The following two items jumped out from my company's expat offer for my move from NYC to London. I will be moving for one, no pets and still negotiating the rest.
Because my salary (no bump) and COLA will both be paid in USD while I work in London (as expatriate), I am concerned about the declining USD. When I asked my company what protection they will offer in terms of exchange rate fluctuation, their response is that they use Organization Resources Counselors, Inc. (ORC) to determine COLA and as ORC adjusts COLA, so will my company... for inflation and exchange rates fluctuations (about 4x/yr). Has anyone had any experience with ORC? Do I need additional protection against exchange rate? Is it possible to be in a situation where the cost of living stays the same while the exchange rate shoots through the roof?
Also, the company will be covering only 80% of my housing in London and deducting 20% of it from my paycheck directly. They will not be paying for my mortgage in NYC (home location), but expects me to rent it out. The lease in London will be directly with the company. Their rationale is that I should still be responsible for part of the housing as if I am still living in NYC. This just seems wrong to me. What if I can't find a tenant or if my tenant leaves early? I may be forced to pay for both housing in NYC and 20% of the housing in London! The incomprehensible portion of the housing offer is that they are willing to cover up to 800GBP/wk housing! Oh yea, they will pay for utilities but not the council tax. What are your thoughts on the housing offer?
Thanks in advance for your help.
Because my salary (no bump) and COLA will both be paid in USD while I work in London (as expatriate), I am concerned about the declining USD. When I asked my company what protection they will offer in terms of exchange rate fluctuation, their response is that they use Organization Resources Counselors, Inc. (ORC) to determine COLA and as ORC adjusts COLA, so will my company... for inflation and exchange rates fluctuations (about 4x/yr). Has anyone had any experience with ORC? Do I need additional protection against exchange rate? Is it possible to be in a situation where the cost of living stays the same while the exchange rate shoots through the roof?
Also, the company will be covering only 80% of my housing in London and deducting 20% of it from my paycheck directly. They will not be paying for my mortgage in NYC (home location), but expects me to rent it out. The lease in London will be directly with the company. Their rationale is that I should still be responsible for part of the housing as if I am still living in NYC. This just seems wrong to me. What if I can't find a tenant or if my tenant leaves early? I may be forced to pay for both housing in NYC and 20% of the housing in London! The incomprehensible portion of the housing offer is that they are willing to cover up to 800GBP/wk housing! Oh yea, they will pay for utilities but not the council tax. What are your thoughts on the housing offer?
Thanks in advance for your help.
