More flexible work arrangements may be one of the pandemic-driven changes that will endure for businesses across industries for years to come. Many companies have realized their employees can be just as productive working remotely. That´s why it can be a good time to hire employees from other parts of the world. Need held to do it?

 3 ways to hire and pay remote workers:

1. Pay as an independent contractor

Given the current economic uncertainty, it will be tempting to just hire a new worker as an independent contractor and avoid long-term employment obligations altogether. The problem with this approach is that every country has their own statutory guidelines on classification of workers, and just because a company claims the worker is a contractor does not guarantee that status.

If a contractor is hired full time, paid a regular amount like a salary and has their schedule and work methods controlled by the company then they could be classified as an employee. That would lead to non-compliance claims against the company, back taxes and contributions and in some cases fines in the foreign location.

2. Use a local partner

One interim method of hiring a new employee is to use a local partner/supplier in the host country where the company has an existing business relationship. The partner could agree to put your employee on their payroll and take care of all employment administration for your company. This can work well where your company has a solid business relationship with the partner, who may be willing to help during a transition.

3. EOR solution

A final option is to outsource employment administration to a Global Employment Organization (GEO) using an Employer of Record (EOR). The EOR in the host country will be familiar with local restrictions surrounding COVID-19 and can assist with navigating those rules for employees and residents.

Even if your company is planning on eventually setting up their own corporate entity, using a GEO will allow you employ your workers temporarily until the pandemic eases and business life returns to normal.

In this articles you can read more information about EOR solutions

On the other hand, if you are planning to hire remote workers, in Roots EOR we’re able to handle most of the details of the hiring process for you.  Contact Us