The State Dept’s Most Expensive Assignments in the World (February 2015)

Posted: 11:31 EST
Updated: 21:57 PST

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The “cost-of-living” allowance or COLA is officially called “post allowance” in the State Department.  It is an allowance based on a percentage of “spendable income,” i.e. money you can really put your hands on to spend on goods and services.  The allowance is calculated by comparing costs for goods and services in multiple categories – including food (consumed at home or in restaurants), tobacco/alcohol, clothing, personal care items, furnishings, household goods, medical services, recreation, public transportation, or vehicle-related expenses – to the cost of those same goods and services in Washington, D.C.

The State Department’s Office of Allowances determines a ratio between the average cost of goods and services at the foreign post to costs in Washington, D.C.  It then evaluate expenditure patterns between the foreign location and Washington, D.C. to establish an overall cost index, which may be adjusted biweekly for exchange rate fluctuations.  If the overall cost of goods and services at a foreign post, taking into account expenditure patterns, is at least 3% above the cost of the same goods and services in the Washington, D.C. area, the office  establish a post allowance. See DSSR section 220 for more information.

According to state.gov, this allowance is a balancing factor designed to permit employees to spend the same portion of their basic compensation for current living as they would in Washington, D.C., without incurring a reduction in their standard of living because of higher costs of goods and services at the post.  The amount varies depending on salary level and family size.

We put together a list of countries and posts with the highest State Department COLA rate as of January 2015. Posts in Europe (EUR), Africa (AF), East Asia Pacific (EAP) and the Western Hemisphere (WHA) are represented.  No posts from South Central Asia (SCA) and Near East Asia (NEA) made it to this top list.  The traditionally expected expensive posts like Tokyo, Vienna, Hong Kong, Sydney and Rome are all in the 35% COLA rate and are not included in this list (we chopped the list at 42%; representative posts in France at the 42% rate are included).

Note that we added a couple of columns for the cost of a McDonald’s meal (or equivalent) and cost of a regular cappuccino from numbeo.com, a crowdsourcing site for cost of goods and services around the world. For another snapshot  on most expensive cities for expat employees, click here with data from the Economist Intelligence Unit’s Worldwide Cost of Living ranking (costs compared to NYC) and Mercer’s Cost of Living surveys from 2014.

DOS | Most Expensive Assignments in the World (February 8, 2015)

DOS | Most Expensive Assignments in the World (February 8, 2015)

 

 Update:
Corrected the spelling for Ediburgh. Also the Allowances Bi-Weekly Updates dated February 8, 2015 indicate several changes on the COLA table, so we updated it to reflect that newest data. Switzerland went from 90% to 100% in this latest update. Shanghai, Copenhagen, Auckland and Wellington went from 50% to 42% COLA posts.  Helsinki, Paris, Lyon, Marseille, Versailles and Oslo were all downgraded from 42% to 35%, so we took them off this table. It is conceivable that the rankings in allowances will change again in a couple of weeks or in a few months.  The bi-weekly updates are located here.  The original list we did based on end of January data is located here.

 

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Peter Van Buren Writes An Embassy Evacuation Explainer For DipNote No, Reuters

Posted: 01:04 EST

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On February 11, the State Department  suspended US Embassy operations in Yemen and relocated its remaining skeleton staff outside of the country until further notice.  News report says that more than 25 vehicles were taken by Houthi rebels after the American staff departed Sanaa’s airport.  According to WaPo, Abdulmalek al-Ajri, a member of the Houthis’ political bureau, said that the seized vehicles would be returned to local staff at the U.S. Embassy on Wednesday evening, with a U.N. official observing the handover.

Ajri said the U.S. Embassy was being guarded by Yemeni security forces, which have fallen under the Houthis’ control. The security forces have not entered the embassy compound, which is still being managed by the facility’s local Yemeni staff, he said.
[…]
Ajri said he did not know how many embassy vehicles the group had seized at the airport. He claimed that a fight broke out over the vehicles between local embassy staffers, forcing Houthi fighters to intervene and seize them.

We haven’t heard anything about the return of those vehicles to Embassy Sana’a. As to this purported fight between local embassy staffers over the embassy vehicles, that is simply ridiculous — what, like the local employees are fighting over who could take which armored vehicle home? That’s silly.

What is not silly is that we still have local employees at Embassy Sana’a. They, typically, are not evacuated when post suspends operations.  In 2003, Ghulam Sakhi Ahmadzai, the building maintenance supervisor at the U.S. Embassy in Kabul was  the Foreign Service National Employee of the Year. He was recognized for his exceptional efforts in Afghanistan during the 13-year absence of American employees and following the reopening of the U.S. Embassy in Kabul in December 2001. His loyalty to the U.S. government and to maintaining the integrity of the embassy during that absence, despite personal risk, could not be repaid by that one award. No doubt there are other Ghulams in Tripoli and Sana’a and in other posts where we have suspended operations in the past. Please keep them in your thoughts.

Reading the newsclips and the tweets in the lead up to this latest evacuation, one cannot help but note that most folks do not really know what happens in an evacuation. Former FSO Peter Van Buren wrote a helpful explainer about embassy evacuations for Reuters.  This is an explainer that should have been on DipNote.  For folks who might be upset with this evac explainer, go find those anonymous officials who talked about this evacuation while we still had people on the ground.

The mechanics of closing an embassy follow an established process; the only variable is the speed of the evacuation. Sometimes it happens with weeks of preparation, sometimes with just hours.

Every American embassy has standing evacuation procedures, or an Emergency Action Plan. In each embassy’s emergency plan are built-in, highly classified “trip wires,” or specific thresholds that trigger scripted responses. For example, if the rebels advance past the river, take steps “A through C.” Or if the host government’s military is deserting, implement steps “D through E,” and so forth, until the evacuation is complete.

Early steps include moving embassy dependents, such as spouses and children, out of the country on commercial flights. Next is the evacuation of non-essential personnel, like the trade attaché, who won’t be doing much business if a coup is underway. While these departures are underway, the State Department issues a public advisory notifying private American citizens of the threat. The public alert is required by the U.S.’s “No Double Standard” rule, which grew out of the 1988 Lockerbie bombing of a Pan Am flight. In that case, threat info was made available to embassy families, but kept from the general public.

These embassy drawdown steps are seen as low-cost moves, both because they use commercial transportation, and because they usually attract minimal public attention.

Continue reading, Who gets out when a U.S. embassy closes, and who gets left behind?

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