• Turbulence in economies with associated
negative effects on exchange rates or
inflation – can be an issue for compensation
for either expatriate employees and/or
locally recruited employees
• Recessions have implications for lay-offs
and downsizing, plus drive for more
cost-efficient HR solutions
• Reduced value of company may have
implications for resourcing levels
• Fiscal implications such as tax, exchange
rates and price of goods on cost of living