Living Will, Estate Law,Legal Issues

If you have just been graduated from nurse school, why don’t try to have a travel to several countries while doing a job as a nurse? Yes, nowadays there are some chances for nurses to meet people from other countries while they are working.

The program names Travel Nurse Jobs. If you are a nurse and you want to try something new, you should try this one. However, this job would require an outgoing person because you will do the jobs across the world by travelling from one place to another place. Friendly and easy going traits plus the excitement of travelling will help you to get one ticket to have this job in hands. Travel nurse jobs will never be a boring thing, besides you will get a great adventure with some people who hold the same occupation with you, you will also get more experiences and money as well.

By choosing this job, you can work anywhere in the country over the world. If you want to go to a particular place, you can choose a renewal and stay on a longer period contract. The fee for this job is typically 20% higher than other jobs in particular areas. However, by taking this chance, you can also have a freedom in your hands, you will live independently. Sounds nice, right? So, why don’t you give it a try?

Lawyers are the backbone of the legal system that affects each one in the society. Looked upon by the society, they have great responsibilities and are obliged to adhere to strict code of ethics.

Lawyers also called attorneys represent the parties in court cases or trials. They argue and present evidence either in support of or against the parties. They educate their clients about their legal rights, obligations and instruct in business or personal matters. Whether they are defending or prosecuting, lawyers must the laws and judicial decisions that would apply to their case. Lawyers job depends upon his/her field of specialization:

Private lawyers focus on civil or criminal law representing private individuals. They pursue litigation; deal with wills, contracts, trusts, leases, etc.

Trial lawyers specialize in trial work; they should be able to think and speak quickly with ease and authority. They are found mostly found outside the courtroom, conducting research, interviewing the clients, witnesses and other details that help prepare a trial.

Corporate lawyers work solely for corporate advising them on legal issues related to its businesses like patents, property interests, agreements with unions, government regulations, and contracts with other companies.

Lawyers who specialize in intellectual property law protect their clients claim to copyrights, product designs and creative works.

Patent lawyers advise on patent laws allowing the client to protect their new invention of a product or a process.

Insurance lawyers work with insurance companies. They advise on legal issues related to insurance transactions, writing policies, protecting the companies from unwarranted claims and actions.

Lawyers specializing in environmental law act for waste disposal companies or construction firms whose works deal with environmental issues. The help prepare and file for licenses and applications for activities, which may affect the environment.

Government lawyers on state level work as prosecutors, attorney generals, public defenders for the government, while at federal level; they investigate cases for department of justice and other related agencies. They help in developing programs, drafting and interpreting laws and legislation for the government.

Some lawyers work for law school or teach in non-academic environment. There are lawyers who work for legal aid societies like non-profit organizations for disadvantaged people handling more of civil cases. Bankruptcy, probate and international laws are other areas of specialization.

Lawyers mostly work in their offices, courtrooms, and law libraries. Those practicing privately have irregular working hours, while salaried ones have regular hours. They face tremendous pressure when their case is being tried in the court. Lawyers hold meetings either at clients home or at office, hospitals or at prisons. They have to travel to meet people, gather evidence, and appear before courts or any legislative authorities to present their case.

No lawyer can practice law without a license. Studying to be a lawyer is not an easy task. Educational pre-requisites for lawyers is four year college degree followed by three years in law school and thereafter passing the written bar examination. If one does not appear for bar exam, he/she is not called a lawyer and cannot practice.

There is intense competition for admission to most law schools. With large number of students graduating from law school every year, graduates with high ranking academic records from well known law schools have the best lawyers job opportunities. If a lawyer is willing to relocate to a new country or state, he/she has to take additional examinations to be a licensed practitioner.

In today’s litigious society, it can be easy for the nursing staff to become involved directly or indirectly in legal matters. However, just as the amount of cases has increased, there are some common themes among legal battles involving nursing practitioners that have stood out. By understanding some of the issues at work, nurses can avoid many of the trouble or high risk areas that might create future legal situations. Over-stressed and exhausted individuals can make errors which could develop into legal entanglements. Though, with today’s nursing shortage, longer hours and increased patient load may be unavoidable. Here are a few areas in which nurses could possibly be placed in a legal situation.

Negligence

Obviously, if a nurse is neglecting the patients in his or her care, the nurse can be held responsible for the negligence. Negligence is the failure to take an action that should be attended to. Medication not administered, care not given, supervision not provided-all of these things may qualify as negligence. A patient has the right to expect that a certain level of care would be provided to them. If this level is not maintained, the patient may have grounds for pursuing legal action to remedy the results of the negligent activities.

