who do leave and return to the West or other locations, a lack of definitive career progression and inadequate training are the usual reasons.

Many Asian-based companies are looking to increase their international workforce over the next year as their global impact improves. Some 70 per cent are planning internationalisation between now and 2021, and 57 per cent believe hiring international top talent will help achieve their goals. However, the majority of Asian companies are having difficulties persuading the brightest and best to join them. One reason is that salary expectations remain very high, and another is that expats may not provide a successful cultural fit. To make it in he international business arena,, Asian companies will need to adjust their recruitment strategies away from reliance on referrals to the use of recruitment specialists used to breaching the cultural divide.