Expats in Hong Kong on lower packages than counterparts in mainland China, study finds

Middle-managers based in city get fifth best pay and benefits packages in Asia-Pacific region, but Beijing and Shanghai are getting more lucrative

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Turkish expats living in Hong Kong gather for a peaceful protest at the clock tower in Tsim Sha Tsui in support of protests in Istanbul against a public park being turned into a shopping mall in 2013. Photo: Sam Tsang

Published: 2:56am, 8 May 2015Updated: 2:57am, 8 May 2015

Hong Kong's expatriates have the fifth most-generous employment packages in the Asia-Pacific region, an annual study has shown, putting the city one place behind the mainland.

The typical expat middle-manager in the city received HK$2.1 million in pay and benefits, according to a survey of 320 multinational organisations and data for 10,000 staff collected by human resources consultancy ECA International last year. The total includes salaries, tax allowances and other benefits.

The total was down from HK$2.12 million in 2013, reflecting a fall of between 2 and 3 per cent in rents said Lee Quane, ECA's regional director for Asia. More companies had also chosen to bring expat pay in line with the salaries of local staff.

Expat packages on the mainland, especially Beijing and Shanghai, first overtook Hong Kong in 2013 and the gap has widened slightly: the typical expatriate north of the border collects a HK$2.14 million package.

"The yuan has appreciated against the US dollar. Housing costs have increased 5 per cent year-on-year in Shanghai or Beijing," Quane explained. "It is also a challenge to attract talents due to the liveability issues, especially air pollution.