You can replace obsolete business methods and strategies when completing several vital tasks and procedures in your company. This way, you will be able not only to make your company’s operations more efficient but also to save time and money. Besides, you will obtain better results that will benefit your business significantly.
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Get Employer of Record services for your company and save time
By requesting our EOR services, you will be saving a lot of time and effort
If you request the EOR Employer of Record services that our professional team offers, you can be sure that you will obtain what you need. Our experience allows us to provide you with the most efficient and affordable solutions to help you to improve your company. So, request our services and let us start working on your business needs.
Besides, you will also be able to get many other benefits by using our EOR services for upgrading your business. And with them, you will obtain results even better than you expect.
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Our valuable EOR services will surely be beneficial for your company
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How many benefits can you obtain by requesting our EOR services?
Besides helping you with your HR operations and employee matters, we can also help you to make your business grow internationally. Even if you have a limited budget, you can achieve this goal if you request our Employer of Record (EOR Services). In fact, you can start your operations right after we help you to enter the market in a matter of time.
If you hire our Employer of Record (EOR services), you will no longer have to worry about global employment regulations. In other words, you won’t need to worry about fines, lost licenses, penalties, business sanctions, or other consequences for non-compliance. With our professional support, you can expand your business legally and without worrying about non-compliance penalties.
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What we do – Employer of Record
The Employer of Record (EOR), sometimes known as the local Legal Employer, is a third party contracted to take responsibility for all formal employment tasks. An employer of record can be useful for companies that decide not to hire an employee directly. Whether in another province or a foreign country.
In essence, an EOR is the employer of record for the worker but does not have any supervisory or managerial role with the employee. The novel employer preserves the functional employment relationship. It is the one who makes all decisions regarding compensation, tasks, projects, and contract termination
- Organizes all visas and work permits for the employee, thus avoiding delays and refusals
- Provides a registered entity to maintain local and compliant payroll
- Adheres to labor laws regarding local contracts and worker protection.
- Advises the client regarding advance notifications, contract termination rules, and settlements.
- It is the interface in the host country between the employee and government authorities.
Responsibilities and obligations
The client company or recruiting agency maintains control of business operations and is responsible for workplace compliance and safety.
The EOR employer of record assumes the responsibilities and obligations of employment matters. Such as administration, payroll, taxes, benefits, and employment history. The EOR employer of record companies is responsible for complying with tax laws. So the company can rest assured that its business is in the hands of qualified professionals.
Despite regularly working together, the employer of record and the recruitment agency have different roles in the company.
(Benefits of having an EOR)
How to use our Employer of Record in Dubai
to expand globally?
There are multiple benefits of using an EOR when expanding to countries where the costs, complexity, and risks of local compliance can be very difficult.
Local incorporation is not necessary
If a company decides to do it alone, the first step is to set up a local entity through incorporation and registration. This is undoubtedly very expensive and time-consuming. As well as requiring legal and accounting support to ensure that it is done in compliance with local legislation.
While some companies are compensated for the time and cost of setting up a foreign subsidiary, there are many cases in which the best alternative is a local PEO or an Employer of Record.
A PEO has an on-site legal entity that handles all aspects of payroll, employment, and immigration requirements in the host country. The EOR is an intermediary between the client company and the assignee and has the necessary contacts and experience to do things in compliance with local laws and regulations.
Immigration Compliance
Immigration policies and regulations are constantly changing and there is increasing government scrutiny to grant work permits, visas, and business activity permits. Being in compliance is the main challenge for multinationals. Skipping immigration regulations can have catastrophic consequences for companies and their employees.
Many companies choose a global PEO solution and a local EOR to avoid the risk of non-compliance with local immigration regulations.
Using this method, staff are legally permitted to work in the host country. The problems of remote payroll, overuse of business visas, and multiple entries into the country are eliminated. The local partner of the PEO takes care of the required work permits and visas. Avoiding complications and scrutiny from the immigration authorities.
Keep a payroll in the host country
Almost all countries require a company with employees stationed there to pay payroll in accordance with local standards and with a registered entity. A “remote payroll” (payroll remitted from the country of origin) is not usually allowed, especially in long-term assignments.
A key aspect of running payroll in the host country is calculating and withholding statutory deductions, including pensions, health insurance, and taxes. The EOR takes care of these critical details and ensures that payroll is accurate and in compliance for each employee.
An Employer of Record is the perfect solution. Handling payroll for the client company with experience and in compliance with local tax laws. With this, we ensure that we do not have any problems with the local authorities and it is the most economical way to send employees abroad.
The future of international HR using an EOR
The benefits of using a global PEO or EOR Employer of Record in Dubai for international destinations are evident when considering the time and money saved compared to doing it yourself.
An EOR provides a legal waterproofing layer for businesses. It is responsible for the numerous elements required to employ workers abroad.
It is clear that EORs will be increasingly used as countries frequently change local immigration and tax regulations. This is to prevent abuse and tax losses. Companies must face this challenge of doing business abroad. The Employer of Record in Dubai is becoming a strategic partner to employ local and destined talent.
