Resident Expatriate Onboarding Session

© 2019 Chevron. All rights reserved.© 2021 Chevron. All rights reserved.

Resident Expatriate Onboarding Session

August 2021

This presentation is a basic overview of policy information to help you start to understand Chevron's expatriate program and prepare for

change. It’s not intended to be a complete summary. Be sure to consult the resources we'll provide later to review complete policy details.

2© 2021 Chevron

Agenda

• Welcome and introduction

• Background and philosophy

• Resident assignment policy summary

• Tax equalization summary

• Assignment details

3© 2021 Chevron

Welcome and Introduction

4© 2021 Chevron

global mobility – shared services

GM Operations

Team Leads

Irma Posada

Danilo Luna

Senior Manager, HRSS Manila Joan Tenosa

Manager, Global Mobility (GM) Matt Glauser

• Policy Analyst• Relocation Specialists• Intercultural Specialist• Immigration specialists

• Reporting & Analytics Specialists

• GM Payroll Specialists• GM Processing Reps• GM Time Administrators

• GM Specialists• Destination Services

Specialists (BA)

Manila based,

providing 24/5 service over 3 shifts (day/mid/night)

Houston and Manila based

GM Processing Team Lead

Jessal Tendero

GM Team Leads (3)

Raffy Baniqued

Diane San Jose

Dei Tagros

GM Payroll, Reporting &

Analytics Team Lead

Jonah Pamarin

Global Mobility Shared Services Supports Chevron’s global businesses by delivering efficient, reliable

mobility services and effective policies for Chevron’s mobile workforce and their family

5© 2021 Chevron

mobility COE team

Mobility COE is the corporate stewardship function for expatriate compensation and benefits

6© 2021 Chevron

Global Mobility

Specialist

Home/Host

Country HR

Current/Host

Supervisor/

Manager

Global Tax

Intercultural Group

(for new

assignment)

Global Travel

Health and

Medical

Global Immigration

7© 2021 Chevron

global mobility specialist

GM Specialist

Your Global Mobility (GM) Specialist will play a key role in administering your international assignment:

• GM Specialist is the sole point of contact for expatriates and HR business partners who support expatriates

• Manage and support assignee experience throughout assignment lifecycle

• Educate and counsel customers on international assignment, including policy assignment briefings and

applicability of benefits and allowances

• Consultation to BHR and business leaders on workforce mobilization

• Facilitate resolution of issues & manage exception requests

• Maintain and communicate changes to allowances through regular reviews and/or driven by market conditions

• Coordinates the utilization of vendor services and mobility COE to ensure policy compliance

• Manages destination services where we provide support for immigration, orientation, house hunting services, etc...

8© 2021 Chevron

global mobility specialist team leads

AfricaTeam Lead: Diane San Jose (DGTP)

Asia PacificTeam Lead: Diane San Jose (DGTP) Europe, Eurasia

Team Lead: Dei Tagros (EXTA)

Middle EastTeam Lead: Dei Tagros (EXTA)

North AmericaTeam Lead: Raffy Baniqued (RCXF)

GOP working in USHRBP: Camille Doucette (EIHC)

Latin AmericaTeam Lead: Raffy Baniqued (RCXF)

9© 2021 Chevron

global mobility specialist finder

To find GM Specialist please visit:

https://hr.chevron.com/local-hr/expatriate/default.aspx

Cameroon - YaoundéGM Specialist: Ritzel Espana (REOZ)

Colombia - BogotaGM Specialist: Aira Bondoc (HRVP)

Israel - HerzliyaGM Specialist: Jerric Bernardo (JBFF)

Equatorial Guinea - MalaboGM Specialist: Ritzel Espana (REOZ)

Cyprus - NicosiaGM Specialist: Jerric Bernardo (JBFF)

GOP working in USHRBP: Camille Doucette (EIHC)

Egypt - CairoGM Specialist: Jerric Bernardo (JBFF)

