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reloBuzz

reloBuzz is a bi-weekly email news publication designed to provide relevant and timely relocation-related information. We hope you enjoy this edition; your feedback and recommended topics are always welcome. To submit content or suggestions please email Kelly Jesson at kelly.jesson@themigroup.com.

Singapore: Foreign Worker Quotas To Be Cut

Read Issue 40


The Singapore Government has announced that foreign worker quotas will be cut (effective July 1st) after the foreign workforce grew by 7.5% last year. The cuts are designed to moderate Singapore’s increasing dependence on foreign manpower.



Canada: IT Workers Program Eliminated in Quebec

Read Issue 39


As of February 23rd, Citizenship and Immigration Canada (CIC) eliminated the simplified process for IT Workers in Quebec. As a result, effective February 24th work permit applicants will require a Labor Market Opinion (LMO).



Japan: New Residency Management System

Read Issue 38


As of July 9th, 2012 a new residency management system will be applied to all foreign nationals legally residing in Japan as mid- to long-term residents under the Immigration Control Act,



Saudi Arabia: Deadline Extended for Change of Expats' Professions

Read Issue 37


The Ministry of Labor has extended the deadline for expatriates to change their profession on their resident permits to February 22, 2012.



Canada: Extended Processing Times for LMO Applications

Read Issue 36


Processing time for Labor Market Opinion (LMO) applications has slowed. Requests that were previously processed in 4-6 weeks are now taking in excess of 10-12 weeks, with the longest processing times observed in Ontario.



US Rental Housing Market – Part II

Read Issue 35


The challenges created by the housing market over the past few years have employees facing significant loss on sale and negative equity,” explains Laurissa Norwick, TheMIGroup’s Vice President, Domestic Consulting and Process Management (New York), “coupled with more stringent lending requirements, we’re finding many more transferees having to rent rather than purchase.



Trends

Read Issue 34


Industry experts are seeing an increase in the number of relocation-related rental requests. Why? Fewer companies are offering guaranteed buyout programs, employees are having difficulty selling their homes in the home location often having to relocate before the home is sold, employees can’t afford to take the loss on sale or simply put, employees don’t want to uproot their families. Whatever the reason, the increase in relocation-related rental requests combined with the number of former homeowners forced into the rental market due to foreclosures is resulting in high demand and limited supply.



INSIDE TheMIGroup

Read Issue 33


TheMIGroup’s Neil Krupp, Vice President HR Consulting and Global Compensation Services, was recently featured by HRO Today magazine in an article “All Abroad: Making international mobility work in the current global economy”. This article takes a look at the impact the economic downturn experienced in the U.S. and Europe has had on international relocation. In addition, it also discusses how relocation management companies are using technology to make assignment activities more efficient by employing analytical programs to obtain more accurate cost estimates, self-service online portals and mobile apps.



The Tyranny of Events: Ensuring the safety of staff during natural disasters or political turmoil has become a pressing issue in 2011

Read Issue 32


For companies operating in hostile environments, the Arab Spring uprisings that tore through the Middle East earlier this year were a textbook example of how difficult it is to plan a crisis management strategy for dealing with an abnormal situation.



Thailand: Flooding and Its Impact on Relocation

Read Issue 31


Since the end of September Thailand has been experiencing the worst flooding in over 50 years. TheMIGroup, along with our local providers, has been actively monitoring the situation to understand and communicate the impact the flooding is having on the relocation industry.



Hong Kong: School Woes for Expats In Hong Kong

Read Issue 30


Moving to Hong Kong? If you have school age children, prepare for a prolonged campaign to crack the outer perimeter of the international school system. In the words of one frustrated mother, it’s “harder than getting into Fort Knox.”



China: Lead Poisoning in Shanghai

Read Issue 29


The Shanghai Environmental Protection Bureau has temporarily ordered the closure of several plants in the Pudong district that use lead in their manufacturing process. Since early September, over 32 local children living in the Kangqiao Area of Pudong have tested positive for unhealthy levels of lead in their bloodstream.