Malpractice

As opposed to negligence, malpractice is doing something wrong when it was reasonable to expect that the activity would be done correctly. For example, if a nurse does range of motion movements on a patient incorrectly and causes additional strain or pain to the joints, this might be considered malpractice, since it is to be expected that a nurse would be trained in doing such tasks correctly. It does not matter why the malpractice occurred, but it can be the result of fatigue or incomplete or inadequate training. Malpractice is tied to legal risks in many hospital settings each year, although it is more commonly thought of in connection with doctors than nursing staff.

Accidents

An accident is an unforeseen circumstance that is not necessarily due to negligence on the part of the nurse. An accident might occur if a nurse’s action is done incorrectly with full knowledge of the correct way to perform the task. An accident could also occur if a patient who is allowed to be out of bed without supervision slips and falls. Although it is a legal risk, this scenario may not be as difficult to defend as negligence or malpractice. However, since the victim may be looking for someone to blame for their misfortune, the nurse may very well be tied up with legal issues in this particular situation.

The Actions of Another

If the actions of other personnel or staff fall under the heading of negligence or malpractice and it is not reported, you may potentially be held accountable for legal implications resulting from negative activities. If a nurse knows of a co worker who is abusing drugs, for example, and that nurse allows that activity to continue, the nurse can be held responsible for any harm that is caused while that nurse was under the influence. If someone under a nurse’s supervision is not adequately trained in transferring patients, that nurse has some responsibility to encourage them to learn the missing skills. This is to protect the patient and the staff member from injury.

Documentation

One of the greatest legal defenses a nurse has is to always document properly. This can work the other way as well though, and a nurse can be held responsible if there are documentation errors. The patient’s charts are the legal record of actions taken medically on their behalf. It is critically important that such records be complete and accurate. If there is a controversial order on the chart, in the view of the nurse, then it would be wise to verify. Legal risks are higher if the charting is done incorrectly, or inadequately.

Certification and Licensing

A nurse that does not have current certification and licensing may become involved in legal entanglements, particularly if any other activities attract the attention of the authorities. Practicing medicine without being properly trained can be dangerous for the patient, but can result in huge fines and even prison time for the person who is found guilty of such acts.

These examples represent occasions when a nurse may be involved in activities that cause risk legally either to the nurse or the other medical staff in the facility. Different types of nursing situations may be more prone to risk than others. For example, a hospital setting may be more likely to have certain types of legal risks. Home health care may display another type of risk, while nursing home care may represent another entire group of risk factors.

With the demand for more accurate and easily read legal records on the rise, many individuals are looking to start a career in legal transcription because of the growing need for their services. Legal transcription is a great career choice due to the ease of getting started and the abundance of work available. The need for well-trained legal transcriptionists, however, is vast due to the numerous companies that hire employees who are unqualified and inexperienced in the legal field.

The majority of businesses do require some sort of basic training in order to be hired as a legal transcriptionist, and it is rare to find one that will hire someone with no transcription experience. Generally, businesses require their employees to have a strong working knowledge of legal terminology, the English language, and the use of correct grammar. It is also a good idea to become familiar with the fundamentals of law, the court systems and litigation and to know how a law office works in order to ensure success in the business. Legal transcriptionists are generally required to be masters at dictation because they will use it so frequently on the job. It is wise for individuals to do extensive research on legal transcription before choosing it as a career. Researching individual businesses requirements is of even greater importance because all businesses are entitled to set their own qualifications to be required of their employees.

Since some form of training will be preferred, it is good to know that there are many training options from which to choose. Training to be a legal transcriptionist is more flexible than ever before. Individuals wishing to pursue this career can choose to train in a school, at home, or online, with several of these options overlapping. This versatility allows more people to become well-trained legal transcriptionists because they now have the time and ability to find quality training programs, whereas before they may have had to travel long distances to study in a specific college that offered the transcription courses.

A good place to look for schools that provide legal transcription training is CollegeSurfing.com. This site links individuals to several schools that offer training for legal transcription. On the site, individuals can browse through many state and community colleges that offer associate degrees or certification courses in legal transcription. CollegeSurfing.com also provides access to many online colleges and programs that make training for legal transcription even easier.

