Expatriate Policy of Schlumberger

Category: Finance, Tax
Last Updated: 20 Apr 2022
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Schlumberger is the largest oilfields services company with operation worldwide. It is the leader in the supply of technology, integrated project management and information solutions to customers in the oil and gas industry worldwide. It employs approximately 120000 people. The employees come from around 140 different nationalities working in around 85 countries around the world representing the diversity within the workforce of the company.

It provides the widest range of services corresponding to the oil and gas industry ranging from exploration through production. For Schlumberger, it's defined by the terms such as knowledge, technical innovation and team work. These terms have formed the core of the company functionality for over 80 years which has enabled it to provide improved customer service and performance throughout these years. It has around 125 research and engineering facilities worldwide which enables innovation for improved customer delivery of services.

Besides, the company works keeping its three core values concerning the people, technology and profits which form the basis of their work and future goals which are as follows:

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  • Our people thrive on the challenge to excel in ny environment and their dedication to safety and customer service worldwide is our greatest strength.
  • Pure commitment to technology and quality is the basis for our competitive advantage.
  • Our determination to produce future profits is the cornerstone for our future independence of action and strength.

Who is an expatriate?

An expatriate is a person and citizen of one country working in another country either temporarily or permanently. This term is commonly used to refer to the professionals or skilled workers who are sent abroad (with the same or a different culture) by the companies to work. Need for an expatriate The world scenario has changed at a rapid pace facilitating the movement of goods and services and ideas throughout the world. Not only has the world bought the idea of the free movement, they have also set up organizations like WTO who make sure that more and more countries accept the idea and follow the same.

Globalization and Liberalization is the new trend these days. The entire world has moved on from being an industrial economy to knowledge based economy which is connected through the power of networks. Everyone wants to take advantage of this facilitation and so do the companies. The companies are profit driven and this need to onstantly look for markets and new customers to sell their products and services. As such they need people who are endowed with the qualities required to help set up the business and at time also run it in a foreign country.

The expatriates are required to handle critical international assignments on behalf of the company with strategic importance attached to them. They are expected to facilitate control of the corporate, facilitate the pathway for entry into the new markets, develop management competencies at the international level and frame a market or gain market share through their expertise in vital global markets.

Attributes or predictors

Job Factors

  1. Skills related to technology
  2. Level of familiarity with host and headquartered countrys operations
  3. Skills related to management
  4. Administration related competencies

Relational Dimensions

  1. Tolerance level related to ambiguity
  2. Flexibility level related to behaviour.
  3. Non-judgementalism
  4. Empathy towards new culture and low level of ethnocentrism
  5. Well-developed inter personal skills

Motivational State

  1. Belief in the mission of the company and the assignment
  2. Mission's alignment with the career path
  3. Personal interest in the assignment overseas .
  4. Interest in the culture of the country of assignment
  5. Willingness to learn new behaviour and attitude

Family Situation

  1. Willingness of the spouse to move to the host country of assignment
  2. Nature of the spouse - adaptive and supportive
  3. Stability of the marriage or relationship

Language Skills

  1. Skill level in the host countrys language
  2. Level of comfort or proficiency in the non-verbal communication

Expatriate policy

Eligibility

In order to be eligible for the Expatriate Relocation Assistance program and other related benefits, the following must be fulfilled:

  1. Should currently be a full-time mployee.
  2. Has been asked to relocated as a result of the company initiated transfer.
  3. Must meet the federal guidelines as laid down for a qualified move Post acceptance of the foreign assignment

Assignment of the Cartus Relocation consultant:

The consultant will act as a single point of contact during the entire duration of the relocation. Benefits The company has outlined a number of benefits for the expatriates for the convenient relocation and proper re-imbursement of the expenses too. The benefits outlined must be used within 12 months of the transfer date of the payroll or else hey will stand as lapsed and cannot be used beyond 12 months.

The benefits cover every aspect of the move right from preparation to the final settlement of the expatriate in the host country as outlined below under the different headings. a. Payment of benefits: Certain rules have been laid down about the method of payment and reimbursement and tax benefits corresponding to the relocation be the Cartus consultant who will prescribe the required instructions. For the reimbursement all the receipts must be in original. All the relocation benefits must be claimed within the 12 months from the date of transfer.

House hunting trip:

In case the person does not own a house in the new location then the person is entitled to a house hunting trip for six nights/seven days including the spouse. The concerned person will also be entitled to round trip economic fare by air or train by the most direct route with one piece of luggage approved per passenger. Car rental will also be reimbursed from a designated firm. The person including the spouse is also liable for reasonable lodging and meals expenses. The number of lodging days may increase by one in case the person has travelled for more than 650 kilometres using one's own personal vehicle.

Apart from these expenses the person is also entitles to such other expenses like highway and bridge polls, parking charges, domestic telephone calls and internet charges. In case there is also a baby then they are also entitled for baby-sitting and child-care services and corresponding charges. The amount fixed for the same is $50 per day per child with a maximum cap of $1 50 per day.

