Every business dreams of going global, whether to explore new markets, tap into global talent, or try out different industries. However, hiring people across borders can be a challenging task. You have to understand local rules, taxes, and other legal details, and the whole process can take anywhere from 3 to 9 months.
Enter - Employer of Record (EOR) - the solution to all these problems. This solution streamlines the process of hiring international talent by shouldering the tasks of understanding local rules, managing taxes, and handling legal intricacies. Here's how it works: The global EOR service provider takes care of all the legal intricacies like immigration, payroll, and benefits for your team spread across different locations. Even though the EOR is the official employer on paper, you still have control over the day-to-day tasks like deciding pay, job duties, and managing performance. Furthermore, the global EOR also conducts background checks and helps you establish a strong presence in the local markets.
Without further ado, let's learn what an EOR is, jump into the functions of an Employer of Record, understand how it can help your business, and explore the checklist for bringing an EOR service provider on board.
What A global EOR service can help you with
A global EOR service can make global expansion much simpler. Let’s check out several key areas where it can offer complete support:
1) Quick Talent Onboarding
- An EOR helps you bring new hires on board swiftly. You can get the right people for your team without the delays and hassles of a complex hiring process.
2) Termination and Offboarding
- Managing terminations and offboarding processes as per local laws and regulations.
- Reducing the risks related to employee exits in foreign jurisdictions.
3) Risk Mitigation
- Taking legal responsibility for employees, lessening the business's exposure to legal and compliance risks.
- Providing a well-organized framework that minimizes potential challenges and uncertainties in employing a global workforce.
Benefits of Engaging an Employer of Record (EOR)
When considering the advantages of teaming up with a global Employer of Record service provider, there are numerous benefits. Given that many businesses may not have the necessary resources or expertise to navigate international hiring while ensuring compliance, an EOR allows you to seamlessly bring in top talent from around the world and meet their specific local needs. Let's take a closer look at the benefits of an Employer of Record:
1) Cost savings
- Compared to setting up a legal entity in every new location, using an EOR is a more cost-effective solution. You avoid the expenses and complexities that arise with establishing a presence in different countries.
2) Talent retention and comprehensive benefits
- With an EOR, you can attract and retain top talent by offering them comprehensive benefits. This includes perks that align with local expectations, ensuring your employees are happy and motivated.
3) Ongoing HR support
- You get continuous support in managing your human resources. Whether you have questions about local regulations or need help with day-to-day HR tasks, the EOR is there to provide guidance and support.
4) Lets you focus on core business functions
- When businesses don't have to worry about taking care of various administrative tasks and compliance, they can focus on what they're really good at. This allows them to grow and develop their core products and services.
Checklist for getting an EOR service provider on-board
If you're ready to move forward, the next step is figuring out which Employer of Record is the best fit for you and how to make that choice. With so many EORs to choose from, each offering different services and costs, here are some things to keep in mind:
1) Transparent costs & communication
- Pick an EOR that is upfront about how much they'll charge you. Some might have extra fees that can affect your budget, so ask for a detailed breakdown of all costs.
2) Experience & compliance
- Opt for a provider with a commitment to compliance. It's essential that they possess relevant experience in the specific geographies and countries where you intend to expand. BGC Group , for instance, specializes in the APAC region. By aligning with such a partner, you can confidently ensure that your business adheres to the correct protocols and operates in full accordance with the regulations of the targeted regions.
3) Track record
- Read reviews and talk to other businesses who have used the EOR. Make sure they have experience working with businesses like yours.
4) Help & support
- Pick a partner who is quick to respond to your needs and your team's questions. Make sure they assign someone to help you who understands your language and can work with your schedule.
- In a nutshell, when looking for an EOR, choose one that gives you a dedicated person to talk to rather than sending you to a chat window or a manual.
Explore Global Opportunities with BGC Group's EOR Solutions
Let BGC Group guide your business through international regulations with our Employer of Record (EOR) services . With 18 years of experience and a track record of supporting over 2,200 employees, we're your trusted partner in handling employment law complexities. Contact us now for a free EOR quotation and start your global expansion journey today!
