BANGKOK: Bangkok has been ranked third amongst the costliest cities in South-East Asia for international workers by business adviser Mercer.
This year’s ranking was conducted on 226 cities across five continents. It assessed the comparative costs of over 200 items in each location - from housing and transportation to food, clothing, household goods and entertainment.
Singapore topped the costliest cities in the region, followed by Cambodia’s capital Phnom Penh, Bangkok, Manila, Jakarta, Hanoi, Bandar Seri Begawan, Kuala Lumpur and Vientiane.
However, Thailand’s capital was named 129th among the costliest cities globally, dropping by 24 places from last year’s ranking.
The top three costliest cities for international workers were Hong Kong, Singapore and Zurich, the same positions in the rankings that they held last year.
In addition to Hong Kong and Singapore, the other most expensive cities in Asia included Shanghai (23), Beijing (25) and Seoul (32).
Mercer pointed out that there were many economic factors that triggered an impact on the cost of living in major cities. Inflation and exchange-rate fluctuations are directly affecting the pay and savings of internationally mobile employees, the company said.
It added that heightened economic and geopolitical volatility, as well as local conflicts and emergencies, have led to additional expenses in such areas as housing, utilities, local taxes and education.
“The cost-of-living crisis has already had a significant impact on the mobile talent employed by multinational organisations,” the company said.
“For businesses, this has made it more difficult to attract and retain top talent. It has also increased the costs of compensation and benefits, limited talent mobility options and raised general operational costs.”
Mercer advised organisations to stay informed about the cost-of-living trends and inflation rates in the different locations in which they operate, as well as understand how price changes are affecting their employees.
“Organisations should explore innovative solutions to address these issues - to ensure the well-being and satisfaction of their employees,” the company said.
“As there are multiple issues to contend with, any solutions should be tailored to meet the specific needs of the businesses, places and people involved.” – The Nation/ANN
