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Unit 5: Recruitment and Selection for International Assignments

countries within the European Union. It is therefore important that HR staff keep up-to- Notes
date with changing legislation in the countries in which the multinational is involved.
Generally a work permit is granted to the expatriate only. The accompanying spouse or
partner may not be permitted to work in the host country. Increasingly, multinationals
are finding that the inability of the spouse to work in the host country may cause the
selected candidate to reject the offer of an international assignment.
5. Selecting TCNs: When selecting TCNs from within its own operations, the individual
factors identified – technical ability, cross-cultural adaptability, and family requirements
influence their selection. Situational factors may dominate the selection decision – such as
lack of suitably qualified or available PCNs. The issue of work permits may be crucial
determinate in the ability to use TCNs, as governments would prefer to see their own
nationals employed. It may be harder to justify the use of TCNs than PCNs.
For companies developing a geocentric staffing policy, transferring subsidiary staff to
other subsidiaries, as well as to headquarters, is an important part of creating an
international team. When recruiting and selecting external candidates for TCN positions,
there may be a danger that the multinational will place more emphasis on the potential
candidate’s ability to fit into the multinational’s corporate culture rather than on cross-
cultural ability.

An emerging trend is the use of foreign-born nationals, recruiting from ethic groups
living abroad.

Example: U.K. multinational may select a Canadian-born Chinese to head up its Chinese
facility. The majority of expatriate managers working in China were overseas Chinese from
Malaysia, Singapore, Hong Kong and Taiwan. The underlying assumption appears to be that
such appointments will reduce cross-cultural difficulties.

6. Selecting HCNs: The multinational must observe the host-country’s legal requirements
and social customs for hiring staff. Appointing a HCN as the HR manager is attractive
when the strategy is to appear as localised as possible. It is a way of ensuring that the local
operation conforms to local standards, thus avoiding the “bad press” that can result from
non-adherence.
Mode of entry is an important consideration. If the multinational establishes its own
facility, it has more discretion in its hiring practices. Entry through acquisition generally
means a ready-made workforce initially.

Example: South Korean multinationals have tended to follow a “growth-through-
acquisition” strategy, and have generally encountered more staffing and labour problems than
have Japanese multinationals that preferred a “greenfield sites” strategy. Some Western firms
entering China have found staffing to be somewhat problematical, as state-owned partners
often insist that all, or almost all, existing employees are utilised by the joint venture.
In the recruitment and selection process, multinationals must address the issue of Equal
Employment Opportunity (EEO) for employees in all employment locations.

Example: Mandatory retirement and hiring ages are illegal in the United States and
some other countries, but remain a legal requirement in other countries.
Equal employment opportunity laws are expressions of social values with regard to employment
and reflect the values of a society or country. In parts of the Middle East, Africa, Asia, and Latin

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