Understanding government institutions in a host country is crucial for MNC subsidiaries. This is challenging, as host-country institutions not only relate to formal institutions, such as laws and regulations, but also to informal institutions, like traditions and beliefs. We study the hiring of employees with government work experience as a channel through which foreign MNC subsidiaries can better understand host-country institutions. Government work represents a context in which employees have opportunities to accumulate knowledge about how formal and informal institutions shape government procedures, and to develop political connections. Drawing from strategic human capital theory, we hypothesize that foreign MNC subsidiaries pay these employees salary premiums vis-à-vis domestic firms because they expect them to offer unique value. We find support for this hypothesis using data for 9,698 former government employees in Denmark. Salary premiums increase with government saliency in the industry and with seniority in the government. Our results shed light on how certain types of human capital can create value for foreign MNC subsidiaries and inform career choices of government officials. They suggest that future research should explore other types of host-country work experiences that could create value for foreign MNC subsidiaries when they are hiring.

了解东道国的政府机构对于跨国公司子公司至关重要。这具有挑战性，因为东道国机构不仅涉及诸如法律和法规等正式机构，而且涉及诸如传统和信仰之类的非正式机构。我们研究雇用具有政府工作经验的员工，以此作为外国跨国公司子公司可以更好地了解东道国机构的渠道。政府工作代表了这样一种背景：员工有机会积累有关正规和非正式机构如何塑造政府程序的知识，并发展政治联系。从战略人力资本理论出发，我们假设外国跨国公司子公司向这些雇员支付与国内公司相比的工资溢价，因为它们希望它们提供独特的价值。我们使用9,698名丹麦前政府雇员的数据为这一假设提供了支持。薪金保费随着政府对行业的重视程度和政府资历的增加而增加。我们的结果揭示了某些类型的人力资本如何为外国跨国公司子公司创造价值并为政府官员的职业选择提供信息。他们建议，未来的研究应探索其他类型的东道国工作经验，这些经验可能会在外国跨国公司子公司雇用时为其创造价值。我们的结果揭示了某些类型的人力资本如何为外国跨国公司子公司创造价值并为政府官员的职业选择提供信息。他们建议，未来的研究应探索其他类型的东道国工作经验，这些经验可能会在外国跨国公司子公司雇用时为其创造价值。我们的结果揭示了某些类型的人力资本如何为外国跨国公司子公司创造价值并为政府官员的职业选择提供信息。他们建议，未来的研究应探索其他类型的东道国工作经验，这些经验可能会在外国跨国公司子公司雇用时为其创造价值。