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The Advantages of Hiring Global Employees

HR & Compliance

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Updated on:
April 11, 2024
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Updated on :

April 11, 2024
Hire International Employees at $199
Hire International Employees at $199
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The Advantages of Hiring Global Employees


The popularity of remote employment has been increasing. Since the COVID-19 pandemic, more people have been choosing the work-from-home or digital nomad life or at least wanted to do some of their work remotely. This means an expanding talent pool of remote workers motivated and qualified to fill roles in companies whose local talent pool may be in a crunch.

That’s where global employment platforms come in, by offering a way for companies to hire either payroll employees or remote independent contractors anywhere in the world. With some global employment options, companies can hire in multiple countries.

Suppose your company can follow compliance rules and pay employees accurately and on time, which employment solutions such as employers of record can offer. In that case, you can find numerous advantages to hiring global employees.

Should My Business Hire Employees From Other Countries?

International human resources and payroll platforms such as Skuad can offer several ways for companies to hire international employees. For example, Skuad can become your employer of record to legally hire, onboard, pay, and provide benefits for your new payroll employees.

New additions to your staff can be hired in over 160 countries and paid for their labor in their local currency, on time, and with the proper payroll taxes and contributions paid to their local government, all while remaining compliant with local tax and employment laws.

By complying with employment laws, your company can remain legally compliant. By treating employees fairly and paying them minimum wage, employees can feel respected and appreciated. Providing statutory benefits, or going above the mandatory benefits, can offer the best employment experience. All of this will keep your staff satisfied and productive.

Benefits of Hiring Global Employees

Wide Selection of Candidates

One of the most substantial advantages your company can enjoy when hiring globally is the wide range of talent being offered on the global stage. Unlike hiring only locally, which could suffer during a crunch, there is no limit to the motivated and qualified candidates eager in the worldwide talent pool.

Diverse Talent

Seeking new employees from countries that may be thousands of miles away and from all over the world can bring on new staff members with diverse ideas, skills, and experiences to help your company grow and succeed in the global market.

Easy Employment Process

Companies going entirely or mostly remote are saving money on costly office space, and their staff is saving time and money on lengthy commutes. Hiring globally can be even easier than hiring locally in local offices. Organizations can handle the recruitment process 100% online, with interviews done over videoconferencing apps and onboarding done seamlessly and quickly. You can soon have new employees from all over the world on your team with global employment solutions.

One platform to grow your global team

Hire and pay talent globally, the hassle -free way with Skuad

Talk to an experteor pattern

 Working from home avoids commuting, and fewer commuters result in 

 lower greenhouse gas emissions. 

Requirements for Hiring International Employees

Globally expanding companies can choose any of over 160 nations in which to hire talented employees to fill their remote roles. There are certain rules and regulations to follow:

  • Complying with employment laws such as minimum wages and benefits entitlements
  • Complying with tax laws such as payroll tax and income tax withholding
  • Classifying employees properly

Certain legal business structures can be used for hiring employees in foreign countries. Employers can use a few different types of employment platforms to satisfy these requirements in each country they hire employees from.

International Employment Platforms

There are a few options for hiring, employing, and paying international employees:

  • Establishing a subsidiary in the country
  • Partnering with a professional employer organization (PEO)
  • Using an employer of record (EOR)

The option your company uses may depend on whether you will set up legal entities in each of the countries where you are hiring. Many countries require a local legal entity, business bank accounts, and, at the very least, business registrations if a local branch is permitted without an entity. The employees would then legally be hired from the entity.

If you have a legal entity in the country, you can outsource some human resources tasks, such as payroll processing, to a PEO, who would be your employee’s co-employer.

Establishing entities may be expensive and time-consuming. Setting up a subsidiary in a country may make financial sense if dozens of employees are hired. For most global companies, that may be too expensive and take too long. A global Employer of Record may make more sense.

An employer of record can hire and handle the payroll and benefits for employees from different countries all in one platform. Organizations can process their payroll, employees paid in their local currency, benefits administered, payslips generated, taxes paid, and compliance handled.

Compliance With Local Employment Laws

To avoid the consequences of non-compliance and legal troubles, your company needs a team of legal experts who carefully read and understand all the labor codes, tax laws, and regulations in each country you are hiring. Alternatively, you could use an employment partner, such as an employer of record, to ensure compliance.

Employment Laws

Employment laws specifically govern the hiring and employment of workers in a country. Employment laws worldwide protect employees' rights and freedoms, though the level of protection differs. For example, in many countries, employees have significant protections and benefits, while in the United States, the law does not grant paid leave or termination protections to most employees.

Anti-Discrimination Laws

Anti-discrimination or non-discrimination laws are designed to prevent employers from discriminating against citizens when hiring, employing, and firing individuals based on certain criteria that differ by nation. Common discrimination protections are the prohibition of firing someone based on their race or gender. Some nations’ laws specify a long list of protections.

Misclassification Laws

In addition to complying with employment laws, your company can run into other issues if you hire independent contractors. In many nations around the world, employment laws heavily favor employees and offer them a list of statutory benefits; a minimum wage; overtime limits and remuneration; protections against discrimination; and rules regarding termination, such as notice periods, probationary limits, and restrictions on dismissal without cause.

Companies that erroneously classify their workers as contractors may avoid these obligations if contractors are not included in the nation’s employment laws. However, there may be stiff penalties if the local government discovers the misclassification. A company that misclassifies its workers might face fines and other penalties even if the misclassification was accidental.

Minimize Legal Risks

When you work with an employer of record, your company can help you remain compliant with all laws and minimize legal risks. Legal issues, such as misclassification, discrimination, worker’s compensation lawsuits, wage lawsuits, and intellectual property disputes, can be mitigated by partnering with an Employer of Record partner.

About Skuad

Skuad is a global employment and payroll platform that enables organizations to hire compliantly, onboard, manage payroll and ensure compliance with country-specific employment laws without the organization setting up a subsidiary.

Your international growth is now unlimited when you partner with the best EOR. Skuad can help you quickly hire, onboard, pay, and provide benefits for employees and contractors while keeping your company compliant with employment and tax laws.

Hire and Pay Employees All Over the World

On one central platform, your company can accomplish your hiring and employment goals in the following ways.

Hiring and Onboarding

Hire remote international employees and contractors in over 160 countries.

Payroll Processing

Process payroll and payroll taxes for all of your globally dispersed teams. Pay employees in their local currency, in any of over 100 currencies.

Benefits Administration

Administer statutory benefits to employees, such as annual leave and sick leave. Provide additional benefits such as supplementary health insurance and extra paid time off.

Contractor Payments

Independent contractors are different than payroll employees, but don’t let that stop you from contracting with qualified contractors to get the job done.

Get Started With Skuad

Skuad can be global employment and payroll partner, helping you hire and pay employees and contractors worldwide. To help you figure out all the numerous advantages of hiring abroad, Book a demo today.

About the author

Catalina Wang is a Human Resource Consultant. She manages recruitment, onboarding, and contract administration staffing for many organizations and remote teams. She’s passionate about efficient HR management and the impact of tech on hiring practices.

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