Since Vietnam became a member of the WTO in 2007, there have been many opportunities for foreign organizations to operate in Vietnam, also offering more job opportunities to expats. Therefore, expatriates are becoming increasingly important to the success of many multinational organizations (Peter, Marion and Ellen, 2008). The reward system for multinational companies has recently moved far beyond the original scope of expatriate compensation as it must attract, retain and satisfy both expatriate and local staff. It is important to compensate both expatriate and local staff to increase their productivity. However, compensation must be fair and reasonable so that it can encourage the productivity and loyalty of local and international employees (Nariz, 2012). ProblemAccording to the interview, Ms. Chi said that the company has different reward methods and policies to motivate both local employees and expatriates. Expats receive financial rewards such as cash bonuses and airline tickets home once or twice a year, depending on their location. However, local staff receive the basic salary and related bonuses only if they have achieved the organization's goals and objectives on time. The amount received by the expatriate is usually higher than that received by the local staff because the company wants to maintain the expatriate's standard of living as when he lived in his home country. Therefore, in some cases, local staff holding a more complex position still receive a lower reward than the expatriate. This policy of rewarding inequality created conflict among staff and affected their performance. Furthermore, unequal compensation systems can create more dissatisfaction than satisfaction if local staff perceive… center of paper… public applause and private thanks are both important as they motivate employees to equalize better use of own talents to carry out more challenging work (Armstrong, 2007). Whenever an employee achieves company goals and brings benefits to the company, the company can organize a small party to encourage staff to keep up with their work and encourage others to follow and learn from the achiever . Furthermore, to maintain and develop the relationship between expatriate and local staff, the company can change the structure of its office by switching to an open office. With an open office, the expatriate and local staff will have more bonding opportunities to develop their relationship, sharing thoughts and ideas for work. Additionally, the company can also organize a fun day or vacation that helps employees relax and get to know each other.