Jordan - AmmanGM Specialist: Jerric Bernardo (JBFF)

U.S. – Houston, TXGM Specialist: Camielle Gatdula (CGCC)

https://hr.chevron.com/local-hr/expatriate/default.aspx

10© 2021 Chevron

Background and Philosophy

11© 2021 Chevron

expatriate compensation philosophyhome country balance sheet approach

Taxes

Spendable Income

Savings

Home Base Salary

Theoretical Income and

Social Taxes

Actual home and host

country income and social

taxes (paid by chevron)

Expatriate Balance Sheet

Goods and Services, and

Housing

Excess host country cost

covered by Good and Service

and Housing and Utilities

Location PremiumSavings home level

12© 2021 Chevron

Chevron expatriate compensation benefits and equalizer

Home country base salary and benefits

Equalizers

Expatriate Benefits

Incentives

• Goods and Services

• Housing and Utilities

• Income tax and other taxes

• Transportation assistance

• Spousal assistance allowance

• Vacation allowance

• Rest and recreation leave allowance

• Dependent education assistance

• Location premium

• Temporary hardship allowance

Relocation Benefits• Orientations: HR, Tax and Intercultural

• Medical examination

• Visa and work permit support

• Pre-assignment trip

• Home sale/home purchase assistance

• Home maintenance allowance

• Shipment/storage of personal effects

• Pet shipment

• Miscellaneous expense allowance

• Auto sale loss assistance

• Appliance allowance

• Interim living

*Some benefits are based on assignment type and eligibility. Review the expatriate policy for more details.

Other Benefits

• Tax counseling

• Periodic medical examination

• Language training

• Emergency leave support

• Student travel

• Vacation time off

• Base salary

• Salary increase

• Bonus

• Home country benefits

13© 2021 Chevron

resident assignment benefits and policy

• Company provides host housing or an

allowance to cover cost of housing in host.

• Amount determined by AIRINC.

• HUD is applied to recognize the

theoretical home country housing cost.• Amount determined by AIRINC.

• Assistance intended to reimburse

expenses employees incur in selling their primary home in point of origin.

• Available for Canada, UK and US

payroll (Domestic Relocation Policy).

• Unaccountable allowance to cover

discretionary expenses.

Auto Sale Loss

Vacation Allowance Rest & Recreation Allowance (R&R) Educational Assistance Spouse Assistance

Tax Equalization (Hypo tax)

• Recognizes the disruption to

accompanying spouse’s personal life and career.

• Equivalent of US$10,000 per year.

• Only if spouse resides in host location

• Protect expatriates from higher

tuition fees for their dependents.• Addresses the situation when local

schools not available.

• There is a max reimbursable boarding school amount.

Household Shipment of Goods Shipment of Pets Home Sale Assistance Appliance Loss Allowance

Home Maintenance Allowance

(HMA)

Housing and Utilities Allowance

(HUA)Housing and Utilities Deduction

(HUD)

Goods and Service Supplement

(GSS)

Miscellaneous Expense Allowance

(MEA)

Location Premium (LP)Family can accompany expatriateAssignment Length

• 2+ years • Yes • Amount is based on host location

hardships.

Temporary Hardship Allowance

(THA)

• If applicable , amount is based on host

location unusual or difficult situations.

• Chevron assists with shipments and

storage of household goods (packing, transportation, unpacking,

delivery and/or storage).

• Chevron will cover some expenses

related to moving one household pet to and from your host country

location.

• Assistance intended to help pay for

purchase expenses related to repatriation to home location.

• Available for Canada, UK and US

payroll (Domestic Relocation Policy).

Home Purchase Assistance

• Company pays a one-time

unaccountable allowance for the disposal and repurchase of major

appliance.

• USD$3000 or as defined in home country.

• Allowance given to expatriate to elect

to maintain their primary residence while on expatriate assignment.

• Amount is determined by home

country.

