Currency Devaluations and Cross-Border Assignments: Do’s and Don’ts – Part1
This complementary white paper opens the discussion surrounding the best course of action for mobility professionals addressing currency devaluation issues in regards to compensation arrangements for their temporary assignees.
Major and sudden currency re-alignments can pose some immediate and practical problems for mobility practitioners responsible for managing compensation arrangements for cross-border assignees. This is the first article in a series of two addressing devaluation-related compensation issues and solutions for cross-border assignees, using Argentina and Azerbaijan as our examples. The discussion below is focused on home-based compensation approaches for assignments into these countries, and the second article will be focused on host-based packages and compensation-related strategies for assignments out of these countries. Each scenario has its own challenges and “best practice” solutions.