4 reasons companies should use an employer of record service
Companies hire more staff as they grow. Sometimes, different people from across the globe join them. However, managing a global workforce can be challenging. The company must manage multiple employees’ payrolls, monetary benefits, and taxes and handle many other things. Hiring an Employer of Record (EOR) to govern these tasks can somewhat smoothen the company’s operations. So, here are four of the most essential benefits of using an EOR service:
Hassle-free management of compliance
Although necessary, compliance is quite time-consuming. Companies must remember and follow many rules, like creating financial reports, fulfilling minimum requirements for insurance coverage, and filing taxes. As a company grows, compliance work only increases, which can be challenging. A better way to manage compliance is to hire an EOR. It will help the company ensure proper compliance at the global level and save time on these tasks.
Timely payment of employee salaries
Paying employees on time is essential to ensure they are happy with their jobs and continue to do well. However, as companies hire more people, it can become difficult to handle their salaries. An EOR service manages the entire company payroll, ensuring individuals get their monthly salaries on time.
Easy hiring of employees from around the world
As mentioned, some companies must start branches abroad and hire people from different countries as they expand. However, getting the embassy’s approval to start business operations in another country can take a long time. In such cases, a company may be unable to independently hire employees from these countries, even if they are good. Luckily, an EOR can hire employees worldwide and pay them for their services. So, by hiring an EOR service provider, companies can get on their way toward expansion!
Use of high-end HR software tools and platforms
Many companies use modern software to carry out HR processes, which may be expensive. Moreover, one needs a dedicated employee to handle these platforms. Here’s another situation where an EOR steps in to save the day. An EOR employs high-end HR tools and has professionals to govern HR-related activities. They upgrade the system as needed and keep it up-to-date, so companies need not worry about doing this.