Webinar – Developing an Integrated Global Talent Management System

Read Issue 28


On Wednesday, October 15th TheMIGroup, in partnership with SRI International, will be hosting a webinar on “Developing an Integrated Global Talent Management System”. Discover how to build global talent, align corporate systems with selection/development, and identify effective assessment methods. To register please click here. Participants can earn a CRP and/or CERC credit.



United States: U.S. Customs Vessel Manifest Confidentiality Form

Read Issue 27


Under privacy statute 19 CFR 103.31(d) the media is permitted to collect manifest data at every U.S. port of entry and exit; this data may be published unless an importer/exporter requests confidentiality.
To protect your personal information (i.e. such as an individual’s date of birth and passport number) a written request must be submitted to the U.S. Customs and Border Protection agency, to learn how to request confidentiality and protect your personal information.



Perth, Australia – Reclassified as a Regional City

Read Issue 26


In July, the Minister for Immigration and Citizenship, Chris Bowen MP, announced that Perth will now be considered a regional city and be able to benefit from inclusion in the Regional Sponsored Migration Scheme. The reclassification “will provide employers with another, easier avenue to recruit the skilled workers they need from overseas and give skilled temporary visa holders in Perth a more streamlined pathway to permanent migration” says Bowen.



China’s new Social Insurance Law (SIL) – which just took effect on July 1st

Read Issue 25


China has attracted more attention than ever from foreigners living in China because of the provision set out in Article 97 which has been frequently translated into English in the following manner: “Expatriates working in China may participate in social insurance schemes in accordance with this law.”


TheMIGroup is pleased to introduce reloVOICE, a platform for you, our reader, to shape future issues of our bi-weekly newsletter.

Germany: Tightening of the Rules on Tax Evasion Stresses the Importance of Compliance in Expat Payroll

Read Issue 24


On May 3rd, 2011, Germany put into force a new law that contains rules about the criminal prosecution of tax evasion cases. Germany has a rule that if a case of tax evasion has occurred, punishment can be avoided if the taxpayer voluntarily discloses the unreported income to the authorities.




Global Mobility: Managing International Assignments in the Middle East

Read Issue 23


UAE. With businesses operating globally, it is increasingly common for employees to be working in business units spread across jurisdictions or to spend time on secondment to an associated company or a branch of their employer company.




Russia: Import Duties for Household Goods Arriving into Russia

Read Issue 22


As previously reported in reloBuzz issue #21, on May 30th, 2011 a government decree was signed by Russian Prime Minister Vladimir Putin intending to put an end to the excessive charges placed on household goods being imported into Russia. This revision also means that employees on assignment in Russia will be allowed to import as many personal use items as they so desire. It still remains unclear when this new Regulation will come into effect.

The import duty that was implemented on July 2010 eliminated the ability to clear shipments under the "Temporary Import" category, thus subjecting contents being moved into Russia to a duty charge representing 30% of their stated value. Czech Republic: Personal Presence Mandatory during




London, England: Record Prices for Hotel Rooms during 2012 Olympics

Read Issue 21


Recent reports indicate both short supply and a sharp increase in costs for temporary accommodations during the 2012 Olympic Games being held in London from July 27th to August 12th, 2012 and the Paralympic Games from August 29th to September 9th, 2012. With as much as 90% of the available hotel rooms in the city centre booked by the London Organising Committee of the Olympic and Paralympic Games alone, availability for corporate assignees or transferees during this period has been drastically impacted. Rates for any remaining available hotel rooms are fetching on average £350 per night, 3x higher than their normal rate, while rates of £1100 per night for August 2012 have been reported by tour operators.




TheMIGroup to Present at The US Totally Expat Show 2011 in New York

Read Issue 20


TheMIGroup is very proud to announce that Neil Krupp, Vice President, HR Consulting and Global Compensation Services, will be presenting at The Forum for Expatriate Management’s US Totally Expat Show 2011 in New York on June 14th.

This presentation, "Global Deployment Policy Design – Process and Considerations”, will describe a process incorporating nine distinct yet interrelated phases that if managed effectively will maximize an organizations potential for achieving positive outcomes when embarking on a global mobility policy design initiative.




