An operational necessity to limit Salary Inflation

1
The Indisputable Case for SponsoredEmployment
from Overseas

• An operational necessity to limit Salary
  Inflation
• An operational initiative to reduce Staff
  Turnover
• A strategic step to assure Staff Supply Quality
• A direct operational Saving to the PL
• Filipinos workers will increase Productivity

2
Limit Salary Inflation

• Australias economy is booming creating strong
  employment growth
• Australia is already at full employment, so where
  do the extra people come from?
• Educational might be a long term solution, but
  International staffing is the only near-term
  solution.
• Local Australian staff can only be poached from
  other businesses - at inflated salaries
• Nobody leaves their current job for less money.
• Businesses should include a strategy to employ a
  percentage of International workers.
• Creates a braking effect on salary levels with
  an attractive option to local poaching.
• Highly skilled workers can then be initially
  employed at lower job classifications, and at
  entry levels in the respective salary bands.

3
Reduce Staff Turnover Cost

• The average employee tenure in an Australian
  business is now only 12 months.
• A recognition that employees can increase their
  salary much fast by job-hopping rather than with
  one employer
• Staff loyalty declines in a full employment
  market encouraging people to change jobs.
• This increases staff turnover
• The cost of turnover i.e. replacing and
  retraining a person in Australia can be up to 70
  of their annual salary.
• So if an employer can keep a 50,000 employee for
  3 years (and save one turnover cycle) then they
  effectively save the business up to 35,000
• Employing overseas staff on a 3-year 457 visa
  addresses all of these turnover issues and can
  significantly improve the PL

See for yourself Click here and download our
Cost-of-Turnover Calculator
4
Assure Staff Supply Quality

• Think of an Immigrant Sponsorship Agreement as a
  operational 2-year Staff Planning tool.
• Use it to guarantee staff supply with an
  individual Recruitment Agency.
• Plan for growth and recruit to the plan
• Establish a pipeline of International candidates
  to the standards required by the business.
• To underpin the supply of essential staff
• Inclusion of tailored assessment processes to
  each business ensures that quality of staff is
  achieved.
• To obtain high standards of skilled overseas
  workers.
• Obtain continued client feedback on each
  placement.
• To continually track quality of overseas workers

5
Direct Savings to the PL
                     
  Sponsored Overseas Employment - Client Fee and Savings Calculator Sponsored Overseas Employment - Client Fee and Savings Calculator Sponsored Overseas Employment - Client Fee and Savings Calculator Sponsored Overseas Employment - Client Fee and Savings Calculator Sponsored Overseas Employment - Client Fee and Savings Calculator Sponsored Overseas Employment - Client Fee and Savings Calculator Sponsored Overseas Employment - Client Fee and Savings Calculator Sponsored Overseas Employment - Client Fee and Savings Calculator Sponsored Overseas Employment - Client Fee and Savings Calculator  
  SEE FOR YOURSELF SEE FOR YOURSELF SEE FOR YOURSELF SEE FOR YOURSELF SEE FOR YOURSELF SEE FOR YOURSELF SEE FOR YOURSELF SEE FOR YOURSELF SEE FOR YOURSELF  
  The client benefits of employing International labour. The client benefits of employing International labour. The client benefits of employing International labour. The client benefits of employing International labour. The client benefits of employing International labour. The client benefits of employing International labour. The client benefits of employing International labour. The client benefits of employing International labour. The client benefits of employing International labour.  
                     
  ltEnter your Client Agency variables in the boxes belowgt ltEnter your Client Agency variables in the boxes belowgt           SAVINGS    
                     
  Agency fee of annual remuneration package 18.0 gtgtgtgt Total Agency fee to Client Total Agency fee to Client Total Agency fee to Client 8,640 (A)    
                     
  Remuneration package of Australian resource 58,000 gtgtgtgt Agency fee saving to Client Agency fee saving to Client Agency fee saving to Client   1,800    
                     
  Expected remuneration of FLB candidate 48,000 gtgtgtgt Comparable Agency fee for a client zero sum gain Comparable Agency fee for a client zero sum gain Comparable Agency fee for a client zero sum gain Comparable Agency fee for a client zero sum gain Comparable Agency fee for a client zero sum gain 75.0  
                   
  Expected duration of employment (2 to 4 years) 3 gtgtgtgt Total Salary Expense Saving to Client Total Salary Expense Saving to Client Total Salary Expense Saving to Client Total Salary Expense Saving to Client 30,000 36,010  
                  (AB)  
  Total additional Client expenses for International sponsorships Total additional Client expenses for International sponsorships 4,430              
  Sponsorship Nomination Fees 280                
  Candidate International Return Air-fare 1,200 gtgtgtgt Total Recruitment Saving to Client Total Recruitment Saving to Client Total Recruitment Saving to Client Total Recruitment Saving to Client 27,370 (B)  
  Local Travel Logistics on Australian Arrival 250                
  Australian Health Insurance 2,700                
  Other                  
                     
    Produced by FLB Overseas (Aust) Pty Ltd Produced by FLB Overseas (Aust) Pty Ltd Produced by FLB Overseas (Aust) Pty Ltd Produced by FLB Overseas (Aust) Pty Ltd          
    www.flboverseas.com.au www.flboverseas.com.au www.flboverseas.com.au www.flboverseas.com.au          
                     
Click here to download our Direct Savings
Calculator
6
Higher levels of Productivity

• Productivity is defined as Output/Cost.
• Therefore the there are only three ways to
  increase employee productivity
• Increase employee Output
• Reduce employee labour cost
• or do Both 1 2.
• Filipino workers yield higher productivity
• In Australia only to work to improve their family
  situation back in the Philippines (strong
  Christian family values)
• Higher skilled workers will work in lower paid
  jobs
• Hardworking and trustworthy and will work longer
  hours
• Resulting in both Increased output AND reduced
  labour cost