A new study has found that the United States pays its home-based diplomats the highest salaries among 16 G20 countries, while China ranks second to last. The report, released by International Intrigue—a media company founded by former Australian diplomats—compares the salaries of mid-level diplomats at their headquarters, adjusted for purchasing-power parity.

The South China Morning Post reports that US diplomats earn an annual salary of $140,000, the highest among the major countries analysed. Brazil, South Africa, France, and Germany follow, while China and Indonesia are at the bottom with salaries of $41,000 and $34,000, respectively. Asian countries, including India, are among the lower-ranked.

When comparing salaries to local median incomes, India ranks highest, while the US falls to third place, with China near the bottom at 12th. The study’s authors—Jeremy Dicker, John Fowler, and Helen Zhang—chose a specific diplomatic profile to ensure a consistent comparison, using interviews, employee-union documents, and various open-source materials.

High inflation in Argentina and Turkey led to their exclusion from the analysis, and Russia was omitted due to inflation and geopolitical issues following the 2022 Ukraine invasion

Paul Sharp from the University of Minnesota Duluth stated, “In the past, the opportunity to represent one’s country was seen as more important than money.” He added, “But then you only got people to serve who didn’t need money – not good in a democratic age.” Sharp emphasised that competitive salaries are now crucial for recruiting top talent.

Stephen Kelly, a former American diplomat, noted, “If you’ve got somebody who’s talented enough to get into the foreign service, they’re also talented enough to get a job with McKinsey or Deloitte or Goldman Sachs, and the salary difference between Goldman Sachs and the State Department is huge.”

Despite better pay and a larger budget, the US State Department had about 13% of its positions unfilled in 2023. Richard Verma, US Deputy Secretary of State for Management and Resources, highlighted that the US lacks ambassadors in 20 countries where China is present. Claus Soong from the Mercator Institute for China Studies commented that China’s low salary ranking does not necessarily reflect its diplomatic priorities or deter young talent.

Recent developments suggest China remains focused on diplomacy, with Chinese diplomats abroad receiving a rare pay rise and being exempt from a planned 5% staff reduction. A Pew Research Centre survey from 2024 shows the US is viewed more favourably in 34 countries, while China is viewed unfavourably in 35, though the ratings are more similar in low-income countries.

Experts stress the importance of investing in diplomacy, particularly for mid-level management. “Professional diplomats set up the high-profile stuff and keep channels open when governments don’t want to be seen as talking for policy and political reasons,” Sharp concluded.

Image source: Reuters