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Writer's pictureLatitude GB

A beginner's guide to Global Mobility

Global mobility refers to the ability of a workforce to seamlessly move from one country to another and succeed, both in business and personal lives. As our world becomes increasingly connected, it’s becoming more important than ever for businesses to harness global mobility and capitalise on international markets.


Despite the growing amount of businesses pushing international expansion, our global mobility team know how difficult it can be to achieve global mobility successfully. We know there’s a lot of complexity and technical jargon that makes it hard to make sense of global mobility, let's try and simplify some of those.


Tax equalisation


If an employee has started work in a new place, setting up new tax differentials can be complex and time-consuming. This can easily become a barrier to employee mobility. Under tax equalisation, the employee pays the same amount of tax as they would if they were working in their home country. Benefits for the employee mean they are able to focus on their work duties rather than having to be concerned about tax burdens that could arise.

If an employee has started work in a new place, setting up new tax differentials can be complex and time-consuming.


Cost of living allowance


This is a differential payment to assignees to address differences in purchasing power between home and host countries. It’s usually calculated by applying a cost-of-living index to an employee’s home country spendable income.


Long-term assignment


Locating from one country to another for the length of an assignment – usually one year or more.


Short-term assignment


Relocation from one country to another for the length of an assignment – typically up to one year


Sequential Assignments


Employees who move from one country to another as part of assignments.


Permanent transfer


Relocation from one country to another for an indefinite period of time.


Destination services


A range of additional services offered when moving overseas, to help assignees when arriving to the host country to help them settle into their new environment.


Localisation


Integrating an employee into the benefits and compensation system of the host country. This is usually after a long-term assignment and lasts for an indefinite period of time.


Rotational Assignments


These are assignments that run back to back as the employees moves to and from different locations. These assignments are developmental in nature, and may also be project based.


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Global Mobility doesn't always have to be challenging. Through a streamlined network of immigration support and expertise, Latitude GB can assist you to fast-track your global operations.


Give us a call on 0161 531 2199 or send us an email at info@latitudegb.com and we'll do our very best to assist you.



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