TheMIGroup to Present at Worldwide ERC®’s Global Workforce Summit EMEA
Read Issue 19


TheMIGroup is very proud to announce that Mark Bennett, Executive Vice President/CCRO, and Dwayne Waldrop, Vice President Supply Chain Management will be presenting at Worldwide ERC®’s 2011 Global Workforce Summit: Focus on EMEA in Amsterdam, June 23-24.

This presentation will focus on Balancing Centralization of the Mobility Function with Regional Needs and Customization.




Germany: Fewer Restrictions for EU8 Nationals

Read Issue 18


As of May 1st the Agreement on the Free Movement of Persons resulted in a lift of transitional restrictions for nationals from Poland, Hungary, Czech Republic, Slovenia, Slovakia, Estonia, Lithuania, and Latvia (EU8) and allow full geographical and professional mobility into the German labour market. Under this new agreement German companies are able to recruit EU8 nationals for work without work or residence restrictions. The additional volume meant a shift of responsibility from the local German labour office to the central labour office; processing delays are expected as this new process is implemented. Read more...





Canada: Voting While Abroad - Federal Election

Read Issue 17


With the upcoming Canadian Federal Election on May 2nd, there have been questions raised concerning voter eligibility and registration procedures for Canadian citizens on an expatriate assignment. Canadian electors can apply to vote from anywhere in the world by Special Ballot. There are stipulations for Special Ballot, the elector must maintain a civic address in Canada, have resided outside of Canada for less than five consecutive years, and intend to resume residence in Canada.





United States: Customs Update

Read Issue 16


Please be advised that the U.S. Customs and Border Protection (CBP) Agency has temporarily removed the “Vessel Manifest Confidentiality Web Form” from their website. This form is intended for U.S. inbound or outbound shipments, allowing for the confidential treatment of vessel manifest information, such as importer and/or shipper names and addresses.





Venezuela: Important Advisory on NEW Import Regulations

Read Issue 15


New import regulations will be enforced effective Monday, September 27, 2011 requiring the presence of shippers in Venezuela when their shipments arrive by air and/or surface. Shippers must present their original passports and remain in the country during the entire clearance process. Shippers may also be required to be present during the mandatory inspection. Failure to comply with these regulations may result in confiscation of shipments and passports.





United States: U.S. Home Sales Set to Drop 2.3 Percent This Year: Reuters Poll

Read Issue 14


A pick-up in home sales in the past six months will soon hit a wall as foreclosures are dragged out, creating a supply overhang that will push prices down 2.3 percent this year, a Reuters poll predicts.





Doing Business in China: What is a Fapiao and why is it so important?

Read Issue 13

A Fapiao is a very important record of expenses for business travelers and expatriates in China. It is more than a receipt confirming payment, but also an essential component of the system designed by the Chinese government to track tax payments and deter tax evasion. An official Fapiao is to be issued when any goods or services are purchased within China. Prices paid include business tax, therefore, the Fapiao issued confirms the tax component of that expense and that the tax has been submitted to the tax department. From a company and tax audit perspective, an official Fapiao is mandatory for tax and expense deduction.





Rules of the Road: Strategies for Effective International Assignment Management

Read Issue 12


One of the more challenging aspects of administering an international mobility program is managing the dayto- day challenges while ensuring the overall success and achievement of long-term goals.



This white paper focuses on providing helpful suggestions for achieving effectiveness in the management of international assignments. While these suggestions may not be applicable in every circumstance, each can easily be modified to meet most company’s assignment objectives. These may also serve as guidelines for developing international assignment policies for the first time.





UAE Lifts Ban on Skype

Read Issue 11


In this edition of reloBuzz, we highlight the United Arab Emirates and many of the recent changes that have impacted the relocation industry and effect those relocating into the region.