Hiring the right person for a job has always been one of the most complex challenges for a company. This is especially true now that it is possible to hire people from all over the world. Not only do you have to work to find the best-qualified candidate for the position, but you also have to comply with local labor laws and regulations. There is a lot of work to do, and this could be more than the HR or business departments can handle. In these situations, you should consider using an employer of record.
When to use an EOR?
Consider using an Employer of Record in Dubai when:
- Your company is expanding into a global market and wants to hire local staff
- You want to ensure compliance with labor laws and regulations in a foreign country
- It is time to reduce the risks of compliance and misclassification or the hiring of freelancers
You want to hire employees for an indefinite term without opening a subsidiary
Why use the Employer of Record?
The advantages of using EOR services
As companies embrace remote and online work, attractive markets are opening up around the world. In addition to these new markets, new opportunities for business expansion open up, as well as possibilities to introduce new members to the team. Unfortunately, this brings some legal challenges when hiring international employees. This is where EOR services come into play.
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By using an EOR, you can:
The hiring process usually takes a long time. EORs have their own team of experts who take care of the process, they will save you time and resources so you can focus on other aspects of your business.
Finally, EORs can save your company a lot of money that would normally be spent on administrative operations. Such as building an HR and recruitment team on legal matters, seeking legal advice, and obtaining various legal permits in the countries. where you want to hire.
One of the main reasons why we advise you to incorporate Employer of Record in the UAE is because the administrative tasks, linked to the hiring of new talent, are managed one hundred percent by the EOR.
Have you felt that you lack time to strategically grow your company? If you feel identified with this situation and it is difficult for you to design new action plans that allow you to expand your horizons in the different markets or launch new offers and products, the reason may be that you are dedicating a lot of extra time to the requirements and regulations that you must comply with to hire more workers according to the country of residence of each one.
What are the administrative tasks that you can forget about thanks to hiring an Employer of Record? Among them, are some tasks such as payroll payment and management, payment periods, payment, and the onboarding process. These tasks can be performed by the EOR to ensure compliance with the regulations in a timely manner.
Thus, you can focus on your business to make it grow and not get stuck in more operational aspects such as hiring more collaborators.
The second benefit or advantage of the Employer of Record in the UAE has to do with the hiring of experts or professionals. With the rise of remote work and the internationalization of companies, strongly driven in recent months by the pandemic, organizations are opening their hiring horizons to attract new talent.
The vast majority of companies hire regional talent in more than one country, so it is very likely that the people who make up your team belong to different geographical locations and time zones.
What used to be seen as an obstacle, today no longer happens. In this way, distances are no longer a problem and you can delegate the entire hiring process. From start to finish, to an Employer of Record.
Likewise, the Best Employer of Record service is in charge of some tasks that HR generally carries out. Such as compliance with all employment contracts between your company and the personnel to be hired, a no less important issue for organizations that seek to have the best in their permanent staff. world talents. On this point, we will focus on the next item.
Other advantages of the best Employer of Record service that you can take advantage of, in relation to hiring the best talent, are:
More applications, more possibilities of hiring suitable personnel for the position. When you hire an Employer of Record to incorporate new people into your company to work remotely, you will be expanding the range of applications for each vacancy you need to cover. Thus, you will be able to choose between unique talents that have all the abilities you are looking for.
If you have a company that seeks to expand its staff with talent from different countries or regions of the world, with the EOR you will have guaranteed compliance with local labor legislation. This will avoid possible problems in the future due to ignorance of the rules so that you can respect compliance with local regulations where you have collaborators working for your company.
Therefore, the EOR is the one in charge of the administration of leaves. Such as vacations or medical assistance, in addition to compensation for accidents or the corresponding medical insurance.
This, in turn, will create a good working environment. Because your collaborators will know that their rights are guaranteed according to what is stipulated in their country of residence. Your job offer will be more attractive and your new talent will be grateful for it.
Therefore, if your company wants to comply with the labor regulations of each country, hiring an EOR is more than necessary to have this aspect guaranteed. Without a doubt, a great advantage of the EOR.
For example, in the event that a United States company hires personnel in Argentina, the EOR will be the one who will ensure compliance with paid time off, such as vacations or licenses whose period of time depends on the seniority in the current job.
Therefore, a person residing in a country who has just completed 6 months in the company and wants to take a vacation (and, in this case, is entitled to 2 weeks of paid leave), is not the same as someone who has been there for 15 years (in change, in this case, you are entitled to 4 weeks of paid leave).
Do not worry about registration in each destination country
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By hiring an EOR service provider, your company can forget about registration in each country of destination to comply with the obligations. You can internationalize your company and rely on the EOR to avoid incurring legal problems that may affect your business.
Otherwise, not taking into account local regulations can pose a great risk to the business. This leads to severe fines that will not allow you to meet your growth or expansion objectives.
If you want to hire staff remotely to attract the best talent in the fastest, most agile, and secure way, the answer lies in the EOR. With it, you will not have to create additional foreign registries or entities.