Home finding assistance:

In order to locate a primary residence, proper home finding assistance will be provided. In some of the cases, the person may be charged some home finding fees and the same shall be reimbursed on providing the riginal receipt of the same provided it does not exceed the one month rent of the house leased. The concerned person however is required to get in touch with the consultant in order to review the wordings of the contract.

Return home trip:

In case the person has begun the assignment without the family members accompanying him, he is entitled to two return trips and an additional one in order to assist in the movement of household goods and for the family to accompany the concerned person to the new location. During the trip the person is also entitled to such other expenses like a piece of checked luggage, tolls and parking. The return trips are required to be scheduled three weeks apart and proper bills are required to be produced in order for the reimbursement.

Lease cancellation:

In the event of a lease cancellation and termination of the lease agreement before it expires, it is required to consult the Relocation consultant regarding the same in order to avoid lease-breaking penalties if any. The lease breaking penalty could be avoided if one can find a new or a subtle tenant. Still, the following expenses are reimbursed in case the agreement is broken prior to the completion of the agreement which should not xceed $5000. The reimbursement can include lease-breaking penalty, sublet fees, loss of security deposit due to the termination of the lease but not due to repairs, duplication of rent, payment of lease in case of lease breakage. The reimbursement will not include such payments as pre-payment of the new area rent, payment of the rental security deposits, current damages and resulting costs or the loss of deposit, loss of special deposits and utility fees.

However, such reimbursements are subject to condition that the person has not leased the premises of the relatives and has acated the house. Besides, a copy of the lease and an original receipt of the lease breakage fees are required. An original itemized signed letter from the complex or the landlord will also suffice.

Movement of household goods:

In order to be eligible for the reimbursement of the movement of the household goods, the recognised consultation with the Relocation consultant and prior scheduling should be done at least 30 months prior to the date of movement.

The 30 days is to allow proper survey of the goods, the size and cost of the same and also to allow for some time for packaging. Besides one must not make any attempt to do the packaging by him/her else there won't be any reimbursement under the insurance scheme. Also, such things like Jewellery, medical certificates, educational documents, children's immunization records, school records should be hand carried to the destination and should not be allowed to be packed or carried by the packing company.

In order to make a claim against a damaged or lost item, a written estimate of the same must be provided before submitting the acclaim for settlement for the same.

Temporary storage:

In the case when one is unable to shift to the home in the new location, emporary storage facility shall be provided for the same for a period of 30 days and only those items which are part of the original household goods are eligible for storage and partial shipment is not allowed.

Final move:

During the course of the final move, the concerned will be reimbursed for reasonable travel costs for the person and other eligible family members. Besides original receipts must be kept and presented for the reimbursement of the same. The expenses which form a part of this include one way transportation of economic class air, economy class train fare hose reimbursement may require either boarding passes or non-refundable invoice. There will also be proper mileage reimbursement for personal vehicle with tolls.

There also be reimbursement corresponding to lodging, beginning on departure day, ending on arrival day, 2 pieces of checked luggage per approved traveller, meals which does not include alcoholic beverages, beginning on departure day, ending on arrival day.

Relocation allowance:

In addition to the items which have already been discussed in the policy, the company also covers other relocation expenses. The concerned person is also entitled to receive a onetime relocation llowance equivalent to two months new base salary with an upper limit of $1 5000 per month.

This comes into effect on the first day of the new work assignment or when the person actually moves. This allocation is aimed at providing greater flexibility in managing one's relocation expenses and directing the available resources to specific areas of need.

Time of for packing and unpacking:

The Company provides for two paid working days off for both the locations. Two days for packing and other two days for unpacking of the goods. k. Spousal career assistance: For the employees with their spouse having a career outside Schlumberger, efforts re made to assist the spouse in the Job search.

A series of programmes have been initiated for the same as a part of these efforts. These programmes are offered through the service companies who provide Job search and opportunity development expertise. Services like resume preparation, assessing career direction, interviewing skills are some of the expertise that these companies excel in and reach out the same to the respective spouse. These might not lead to actual Job but may help immensely in providing valuable direction in the Job search.

Tax information:

In some of the ountries, some relocation expenses are considered as taxable income. As such the same will be reflected in the earnings as reimbursement and shall be intimated about the same. It will be the responsibility of the company to report to the Additionally, state or provincial taxes may vary by location of the residence. m. Termination: In case one resigns from the company for any of the reasons within one year of completing the move, he/she must, either on or before the effective date of resignation, reimburse the company for the amount paid the concerned person or to the third party in any form for benefits in connection to the move.

Cite this Page

Expatriate Policy of Schlumberger. (2018, Jul 05). Retrieved from https://phdessay.com/expatriate-policy-of-schlumberger/

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