AUSTRALIA: Severe Flooding in Queensland

Read Issue 10


Tragically, severe flooding throughout the state of Queensland has seriously impacted both local residents

and businesses. Central Queensland has been under more than 9 meters of water since last week, and the

capital of Brisbane is at risk for flooding of up to 22 meters. To put this tragedy into perspective, the flood

area currently exceeds the combined area of France, Spain, Belgium, Portugal and Italy. At last report, in

addition to the massive destruction of homes, roads, and bridges, the search for 67 missing residents

continues.





United States: IRS Tax Updates

Read Issue 9


Mileage - Final Move

In 2010 the deductible rate for final move mileage was 16.5 cents/mile, in 2011 it will increase to 19.0 cents/mile.



Mileage Rates - Business Purposes

The deductible rate for mileage incurred for business purposes will increase from 50 cents/mile in 2010 to 51 cents/mile in 2011.



Under the new Tax Relief Act, the Social Security portion of payroll taxes will be reduced from 6.2% to 4.2% for 2011 only. This reduction affects only the employee portion; the employer portion remains at 6.2%



Switzerland: 2011 Immigration Quotas Announced

Read Issue 8


Quotas for the capped immigration system in Switzerland have been announced. The total quota figure is 11,000, which is the same as previous years, however the difference in 2011 is that the quota will be split between European Union (EU)/European Free Trade Association (EFTA) nationals and non-EU nationals, as well as between short-term (4-12 months) "L" permits and long-term (over 12 months) "B" permits.





reloBuzz FEATURE - The BRIC Countries.

Read Issue 7


In this edition of reloBuzz we are focusing on facts and relevant topics pertaining to Brazil, Russia, India and China, or what has been coined the “BRIC” countries. These countries, although diverse geographically and in their primary individual industries, are categorized together for the primary reason that they are at a similar stage of newly advanced economic development. The imminent shift in global economic power away from the existing developed economies of North America and Europe towards the BRIC countries will have a long term affect on the global mobility industry in both the competition for and relocation of global talent. Of particular interest, China, India and Russia recently ranked first, second, and third, respectively, as the countries that expatriates found to be the most challenging; China and India topped the list of countries for the most assignment failures. However, the vast nature of the BRIC countries, in addition to their economic potential cannot be overlooked; they encompass over 25% of the world’s land coverage, 40% of the world’s population and 15% of global GDP.





Solution provider helps client achieve customer service excellence

Read Issue 6


With help from Illumiti, TheMIGroup's SAP-based portal gives its relocation clients more timely access to critical information.





United Arab Emirates: Identity Cards Now Mandatory

Read Issue 5


In a move to increase the adoption of the Emirates National Identity Card (ENIC), the Emirates government has now made it necessary to have the card in order to obtain a mobile phone.

Spousal Career Assistance - Setting Expectations and Identifying Alternatives

Read Issue 4


Many companies are recognizing the need for services designed to assist the spouse/partner of a relocating employee; however, due to the differing and unique situations of each family, aligning those services to the actual needs of the spouse/partner has become a challenge

Important Updates to the Canadian Temporary Foreign Worker Program

Read Issue 3


Changes to the Canadian Temporary Foreign Workers program take effect April 1st, 2011; these include:

  • A more rigorous assessment of the validity of the job offer;
  • A two-year prohibition from hiring temporary foreign workers for employers who fail to meet their commitments to workers with respect to wages, working conditions and occupation; and
  • A limit on the length of time a temporary foreign worker may work in Canada before returning home.

U.S. Immigration Update - Significant Increase to Visa Fees

Read Issue 2


The Obama administration has approved $600 million in emergency funding to increase security along the Southwest border, including increased immigration and customs (ICE) enforcement and technology. This program, H.R. 6080, will be funded by increased H-1B and L-1 Visa fraud fees

Canadian Housing Market Update

Read Issue 1




Based on the Canadian Mortgage and Housing Corporation's (CMHC) Housing Market Information, the actual urban housing starts are up 52.8 per cent over 2009. The most significant increase was 11.2 per cent in Quebec, 8.9 per cent in the Prairies, and by 6.3 per cent in British Columbia. Atlantic Canada saw a decline of 22 per cent and Ontario decreased by 17 per cent. Housing starts are a good indicator of the health of the new construction housing market.