Employer of Record

Hiring people in their local countries without the need for a local entity

With remote work becoming a part of every modern workplace, we can benefit from hiring the best global talent, regardless of the employee’s location.

When hiring international employees, there are a couple of rules to follow, the main one being not misclassifying your employees as contractors.

There are dozens of employers of records (EORs) that you can use to hire employees legally in their country of residence without setting up an entity. However, there are also many considerations that you need to be aware of, e.g. in Germany, you can only use EOR for a max of 18 months.

Many countries like France, Spain, and Portugal support foreign employers in hiring local talent without a need to set up an entity or engaging EOR. We can explore all of these options together and choose the one which suits your organization.

Employer of Record considerations

Reach

EORs either have their own entities, use local third parties or offer a mix of those options to provide the service. Some EORs have reach as large as 160 countries.

Cost

Based on 8 employees with an average salary of 47,000 EUR there is an annual cost difference of 74,000 EUR between the cheapest and the most expensive EOR.

Platform

Some EORs have excellent platforms allowing integrations with your other tech stack, some allow payments in multiple currencies, offer payment advances, and many other features.

Compliance

Remember, we are dealing with employee data. Some EORs takes their compliance seriously with SOC2, ISO27001 and other reputable certifications.

Contractors

If you also want to bring all your contractors onto the same platform as international employees, know that only some EORs have that option.

Additional Fees / Deposit

It’s a norm that EORs will require one month’s payroll deposit, but some EORs require 3 months! There are also plenty of additional costs to consider, e.g. FX rate, transfer fees, onboarding fees.

CHOOSING BEST EOR

Expert Advice

We are providing expert advice on over 30 leading Employer of Records (as well as options for direct hiring without entity and without EOR). Some EORs we work with include:

Deel

Deel helps businesses hire anyone, anywhere. It's global payroll for employees and contractors from around the world.

Teamed

We remove the barriers of complexity, cost and time for companies wanting to compliantly employ talent around the world.

Remote

The easier way to employ globally. Remote builds belonging for your team with payroll, benefits, & compliance solutions.

Lano

Global solution enabling businesses to hire and pay full-time employees and contractors in over 150 countries worldwide, in full compliance and record-time.

Safeguard

Adaptive solutions—in over 179 countries—for thriving in the global economy. Employment, payroll, onboarding and more.

Pilot

Pilot helps companies pay remote team members. We take care of payroll, benefits, compliance and onboarding for international teams.

Oyster

We're on a mission to create a more equal world by making it possible for companies everywhere to hire people anywhere.

Workmotion

Enable global employment at the push of a button. We manage payroll, social benefits & taxes. 100% legally compliant.

Papaya

Building the future of work with automated software for global payroll, payments, and HR.

Omnipresent

We make it fast and easy to hire and manage employees compliantly in more than 160 countries.

Boundless

Employ anyone, anywhere. Boundless is the international & remote employment platform.

Panther

We exist to empower a world where talent has no borders. ✈️ Simplifying global payroll, taxes, compliance, and benefits