MedWord is an online resource that provides training courses in all facets of transcription. They have most of the basic training that is common today but also have the added perk of giving specialized courses to teach valuable skills that are used nearly every day on the job. People who choose to take MedWord courses will enter the job field with valuable knowledge of the legal system in addition to transcription basics, helping to make them better and more desirable employees.

In addition to online and college courses, many employers will allow individuals to train on the job, so they can earn money and train at the same time. This option is more convenient for the transcriptionist but can be a hassle if it is a small company. With that said, most businesses that choose to allow for on the job training have several well-trained transcriptionists on staff who have the time and skill to train newcomers properly. Although this option can take more time, businesses that use it are able to personally mold individuals into the type of workers that their company needs and are more likely to keep employees longer.

There are many different training options for legal transcriptionists today. Individuals can choose from an endless number of courses and programs that teach them valuable skills for the field. Many transcriptionists further their careers into paralegal studies or even law. The availability and ease of the training process is leading more qualified individuals to work as legal transcriptionists and provide better legal records for organizations all over the U.S.

Legal transcription has come into the public view recently being recognized for its efficient and professional influence on legal records and is steadily becoming a popular trend in the legal field. Legal transcriptionists, much like their counterparts in the medical field, listen to dictations from legal professionals and type them into documents that are edited and grammatically correct. These transcriptionists generally listen to testimonies, interrogations, court hearings, and pleadings, after which they compose what they heard into an easily understood document that will turn into record.

Legal transcriptionists generally work for larger firms or private practice attorneys who have a large number of cases. They are also widely used by large corporations, governmental departments, insurance companies, and banks that all have a need for more accurate legal records. A large number of transcriptionists work for the U.S. government attempting to establish a more organized and complete record system.

In order to be good legal transcriptionists, individuals should have a solid understanding of legal terminology. They should have impeccable grammar and a good command of the English language. After transcriptions are complete they become legal records that are extremely useful to lawyers when they are researching to win a case. Thanks to these transcriptionists, legal records are now more clearly written and thorough. The lawyers and paralegals who wrote the records before were often too busy to make sure the records were exact.

The job market is unique in that there is little competition and plenty of jobs. This fact is most likely due to the overwhelming need for accurate and more advanced legal records to help businesses keep better records and provide their clients with more protection. Other ways legal transcriptionists are hired is by companies that choose to outsource the work for lower costs and increased quality. By outsourcing, companies will generally have a quicker turnaround rate as well because they are dividing jobs across the board rather than giving them all to one particular person. However, there has been a growing trend that has threatened the U.S. job market slightly. Many overseas companies have begun to lend their services to U.S. companies for less money and with a quicker turnaround. These companies, with the majority being found in India, have obtained many U.S. clients who choose their services for the lower costs and to get more records completed. Yet, the news is not all bad. Many other businesses look to legal transcriptionists in the U.S. because they have a better understanding of the laws and the English language, a quality that the overseas companies cannot offer.

Although no formal training is required to become a legal transcriptionist, many companies require a basic knowledge of legal terminology and excellent grammatical skills. They also tend to gravitate toward individuals who have prior experience in the medical field, writing, or an extensive knowledge of English. However, there is a new trend in legal transcription that is lowering the chances of less qualified individuals getting jobs. Many companies are hiring retired lawyers to join their team and write up new records. These individuals are good candidates for legal transcription because they know the legal lingo, the laws, and generally people in the business to help them get started. They also have the added advantage of knowing precisely what is needed in files and what is unnecessary.

Although they play a key role in the security and development of better legal records, legal transcriptionists are often underappreciated. The legal transcription field has not yet gained support from governmental organizations as medical transcriptionists have, but their role as newcomers to the business is likely to blame. Despite that, legal transcriptionists are steadily becoming permanent fixtures on law firm and government department payrolls and the need for their services will likely continue to grow even more.

In recent years, the demand for talented and professional individuals to take on the task of writing accurate and grammatically correct legal records has been on the rise. These individuals, known as legal transcriptionists, are being looked to in order to take some of the workload from lawyers and paralegals who have a need for accurate records but do not have the time to construct them. Many reputable companies and individuals are now providing their services to law firms, banks, insurance companies, and government organizations in order to quickly supply legal records that are easier to understand. Not only are these services easing the workload of busy professionals, they are also improving the quality of legal records to make for more accurate and organized legal systems.

