5 For Friday: HR Going Global

Laleh Hassibi, PayScale

Effectively managing human capital is of concern to companies across the globe. Many of those human resource issues are becoming less siloed to particular countries as outsourcing becomes more commonplace in business. This week, we take a look at some of the top news and issues surrounding human capital management and compensation across the world.

China Just Approved a New Plan to Crush Income Inequality, Mamta Badkar, Business Insider
This big news in China was timely given that long-standing unrest over Communist party excesses and income inequality had reached the boiling point. China has approved its long-awaited income distribution plan (IDP). Taking from the rich and giving to the poor is the basis of the plan, with income caps on high earners and large increases for the poorest, rural workers that will double household income in many cases.

“Open Kimono” for Employees Overseas, Jacque Vilet, Compensation Cafe
As companies become more global, a move toward greater openness seems inevitable. However, the move toward transparency in the United States doesn’t translate evenly to many other countries with differing and often stricter privacy laws. Companies need to be aware of how what they can communicate about compensation plans globally and what needs to stay local.

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Coalition Group Calls for an End to Abuse in International Labor Recruitment Process, Charlie Fanning, Talking Union
Regardless of their visa, internationally recruited workers face disturbingly common patterns of abuse, including fraud, discrimination, economic coercion, blacklisting and, in some cases, forced labor, debt bondage and human trafficking. As the issues surrounding recruitment and workplace of foregin workers come to light, more people are demanding oversight and change.

How Global Megatrends are Shaping Global Talent Development Strategies, Philip Berry, Global HR
As companies begin to make and sell products and services in very different parts of the world, a major challenge is managing human capital to meet these changing needs. Not only are customer needs diverse, but compensation and legalities are different across the world.

Court of Appeal for Ontario Finds Restrictive Covenants Unenforcable and Unreasonable, Frank Cesario and Samantha Crumb, Hicks Morely Case In Point
It appears that Canadian companies are going to have to find new ways to keep their employees from heading to the competition now that this newest court case deems restrictive covenants unenforcable. Paying for performance and aligning compensation to the market are two ways to conquer that obstacle. Read more on this important court ruling in next week’s Compensation Today.


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