• Ensures all employees regardless of

home country can purchase the same Market Basket of G&S in the Host

Location.


• Company compensates for an

assumed loss on a force sale or lease cancellation (up to 2 automobile)

• USD$2500/cars $1000 motorcycle or

as defined in home country.

• Cash payment for employees and

eligible dependents to assist with transportation expenses to home

country or destination of choice.


• Time off granted at the discretion of

local management to provide break from living and working environment.

• Eligible expatriate and family receive

air travel allowance and per diem.

• Calculation performed to ensure

employees pay the same amount of tax that they would have paid had

they remained in home country.

Interim Living Assistance

• Intended to assist employee and

family with lodging and meal expenses incurred while moving from

one location to another in connection

with a transfer to or from assignment.

Duplicate Housing Assistance

• Intended to reimburse employees for

unused rent, for mortgage interest payments and unavoidable lease

cancellation and penalties when

unable to precisely coordinate move.

• In lieu of vacation allowance,

employee or a dependent may travel every 6 to 8 weeks to home location

at management discretion.

• Temporary and unaccompanied resident assignments

Home Visit

14© 2021 Chevron

Resident Assignment Policy Summary

15© 2021 Chevron

resident assignment policy summary

Policy and Summary Noble Chevron What is Changing

Location Premium

• Determined as a fixed percentage of the base salary up to an annual base salary maximum.

• Tax-protected (through the tax equalization process) and is considered the sole financial incentive for accepting an international assignment.

• Recognizes the adjustments employees must make to the living and working conditions of their assignment

location.

45% Cameroon – Yaoundé 60% Cameroon – Yaoundé • Integration to Chevron policy effective

October 1, 2021.

• Mitigate the financial loss over a 3-year period or until the expatriate rolls

off the assignment, whichever comes first:

‒ Year 1 – 100%‒ Year 2 – 67%‒ Year 3 – 33%

37% Colombia – Bogota 40% Colombia – Bogota

30% Cyprus – Nicosia 15% Cyprus – Nicosia

50% Egypt – Cairo 45% Egypt – Cairo

65% Equatorial Guinea – Malabo 60% Equatorial Guinea - Malabo

45% Israel – Herzliya 20% Israel – Herzliya

55% Jordan - Amman _ Jordan – Amman

15% Houston, TX 10% Houston, TX

Temporary Hardship Allowance (THA)

• Additional financial incentive paid when unusual or difficult situations of a temporary nature are

experienced in the host location.

• Covers temporary situations and has a projected termination date when applied.

• Tax-protected through the tax equalization process.

5% Israel - Herzliya • Integration to Chevron policy effective

October 1, 2021.



‒ Year 1 – 100%‒ Year 2 – 67%‒ Year 3 – 33%

16© 2021 Chevron



Housing and Utility Deduction (HUD)

• Amount representing what employees would have paid at home for housing and utilities.

• This deduction is intended to equalize employees to their home country housing cost.

• All Noble expatriate locations

provides housing without HUD.

• HUD will be applied to

employee’s pay for the duration of their assignment.

• Amount is based on salary

and family size.

• Integration to Chevron policy effective

October 1, 2021.



‒ Year 1 – 100%‒ Year 2 – 67%‒ Year 3 – 33%

Auto Deduction

• If transportation is provided by the company, a deduction of US$250 per month or the equivalent in

home-country currency is applied to employee pay for the duration of your assignment.

• All Noble expatriate locations

provides transportation.

• Noble does not apply auto deduction.

• Auto deduction will be

applied to employee’s pay for the duration of their assignment.


October 1, 2021.



‒ Year 1 – 100%‒ Year 2 – 67%‒ Year 3 – 33%

17© 2021 Chevron



Home Sale Assistance

• Intended to reimburse you for expenses you incur in selling your primary residence (at your point of origin)

when you are:

‒ Transferred to a resident assignment, or ‒ Repatriated to a location other than your point of

origin and you have maintained your primary residence in your home country during your

resident assignment.