Legal transcriptionists use the latest technology to take dictations from legal professionals and transcribe them into official documents. These professionals generally work as secretaries in offices, allowing them full access to files and information. This profession is rising in importance as the need for accurate documentation increases. Their services help to create and maintain organized and detailed legal records that will help their superiors win more cases or conduct better business. The records created by legal transcriptionists also allow for a more efficiently run company because the workers spend less time concentrating on organization and more time on productive work.

Today there are several reputable companies that provide top-notch transcription services to those in need. TranscriptionStar is one of the most well-known transcription service providers that supply services to numerous corporations and small businesses in the U.S. and Europe. They work under the head of iSource, which uses the latest technology to provide high-quality, cost effective transcription services to their vast client base. TranscriptionStar provides several areas of transcription services other than legal that include medical, business, research, educational, and media. TranscriptionStar is HIPAA compliant and provides strict security in accordance with PHI Privacy and Security.

For larger jobs, RapidText.com is a good service that provides legal transcription to various businesses but prefers to work on larger projects and establish long-term relationships. The company employs around 250 transcriptionists who are well-trained and knowledgeable in several different fields, helping to provide the best and most complete documents possible.

For smaller or average sized jobs, TranscriptionStudio.com is a good place to look. TranscriptionStudio offers experienced professionals who have knowledge in a variety of legal areas. The versatility that this service provides allows the employees to supply transcription services to a variety of legal sectors. The company specializes in insurance, government, law, and media related fields and offers a one hunderd percent satisfaction guarantee.

UKtyping is another company that offers legal transcription to various groups. The company specializes in strictly legal services and has the advantage of vast knowledge in everything legal related. UKtyping provides great resources and tools to aid in dictation and record creation. The company works mainly with lawyers, doctors, accountants, authors, and property professionals but claims to be able to adapt to most other fields.

NCH.com is a site that supplies a list of businesses that are currently looking for transcriptionists. The site posts jobs from companies located all over the world, including the U.S., Canada, Asia, and Europe.

The services provided by legal transcriptionists are becoming invaluable resources to various companies throughout the U.S. These legal secretaries are single-handedly improving the way organizations run their businesses. The outpour of positions that are now available give the added perk of versatility in the workplace, allowing transcriptionists to find jobs in various sectors other than the legal world. Although these professionals do not always receive the recognition they deserve, there are steps being taken to create organizations that will promote better treatment and provide more rights to legal transcriptionists. These organizations will also be able to spell out precisely which qualifications should be necessary before embarking on a career in legal transcription. Hopefully these advancements will create better working conditions and help improve America’s legal record system.

A Cost of Living Allowance (COLA) is a salary supplement paid to employees to cover differences in the cost of living, particularly as a result of an international assignment.

The amount of COLA should enable an expatriate to be able to purchase the same basket of goods and services in the host location as they could in their home country. The basis for calculating a COLA is the Cost of Living Index (COLI) which indexes the costs of the same basket of goods and services in different geographic locations. COLA is a simple accurate method of measuring fluctuating salary purchasing power and ensuring parity.

Cost of Living Index

Our cost of Living Indexes measure the cost of 230 products and services across 13 different basket groups in 276 cities across the globe. The data is gathered by a team of research analysts who survey comparable items that are available internationally. A minimum of 3 prices for the same brand/size/volume of product is used to determine the average price for each item in each location. The items are priced on a quarterly basis and tend to rise and fall with inflation. The 13 different basket categories are as follows:

?Alcohol & Tobacco: Alcoholic beverages and tobacco products

oAlcohol at Bar

oBeer

oCigarettes

oLocally Produced Spirit

oWhiskey

oWine

?Clothing: Clothing and footwear products

oBusiness Suits

oCasual Clothing

oChildren’s Clothing and footwear

oCoats and hats

oEvening Wear

oShoe Repairs

oUnderwear

?Communication

oHome Telephone Rental and Call Charges

oInternet Connection and service provider fees

oMobile / Cellular Phone Contract and Calls

?Education

oCrèche / Pre-School Fees

oHigh School / College Fees

oPrimary School Fees

oTertiary Study Fees

?Furniture & Appliances: Furniture, household equipment and household appliances

oDVD Player

oFridge Freezer

oIron

oKettle, Toaster, Microwave

oLight Bulbs

oTelevision

oVacuum Cleaner

oWashing Machine

?Groceries: Food, non-alcoholic beverages and cleaning material

oBaby Consumables

oBaked Goods

oBaking

oCanned Foods

oCheese

oCleaning Products

oDairy

oFresh Fruits

oFresh Vegetables

oFruit Juices

oFrozen

oMeat

oOil & Vinegars

oPet Food

oPre-Prepared Meals

oSauces

oSeafood

oSnacks

oSoft Drinks

oSpices & Herbs

?Healthcare: General Healthcare, Medical and Medical Insurance

oGeneral Practitioner Consultation rates

oHospital Private Ward Daily Rate

oNon-Prescription Medicine

oPrivate Medical Insurance / Medical Aid Contributions

?Household: Housing, water, electricity, household gas, household fuels, local rates and residential taxes

