Psychology and the ‘Expat Blues’

Peter M. Forster

When Sally Williams (not her real name, but she is a real person) and her husband
followed his work to Suva, she found herself in an alien world with few resources to
help her adjust to the new life. Previously the manager of a web design business, she
was unable to obtain a work permit in Fiji. Cut off from family and friends, ignored
by her husband’s employer, uncertain about the future and, to cap it all, it rained
solidly for the first three weeks after her arrival, it brought on early signs of
depression and lowered self-confidence.

“I felt pretty bad - It took a lot of effort to pull myself out of that,” Sally recalled.
This is a familiar story to many of the families who travel abroad for work.

Although research by psychologists is beginning to understand the needs of people

working and living abroad, little of this is being reflected in organisational practice.
The result is unprepared, unhappy expatriates and high employee turnover.

An article in the March-April 1999 edition of Harvard Business Review makes the
point that 25 percent of expatriate employees leave their organisations within a year
of moving abroad. Expatriates are expensive to train and move, so if they go home
early, a lot of money is wasted. Studies have shown that, when predicting who will
cope best with working internationally, it is important to consider more than just
technical suitability. Psychological factors that are relevant include the employees’:

• Open-mindedness
• Flexibility
• Emotional stability
• Intellectual curiosity
• Relationship skills, and
• Ability to cope with stress and ambiguity

However, the most common reasons that expatriates leave before their contract is
complete are not individual factors within the employee, but family factors.
According to a survey conducted in 2001 by GMAC Global Relocation, the National
Foreign Trade Council and the SHRM Global Forum, the leading causes of
assignment failure are partner dissatisfaction (92%) and family concerns (90%).
Currently the dropout rate from assignments is estimated world-wide at 30-40%, and
in developing countries this is likely to be even higher. Some family qualities that are
important for coping with overseas assignments include:

• Family cohesion
• Communication skills
• Spouse’s willingness and ability to adjust to new environments

Family dynamics have become an important part of research into international

working, as dual-career relationships are more common than even 10 years ago.

For employers that want to cut down on staff turnover and improve the well-being of
their staff, taking these factors into consideration during the selection process and
then helping the selected staff with the transition is worth doing.

A consensus on useful practices for employers is starting to form. These include:

• Providing employees and their families with cross-cultural training before

departure and after arriving in the new country.
• Sending families for trial visits.
• Establishing clear job responsibilities and expectations for employees.
• Providing continuing practical support.
• Providing opportunities for expatriates to meet and mix with the local culture.

There are still questions that remain unanswered. Although we know many of the
qualities needed to succeed in a cross-cultural environment, we don’t know if it is
possible to train people in those skills and qualities. Also, little work has been done
on preparing people to return home.

If companies that employ expatriate staff want to bring down their costs and raise the
satisfaction of their employees, they should give serious thought to providing more
preparation and support to the whole family.