• No country restrictions • available only in countries

with domestic home purchase programs

‒ U.S

‒ UK

‒ Canada

• Expatriates with less than 1 year on expatriate assignment are eligible for

Home Sale Assistance.


October 1, 2021.

Home Purchase Assistance

• Intended to help you pay for home purchase expenses related to your repatriation to your new work location as

defined by the home country domestic policy.

• This assistance is available only if you are on a resident assignment, you are repatriating to your home country,

your home country has a home purchase assistance program.

• No country restrictions • Only available in the U.S.,

UK, and Canada.

• Eligible if sold your primary residence, at your point of

origin with or without Company assistance.


October 1, 2021.

18© 2021 Chevron



Goods and Services Supplements (GSS)

• Provided by the company to protect the expatriate from higher goods and services costs at the host as

compared to the home.• Intended as a supplement to the amount that would

normally be spent on goods and services at home.

• Ensures all employees regardless of home country can purchase the same Market basket of Goods and

Services (G&S) in the host location.

• COLA

• Noble amount may vary from Chevron

• Chevron amount may vary

from Noble.

• GSS tables are updated twice a year.

• Depending on exchange rate fluctuation, GSS may

be updated off-cycle (e.g., minimum of 5% exchange rate devaluation).


October 1, 2021.

Home Maintenance Allowance (HMA)

• If employees elect to maintain their primary residence while on expatriate assignment, they will receive a

monthly allowance.

• Intended to compensate them for the risks and costs of absentee landlordship, including rental costs and

broker’s commission.

• $300 a month • US Payroll: $380 a month

• Australia Payroll: AUD580• Equatoria Guinea Payroll:

XAF221,200


October 1, 2021.

Housing and Utility

• Accommodations may be arranged by the contracted destination service provider, by employee, or by the

Company, depending on your host country location, situation, and local policy.

• Noble locations housing and

utility is paid directly by the company.

• Noble locations housing and

utility is paid directly by the company.


October 1, 2021.

19© 2021 Chevron



Spousal Allowance

• Unaccountable allowance paid annually for your spouse to further his or her personal development,

pursue education, find employment, or secure work permits in the host country.

• To be eligible for this allowance, employee spouse must

reside with the employee in the host location for a significant portion or majority of the assignment period.

• Onetime payment of $2500 • Annual Payment of $10,000

a year.

• Payment made every January.


January 1, 2022.

Emergency Leave

• In the event of a death or serious illness in employee’s immediate family outside the host country.

• Reimbursement for expenses

incurred for transportation and round-trip, direct-route travel in accordance with the

business travel policy.

• 3 travel days. Managers may

be flexible and work with employees

• Round-trip economy airfare

for employee and/or your dependents to the location of the emergency and paid

time off as appropriate.

• Up to 14 calendar days

leave with pay.


October 1, 2021.

Education Assistance Pre-School - 12

• Provides financial assistance to pay for educational and travel costs.

• Determination of what appropriate approved local day schools are available or if boarding school is authorized in the absence of any approved local day schools.

• Does not require an employee

minimum contribution for pre-school.

• Requires a minimum

contribution for pre-school.

• Grandfathered minimum employee

contribution until repatriation or transfer to new expatriate assignment.

20© 2021 Chevron



Vacation

• Effective at time of transfer to international service and

for the duration of the expatriate assignment.

• Minimum 20 vacation days.

• Maximum is determined by home country policy.

• Employees will accrue

vacation at a minimum of 22 workdays/year, or home country vacation entitlement,

if greater.

• Holidays – expatriates on

resident assignment follow host-country holidays.


October 1, 2021.

Vacation Allowance• Cash payment for employee, spouse, dependent

children living with employee in the host country and

dependent children in boarding school (through high school).

• To assist with transportation expenses to your home

country or destination of your choice.