Therefore, another advantage of the EOR services is that you will not have to worry about registration in each destination country.
You will save on resources
The optimization of resources, in both time and money, is another of the keys to growth. As the owner of your company, you may prefer to invest the cost in increasing the size of the human resources department by hiring professionals globally in more technology or training for your employees.
Working with an EOR is synonymous with saving resources. With it, you can make the process of hiring the next workers more profitable. You will have the candidates you need to fill the vacant jobs, attracting the true talent that your company requires to continue to scale and expand.
To recap, among the main reasons why you should include EOR services is:
- Â Delegation of the most administrative tasks of human resources.
- Â Recruitment of the best global talent.
- Â Compliance with the labor laws of each country where you hire personnel.
- Â The fact of not having to create an additional foreign entity and the cost savings.
- Â Knowing all the advantages of acquiring an EOR service, you can increase your production capacity and improve the results of your projects with talents based in different parts of the world.
Our best EOR service
This is a contracted third-party legal entity that is responsible for the formal tasks of employment. Specifically, they are companies that are dedicated to registering workers, paying their payroll, and making the contributions and withholdings of a worker of the client company. To make a simple comparison, it would be the outsourcing of the employer for formal purposes.
It would be the appropriate option for those companies that must transfer workers to other countries where they do not have business activity, and cannot maintain a Spanish payroll, so they should open a work center in the country of destination (with all the obligations that this entails).
The figure of the Employer of Record allows the real employer to be different from the formal employer:
The Employer of Record is the formal employer:
he signs the contracts, makes the contributions, pays the wages, and proceeds with the withholdings. The EOR service does not act as the employee’s manager or perform supervisory duties. In short, he is in charge of administrative tasks.
On the other hand, and as a different figure from the Employer of Record, we find the real employer (the original company), which is the one that organizes the employee’s work and to whom the fruits of the work performed by the employee pass on.
Really important to know that:
- The Employer of Record exempts the actual employer from the obligation to register in the destination country. As long as the economic activity of the company in that country does not require it, greatly simplifies international operations.
- Mitigates the interpretation by the tax authorities that the actual employer has a permanent establishment at the destination, again in the event that there is no economic activity.
- The Employer of Record has its own entity in the nation where the customer (real employer) wants to function. This greatly facilitates compliance with local laws and regulations, to which it is fully adapted.
- The lasting establishment is determined by the movement of the enterprise. If a company sends a worker to provide services to a foreign client (either registering in that country or through an Employer of Record) there will be no risk of EP if a direct business activity is not carried out in that country.
What are the benefits of
Employer of Record services?
On the contrary, this figure does operate legally in other countries such as Russia, the United States, or Australia. And, as we have mentioned, it is a way of not having to generate a company structure in the destination country, with all the tax complications.
First, you hire experts in any of the countries we serve. You then partner with a global Employer of Record who becomes the legal employer of its experts and assumes all responsibilities related to said employer.
Your global Employer of Record partner takes care of onboarding the experts and paying them. Also, manage all benefits on your behalf while you manage the day-to-day control and focus on building your business.
How does a global Employer of Record (Legal Employer) work?
Our EOR Employer of Record approach.
As your global Employer of Record, our experts hire your distributed work teams on your behalf. We take care of all risk mitigation, local job requirements, and compliance considerations, while you maintain daily control of employees with assistance
Offer all your contractors paid time off, health benefits, and more, giving you an edge over your competitors to win more deals and attract better talent.
When you land a new hire through an EOR, the new talent will be ready to work with you. The Employer of Record will have already taken you through the onboarding process and prepared you for the job. In addition, it has its own payroll software and takes care of the payment of all your employees.
That way no one misses their payments and you do not have to manage pay period timesheets. Finally, if the employee does not fit the position, the EOR will void the contract.
Of course, the Employer of Record does not influence your business decisions and you, as the owner of the company, are the total owner of the employment relationship of your staff. The EOR handles the administrative tasks around hiring, from the first to the last day of an employee’s contract.
The EOR will provide a more convenient work environment for the local people you hire. Without a doubt, they will fulfill your wishes and needs when hiring. But they will also make the process easier for employees.
Each EOR is used to work with potential candidates from their area. They know better both the work culture of the people they hire and how to properly manage integration at the local level.
One of the best things about relying on EOR services is that you do not have to worry about the employment laws or labor laws of the country you are hiring from. They will take care of everything for you, making sure that you comply with all of them.
So all you have to do is choose who you want to work with. In addition, they will take on the responsibilities of the employer, such as:
- Employee benefits. Responsible for the administration of all benefits required by law in the country of operations. These can include maternity leave, paid vacations, medical assistance, etc.
- Workers’ Compensation. In the event of an accident in the workplace, workers’ compensation will be provided in accordance with local laws.
- Provides its own insurance plans for employees, including health insurance.
You already know the advantages of working with us. Clearly, the advantages of having this and many other services can be very helpful for your business. Do not miss this opportunity. In case you want more information about Employer of Record services, do not hesitate to contact PEO Middle East. We will be your best ally in the search for the most prosperous company!
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