While expats say salary is the most important element in the decision to work for an Asian company, culture is the most important factor in deciding to stay, says British recruiting firm Robert Walters.
In general, what attracts an employee to a company are not the same things that keep them there, said Gerrit Bouckaert, managing director of Robert Walters for Thailand and Vietnam.
Pay, belief in the company's growth potential and reputation, in that order, are the top three things that would make international professionals take a job at an Asian company.
Interestingly, pay is the least rewarding aspect of working for an Asian company for expats.
Mr Bouckaert says quality of life is key for keeping expats in Asia.
"It's not that expats perceive these companies as cheap or that they are in fact cheap," said Mr Bouckaert. "While entry-level jobs in Thai companies offer much less than those at their Western counterparts, senior managers in Thailand make more than managers in Europe."
The drastic shift in preferences, he said, can be attributed to the different stages of the hiring process employees are in.
"When employees leave their jobs they feel vulnerable and are looking for security, which often translates into monetary compensation," said Mr Bouckaert. "Once an employee is settled, he or she takes into consideration the whole quality of life, which includes relationships with their colleagues and the management team."
Local corporate culture, a closer relationship with management and a sense of giving back are the top three most rewarding aspects of working in an Asian company for international talent, said Robert Walters.
After a while, future prospects take the front row for most employees.
"It's the employee cycle, whether that takes one or 15 years," he said.
The top reasons why expats leave their jobs at Asian companies are lack of clear career progression and inadequate professional training.
Demand for international talent in the region is expected to expand as Asian companies expand globally. Close to 70% of Asian companies plan to internationalise their businesses in the coming three years, and 57% believe it is important to hire international talent to achieve this goal, according to the recruiting firm.
"We don't know if 57% is high or low compared with other markets, since the studies have not been conducted, but the prospects for expats looking for jobs in the region are robust," said Mr Bouckaert.
More than 40% of companies surveyed plan to grow their international workforce in the next 12 months.
Despite the perceived need to capture more international talent, many Asian companies still struggle to do so. About two-thirds of companies surveyed said it is more difficult to recruit international than local workers.
The main concerns are that international workers' salary expectations are much higher than the company's budget allows for, and that these workers are not a good cultural fit for the company.
Contrary to common assumptions, cultural differences are the least frequent reason expats give for deciding to leave their jobs in Asian companies, with only 18% saying it was an important factor. But that figure may be artificially low given that other factors cited for leaving may mask what are in fact culturally driven clashes.
While budget and culture are hard to change, Asian companies can start bridging the gap between supply and demand for international workers by adjusting their recruiting strategies. More than a third of Asian companies operate primarily through referrals, which may block a large portion of quality international applicants, who rely primarily on job boards or recruitment consultancies. In contrast, only 7% of the surveyed Western companies hire through referrals.
For Thailand, the lack of applicants with international credentials is compounded by the relatively small number of Thais working abroad.
"Generally, Thais that go abroad return home after completing their education, unlike their Asean counterparts," he said.