oHouse / Flat Mortgage

oHouse / Flat Rental

oHousehold Electricity Consumption

oHousehold Gas / Fuel Consumption

oHousehold Water Consumption

oLocal Property Rates / Taxes / Levies

?Miscellaneous: Stationary, Linen and general goods and services

oDomestic Help

oDry Cleaning

oLinen

oOffice Supplies

oNewspapers and Magazines

oPostage Stamps

?Personal Care: Personal Care products and services

oCosmetics

oHaircare

oMoisturiser / Sun Block

oNappies

oPain Relief Tablets

oToilet Paper

oToothpaste

oSoap / Shampoo / Conditioner

?Recreation and Culture

oBooks

oCamera Film

oCinema Ticket

oDVD and CD’s

oSports goods

oTheatre Ticket

?Restaurants, Meals Out and Hotels

oBusiness Dinner

oDinner at Restaurant (non fast food)

oHotel Rates

oTake Away Drinks & Snacks (fast Food)

?Transport: Public Transport, Vehicle Costs, Vehicle Fuel, Vehicle Insurance and Vehicle Maintenance

oHire Purchase / Lease of Vehicle

oPetrol / Diesel

oPublic Transport

oService Maintenance

oTyres

oVehicle Insurance

oVehicle Purchase

Each basket category does not count equally and are weighted in the final calculation based on expatriate spending patterns.

In order to calculate an accurate cost of living index for a specific individual the basket items that are not relevant to the individual should be excluded from the calculation. For example if education and housing is provided by the employer these basket categories would be excluded from the cost of living index calculation. This increases the accuracy of the cost of living index and makes it possible for each individual to have their own customized cost of living index based on their specific arrangements rather than using an overall “generic” index which is likely to contains costs that are not relevant to the individual.

The formula for calculating the specific cost of living index for an international assignment is as follows:

Cost of Living Index = Customized Cost of Living Index for Host City / Customized Cost of Living Index for Home City

When moving to a higher cost of living host city, the index will be greater than 1 (positive). When moving to a lower cost of living host city the index will be less than 1 (negative). Where the index is negative it means that in real terms the cost of living in the host city is lower than the home city. This means that if the negative index where to be applied to the employee’s salary, they would actually be paid proportionately less spendable salary in the host city. It is important to note that the majority of organizations do not apply a negative cost of living index because it makes it difficult to persuade an employee to take up an assignment as they tend to see it as a reduction in salary.

Examples of Cost of Living Index Calculations using our data:

Example 1) An Australian employee moving from Perth to London where healthcare and communication will be provided by the employer

More Expensive in London:

?Alcohol & Tobacco +4.77%

?Clothing +21.85%

?Education +31.53%

?Furniture & Appliances +16.03%

?Groceries +16.35%

?Household +50.72%

?Miscellaneous +137.47%

?Personal Care +11.18%

?Recreation & Culture -6.82%

?Restaurants Meals Out and Hotels +34.99%

?Transport +19.80%

The overall difference in cost of living moving from Perth and London is +28.06%.

In this case the cost of living index is positive and would be applied as it is.

Example 2) A British employee moving from London to Mumbai where the employer will provide housing and education

More Expensive in Mumbai:

Alcohol & Tobacco -37.53%

Clothing -9.58%

Communication -44.92%

Furniture & Appliances -19.31%

Groceries -24.03%

Healthcare -31.24%

Miscellaneous -72.43%

Personal Care -24.94%

Recreation & Culture -35.73%

Restaurants Meals Out and Hotels -33.11%

Transport is -27.99%

The overall difference in cost of living moving from London Mumbai is -30.53%.

In this case the cost of living index is negative and would not be applied.

Net Spendable Salary

Differences in cost of living only impact the portion of the salary that is spendable in the host country. Items in the home country such as retirement funding, medical insurance and other home based costs are not impacted by the cost of living in the host country.

