DUBLIN HAS BEEN ranked 49th most expensive city in the world for international employees in a new cost of living survey.
Mercer’s 2022 Cost of Living Survey launched today, which ranks 227 of the world’s costliest cities for expatriates ranked Hong Kong as the most expensive city for international workers, followed by Zurich and three other Swiss cities Geneva, Basel and Bern.
The survey placed Copenhagen in 11th place with London 15th, while in the Eurozone Vienna was placed 21st followed by Amsterdam (25), Munich (33), Paris (35) and Brussels (39).
Mercer’s cost of living data together with its mobility research, indicates widespread inflation, exchange rate variations and the rise of remote and flexible working, are having “a material impact on expatriate employees’ pay and savings”.
Mercer said these influences may have serious consequences for employers in the global battle for talent.
Noel O’Connor, Senior Consultant at Mercer Ireland said the weakening of the Euro against the dollar has influenced Dublin’s ranking in 2022.
“Additionally, high demand in the private rental market, often the biggest cost for companies placing employees on assignment, along with soaring utility costs, present challenges for employers of international assignees,” he said.
“Despite the impact of socio-economic headwinds, Dublin remains an attractive location for expatriates overall”.
O’Connor also said that the volatility triggered by Covid-19 and further worsened by the crisis in Ukraine, has fuelled global economic and political uncertainty.
“This uncertainty, coupled with significant rising inflation in most of the countries around the world, has international assignees concerned about their purchasing power and socio-economic stability,” he said.
Mercer has said companies need to carefully navigate international assignment costs/packages in times of uncertainty and adapt to the new world of work to ensure business resilience and sustainable futures for their mobile workforce.
“Employers need reliable data and clear strategies to navigate global mobility packages for international employees,” O’Connor said.
“In unstable times, it is essential to ensure not only their employees’ financial wellbeing, but also business efficiency and pay transparency.
“Failing to adapt international compensation strategies to the new world may undermine organisations’ ability to attract, develop and retain key talent.”
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