• Home Leave

• Expatriate requests business class trips via travel team.

• Monthly Cash payment.

• Unrestricted refundable economy.

• Adult fares for children 12-

year-old and up.


January 1, 2022.

21© 2021 Chevron



Rest and Recreation (R&R)

• Paid time off to provide a break from the living and working environment during your expatriate assignment

if you are working in a designated R&R assignment location.

• Rest and Relaxation

• Number of R&R varies per location.

• 5 working days.

• Locations with 40% - 50%

location premium receive 1 R&R.

• Locations with more than

50% location premium receive 2 R&R.

• 7 calendar days.


January 1, 2022.

Rest and Recreation (R&R) Per Diem

• A daily unaccountable allowance to help defray living expenses, for example, hotel, food and ground

transportation, while on leave for a maximum of seven calendar days.

• Per diem is calculated using

the US Department State Foreign Per Diem Rates.

• Daily $75.00 per diem for

employee and $50.00 per dependent ( up to 7 consecutive days).


January 1, 2022.

https://aoprals.state.gov/web920/per_diem.asp

22© 2021 Chevron



Household Shipment of Goods

• Includes packing, transportation, unpacking, delivery and/or storage of a reasonable amount of your personal

effects, household goods and furniture when you are transferred to, from or between expatriate assignments.

• Shipment allowance differs

from Chevron

• Shipment allowance differs

from Noble, varies by location and family size

• Grandfather to keep current HHG

allowance until repatriation or transfer to a new expatriate assignment.

Miscellaneous Expense Allowance

• Unaccountable allowance to cover discretionary expenses incidental to your relocation which are not

reimbursed under another expatriate policy.

• Paid both when employees are expatriating and repatriating.

• One month’s salary

• Maximum USD12,500 – one month of employee salary. No

Minimum

• One and one-half month’s

base salary for U.S.-payroll employees (taxable).

• The greater of one month’s

base salary or the local currency equivalent of

US$5,000 (both options are tax protected) for employees on other payrolls.

• Effective upon repatriation or new

expatriate assignment.

23© 2021 Chevron

tax equalization summary


Hypothetical Tax

• An employee’s contribution while on assignment, based on home country income taxes normally levied on

Chevron income.

• This contribution is effected through a deduction from the employee’s salary via payroll and is not remitted to

any local taxing authorities.

• Actual State Withholding: None

• Hypothetical State Withholding: None

• If employee is a resident assignee, the company expects him/her to contribute to state tax at stay-at-

home rates via the annual tax equalization calculation only if he/she continues to be a tax resident in point of

origin state or if they establish residency in another state.

• Hypothetical withholding

calculation includes private source income (optional), spousal income, and standard

deductions.

• Complex tax issues -

Assignees will need to engage the services of a third party for these scenarios.

• Hypothetical withholding

calculated using base salary (including bonus and equity) family size, and statistical

itemized deduction

• Assignees can use their

established 3 hours of counseling to engage KPMG to assist with the tax

ramifications associated with complex state tax questions,

estimated tax calculations/payments, or other complex transactions

that are applicable.


October 1, 2021.

24© 2021 Chevron

tax equalization summary

Noble Chevron What is Changing

• Cadence of withholding calculation updates -

Calculations are updated semi-annually for salary increases, marital status, number of dependents, and point of origin country tax law.

• Deducted per pay period.

• Charitable contributions - Applied as if host

country were a state of the US (i.e. church contributions in host country may not be deductible on US return but will be deductible on

tax equalization).

• Cadence of withholding calculation updates -

Calculations are updated annually for salary increases and in real time for marital status, number of dependents, and point of origin country

tax law.

• Deducted per pay period.

• Charitable contributions - Deductions made in host country and not deductible on US return are not factored into US tax equalization over and above

the statistical itemized deduction where applicable.

• Integration to Chevron policy effective October 1,

2021.