To determine the Net Spendable Salary establish what amount / portion of the current salary (in home currency) is spent in maintaining the employee’s current standard of living / lifestyle. What will the expatriate need to spend their salary on in the host country? For example will accommodation be provided or will the employee pay rent, will healthcare be provided etc. Deduct all items that are either provided in kind or are spendable in the home country. Deduct the hypothetical amount of tax, social contributions and any other statutory deductions applicable in the home country from the Spendable Salary. What is left is the Net Spendable Salary.

Cost of Living Allowance (COLA)

The formula for calculating the cost of living allowance using the above inputs is as follows:

(Net Spendable Salary X Cost of Living Index X Hardship Index X Exchange Rate) less (Net Spendable Salary X Exchange Rate) = COLA

Examples of COLA Calculations using our data

Example 1) An Australian employee with a net spendable salary of AUD$100,000 moving from Perth to London where healthcare and communication will be provided by the employer

($100,000.00 X 1.2806 X 1 X 0.4768) less ($100,000.00 X 0.4768) = COLA of £13,379.44 (GBP)

Based on all the above factors a person would require a Cost of Living Allowance of £13,379.44 (GBP), in addition to their current salary of 100,000.00 Australian Dollar (AUD) to compensate for relocating from Perth to London. This Cost of Living Allowance compensates for the overall cost of living difference of +28.06% and the relative difference in hardship of 0%.

Example 2) A British employee with a net spendable salary of £18,000 moving from London to Mumbai where the employer will provide housing and education

Note: Because the Cost of Living Index is negative it is not applied.

(£18,000.00 X 1 X 1.3 X 67.2852) less (£18,000.00 X67.2852) = COLA of 363,340.32 Indian Rupee

Based on all the above factors a person would require a Cost of Living Allowance of 363,340.32 (INR ), in addition to their current salary of £18,000.00 British Pound (GBP ) to compensate for relocating from London to Mumbai. This Cost of Living Allowance compensates for the overall cost of living difference of [-30.53%] and the relative difference in hardship of 30%.

COLA Payment

The COLA is paid as a salary supplement (i.e. as an additional allowance) net of tax in the host country. If the COLA is a taxable allowance in the host country it should be grossed up in order that the full amount of calculated COLA is paid net of tax given that the basis of the calculation is Net Spendable Salary. The COLA is often accompanied by other allowances and benefits such as flights home, relocation / settling in allowance, and furnishing allowance.

Exchange Rate Fluctuations

Significant changes in the exchange rate can make a considerable difference in the COLA calculation. In 2008 some of the major global exchange rates changed by as much as 30-40%.

The cost of living index reflects the changes caused by inflation and exchange rates. In the short-term there may be disequilibrium between inflation and the exchange rate (the one pushes the other), however over time the cost of living index provides the most accurate view of the cost of living.

It is important to remind expatriates that when the cost of living difference is negative, and the negative value has not been applied, they have higher purchasing power in the host country than they would at home.

Where a negative cost of living index has not been applied (our recommended approach), and a change in the exchange rate indicates an upward adjustment in COLA may be required, it is recommended that the COLA should not be adjusted upward until the cost of living index becomes positive i.e. the cost of living reflects that there is a “real” increase in cost of living between home and host countries. This may mean that their would be no increase in the COLA as a result of exchange rate fluctuations for some considerable time. During this time the employee’s purchasing power decreases. But it is important to remember that until the cost of living difference becomes positive, the individual will still have a higher purchasing power than they do in their home country.

It is advisable to stipulate a currency protection rule, rather than reacting to every fluctuation in the exchange rate. For example the rule may state that COLA will be reviewed if exchange rates or local inflation move by more than +10% during a year. It is important to keep in mind that the prices of goods and services are unlikely to drop in local currency. This would only occur in a period of deflation (negative inflation). Therefore the currency protection rule would normally make provision for upward adjustments in COLA and not downward adjustments during an employee’s assignment. Downward adjustments to an existing COLA due to exchange rate fluctuations without a corresponding drop in the prices of local goods and services puts immense pressure on an employee’s host currency budget commitments and can lead to the employee experiencing financial difficulty.

Using an independent service provider provides an independent, objective basis for determining an employee’s COLA.

We recommend therefore that a COLA is calculated by applying the specific (customized) cost of living index to the net spendable salary at the beginning of the assignment and monitoring exchange rate fluctuations thereafter in addition to the annual salary review.