Expats a rich asset we need to exploit

^{George Megalogenis
16 December 06}

ALMOST half of Australia's one million expatriates are enjoying six-figure salaries in their jobs overseas, but many of this elite group do not own properties back home and are disappointed with the nation's current direction.

A benchmark survey shows our expats tend to be higher-income earners, patriotic and eager to return home one day, but a sizeable minority feels alienated. Almost two out of three - 63per cent - still call Australia home, although 29 per cent said they had "more than one home".

Their asset base in Australia is heavy on cash and super, but light on for shares or property. Almost three in four (72 per cent) had cheque and savings accounts in Australia and 61 per cent had superannuation, presumably from their previous employment in Australia. But only 33 per cent had shares, and only 28 per cent owned real estate.

The survey of more than 8500 households from Britain and the US to Afghanistan and the United Arab Emirates is being released ahead of next week's meeting of expats in Sydney, to be hosted by John Howard.

The chair of the Advance 100 Global Australians Summit, Elena Douglas, said the study was a first step in understanding our human capital exports.

"We have 5-10 per cent of our workforce overseas," she said.

"They can be our eyes and ears, open doors, tell our story and return bringing global best practice to Australia. But to do this, one of the first steps is to have a better handle on where they are and what they are doing, and their motivations."

Ms Douglas said the reasons people left Australia usually differed from the reasons they stayed overseas. Most expats began by chasing experience or better job opportunities. Only 28 per cent moved to follow their partners overseas, while an even smaller proportion - 19 per cent - already had overseas jobs lined up. But once they established themselves, the expats found an income ladder they could climb faster than in Australia.

Almost half (42 per cent) earned more than $104,000 a year. Almost one in five (17 per cent) earned more than $200,000 and a super elite of 7per cent were on more than $300,000 a year. "When asked what they were earning when they left Australia, only 10 per cent were earning more than $104,000," the report says. Most still view themselves as Australians. More than half (58.5 per cent) saw themselves as "ambassadors" who "promote Australia at every opportunity".

The engaged outnumbered the disengaged by about two to one - only 20.6 per cent said "I still have an affection for Australia but I don't actively promote it".

The dark side of the survey was the one in four expats who felt some degree of alienation from their homeland. The results showed 23.1 per cent were "disappointed with Australia's current direction" and 25.3 per cent felt "that Australia isn't doing enough to involve its expatriates in the life and future of the nation".

The survey zeroed in on Australians living abroad and sought out respondents through professional networks. Backpackers were excluded. But non-working spouses were included, the researchers said.

Tuesday's conference in Sydney will include Professor Peter Doherty, Nobel Laureate for Medicine 1996, and political expats from both sides - Labor's former foreign minister Gareth Evans and the Coalition's former defence minister Robert Hill. Mr Evans is president of the International Crisis Group, while Mr Hill is Australia's permanent representative to the UN.

Peter Costello will give the opening address to the conference, while the Prime Minister will host the evening reception.



Represented from the Australian. See http://theaustralian.news.com.au/printpage/0,5942,20935734,00.html