25© 2021 Chevron

Assignment Details

26© 2021 Chevron

assignment package

• Individual expatriate assignment packages will be sent to your work email address

• The expatriate assignment package will contain the following information:

– assignment details

– policy Link

– balance sheet comparison (noble vs chevron)

– Policy summary

– location specific information sheet (LSIS)

– Instructions on how to update employee profile and dependent information in the Mobile Employee

Experience Portal (MEE)

• Immediate Action Required:

– update employee profile and dependent information in the Mobile Employee Experience Portal (MEE)

– load copy of visa and work permit

– complete and sign Tax Agreement and Limited Power of Attorney form (GO -1771) which must be signed by

the employee and spouse (if applicable)

https://chevron.assignmentpro.com/Portal/OtherPages/PortalSignIn.aspx


27© 2021 Chevron

assignment pro employee profile

• Assignment Pro (Apro) is our global workforce management tool that will help facilitate your assignment

management lifecycle.

• Under your employee profile in Assignment Pro, you will find all tasks and action items that you must complete for

your assignment.

• To see your open tasks, check the ‘What’s Happening Timeline’ located on your home screen.

• To update your employee profile and your dependent information in Assignment Pro Mobile Employee Experience

Portal (MEE), choose the person icon in the top right and click 'Profile'. From here, click on the 'Family' tab and

make updates as applicable.


28© 2021 Chevron

transferring to a new expatriate assignmentcontingencies

1. Medical clearance

‒ Must have GO-1769 Expatriate Exam Recommendations form (medical clearance) prior to departing for

assignment.

‒ U.S. payroll resident expatriates - International Assignment Profile (IAP).

2. Visa / work permit

‒ Must have the necessary visa and/or work permit to work in host location

‒ It is illegal to start your expatriate assignment without the appropriate visa and/or work permit

Both contingencies must be met for the employee and accompanying dependents

29© 2021 Chevron

q & a

30© 2021 Chevron

Appendix

31© 2021 Chevron

internal resources

Expatriate Resources

Information such as:

• expatriate policies and compensation • Information by Location• GM Specialist Finder

• GSS and HUA tables and reconciliation sheets• Link to AssignmentPro (Apro)

• Immigration Tool• Living and working in/Location Specific

Link:

https://chevron.service-now.com/myhr?id=expatriate_resources

Immigration

Find immigration contact

and/or requirement by country

Link:

https://chevron.sharepoint.co

m/sites/GlobalMobility/SitePa

ges/Immigration%20Informati

on.aspx

Intercultural

Intercultural has several web-based resources on its website - go.chevron.com/intercultural

• Workplace: Intercultural Group

• Living and Working In website: available on HR2 website; gives a snapshot of life and work in many Chevron expatriate locations

• International Relocation Center: specific information about culture, political, economic, and relocation information

• Cultural Navigator: online tool that can contrast your cultural style to others' styles and to cultural norms for any country of interest, understand how your style may be perceived, and learn ways to adapt and be more effective

Expatriate Pattern of

Living Questionnaire

Questionnaire to be completed

by expatriates, that assists our vendor to understand the pattern of living in the host

location for analysis of GSS

Link:

https://airinc-

surveys.inquisiteasp.com/cgi-

bin/qwebcorporate.dll?idx=CJXQXA

https://chevron.service-now.com/myhr?id=expatriate_resources

https://chevron.sharepoint.com/sites/GlobalMobility/SitePages/Immigration%20Information.aspx

http://go.chevron.com/intercultural

https://chevron.facebook.com/groups/interculturalgroup/

http://hr2.chevron.com/expatriate/

http://hr.chevron.com/local-hr/expatriate/intercultural-development.aspx

http://hr.chevron.com/local-hr/expatriate/intercultural-development.aspx

https://airinc-surveys.inquisiteasp.com/cgi-bin/qwebcorporate.dll?idx=A3MEAM

Documents

Resident Expatriate Onboarding Session