Norris McLaughlin & Marcus, P.A.

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PART V. Going Global: A Review of Critical Issues of Executive Mobility – Labor & Employment Issues

Posted on April 12th, 2012 | Author: admin

Previously, we published PART III, III, and IV of our series, Going Global: A Review of Critical Issues of Executive Mobility.  Here is Part V, our last in the series, on issues to be considered when developing a Global Executive Mobility Strategy:

Labor and Employment Issues – Certain foreign countries require formal employment contracts for expatriate executives on assignment and employers need to fully understand the larger implications of such requirements. On the other hand, employers should be careful not to accidentally create a contract or establish an employment relationship in countries that do not have a contract requirement. Any agreement should address the relationship between the Home and Host country employers with regards to the Executive. Applicable laws, including the US Foreign Corrupt Practices Act and other Host-country ethics considerations, need to be addressed when any Global executive Mobility Strategy is developed. Also, a concise policy needs to be developed to take issues like job guarantees upon the Executive’s return into account.

There are a multitude of issues that need to be considered in connection with the development of a Global Executive Mobility Strategy and a whole host of legal, tax, accounting and immigration law implications.. This article highlights major issues to consider and suggests several potential Best Practices. However, this article is by no means exhaustive, comprehensive nor complete. The author strongly urges anyone involved with these issues to consult with qualified legal and Tax counsel before committing to any course of action.