Question: If you were a host-country national (HCN), would you think salaries should be equal between HCNs and expatriates in equivalent positions, even though the cost of living is lower in the host country? Suppose you were a president of a subsidiary in a host country, and as a parent-country national (PCN), you have a salary five times higher than that for the highest-paid HCN (your vice president). How would you feel about that? How would you feel if you were the HCN vice president?
As human resources (HR) director for an oil company, you are responsible for selecting 15 expatriates to go to work in Iraq for a five-year term. However, you are personally concerned about their safety. How do you proceed?