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In HR Management Last updated: September 6, 2023
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EOR service providers offer a solution for those who want to have a global team for their business without the hassle of dealing with compliant and worry-free employee management.

Having a global workforce does not mean you need to have business entities in multiple countries. There are many EOR service providers out there that let you hire people from different countries on your behalf.

Furthermore, they can also handle the onboarding, employee management, and payment processes. All in all, they serve as the legal employer of your employees and take full responsibility. Continue reading to know more about EOR service and the service providers.

What Is Employer of Record (EOR)?

A businessman visually represents the hierarchy of his workforce as a pyramid.

An Employer of Record is a third-party vendor that is the legal employer of your global workforce. It not only assumes all your responsibilities as the employer but also performs all the necessary tasks on behalf of your organization.

These companies are also known as global employment organizations as they support companies in global expansion and global operations.

It usually has a legal entity in different global locations and hence, can easily employ people while being compliant with local laws. Moreover, It also helps in the daily administrative tasks of a regular employer, such as onboarding, signing contracts, calculating compensations and benefits, payroll processing, tax deduction, paid time-off calculation, and offboarding. 

Benefits of EOR Services

  • Entering the global talent market without setting up entities in different locations
  • Managing a global team in a legally compliant manner
  • Creating locally-compliant contracts for international employees
  • Offering competitive benefits and compensations to foreign employees
  • Saving time on complex paperwork during onboarding and termination processes
  • Mitigating the risks associated with responsibility and compliance
  • Reducing business expenses of setting up a global office
  • Providing support regarding local labor laws and regulations
  • Facilitating HR and payroll services for those who can not provide their own solutions

How Does EOR Work?

An EOR service provider works in various sections of global employee management. Most of them function to serve you in the following fields:

#1. Employment Contracts


While hiring people from different countries, EOR services create contracts that comply with local laws. 

#2. Employee Onboarding

EOR makes onboarding international employees easier for you as they will hire them on your behalf. They usually take care of the onboarding by collecting necessary documents and storing them securely.

#3. Employee Benefits

The Employer of Record also provides health insurance and other benefits to the employees. For that, they tie up with providers for pension funds, insurance, and employee compensation.

#4. Payroll Processing


The EOR has the responsibility of processing all the employee payrolls according to the local jurisdiction. They also follow legal obligations and the regulations of the client company for making payments.

#5. Tax Registration


Since EOR is registered as an employer with the tax authorities, they can withhold income tax and other tax contributions. They also handle tax submissions and various tax reports.

#6. Termination

The EOR providers can also terminate employees upon the wish of their clients following the labor law of the employee’s country.

When to Use EOR

  • If you want to hire talents from all over the world, you can get help from EOR services. These allow you to hire top talents from anywhere in the world.
  • Companies that want to explore the market in a new country without setting up an entity will find EOR services helpful.
  • If you are a small business and do not have people with knowledge and expertise on local laws of different locations, you should go for EOR for global employee management.
  • While companies choose to employ contractors, they have a risk of misclassifying contractors. EOR services can be utilized in these situations to hire contractors compliantly.

If you have any of the above situations, the following Employer of Record solutions can help you get an international workforce.


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Deel can handle the complexity of hiring from a global workforce on your behalf and allows you to onboard employees from more than 100 countries. It helps you stay compliant with local laws by taking care of contracts, terminations, and minimum wage.

Besides having legal entities in 100+ countries, it also offers expert visa support to your employees. Deel can also manage employee benefits, taxes, pensions, and any other fees while you can be free from worries by paying one bulk payment.

The global hiring toolkit allows you to calculate employment costs based on the location for making the best business move. With localized data, it makes the onboarding process quicker for you. This platform can also be used for document management. 

Moreover, Deel simplifies payroll administration with its in-house payroll team. It also helps with expense tracking and a risk-free offboarding process.


Talent500 is a market leader in providing talent, workspace, and payroll solutions. They have helped 150+ companies onboard 120000 employees. With a presence in 100+ countries, Talent500’s Employer of Record solution is a perfect fit for your global expansion needs.

The EOR model covers payroll, benefits, legal, and infrastructure and handles the administrative burden of managing a global workforce. You have the flexibility to configure HR policies, benefits, and systems.

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Talent500, supported by Accel, is a leading global enterprise specializing in seamless team management solutions. Their proprietary AI-based platform has over 1.5 million tech resources, complemented by products like LEAP, LOOP, and RISE.

These products cater to various stages, from sourcing to post-onboarding, offering support throughout the employee journey. So, if you’re looking for a partner to build and scale your global team, choose the one that has already done it 150+ times. Visit Talent500 to learn more.

Papaya Global

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You can choose the EOR solution of Papaya Global for seamless workforce hiring. It can handle employment from all over the world. No matter which region you choose, it allows you to quickly and compliantly onboard the right candidates for your team.

It has a longstanding and proven relationship with local in-country partners in different countries. Since papaya functions as an additional layer of approvals, your company data remains secure. Also, you can choose the top level of service with an SLA.

Using this EOR service, companies can smoothly onboard employees with full compliance and local cultural expertise. Moreover, it offers additional perks like assured payroll compliance, maximized data privacy, and benefits management.


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Let Multiplier act as the primary employer of your employees and manage them efficiently. Now, you can hire global talents without setting up business entities in every country from where you want to onboard employees.

By becoming your partner, Multiplier engages with foreign workers legally and efficiently to act as their legal employer. You do not have to worry about local laws on tax and labor as this platform compliantly manages the payroll, benefits, expenses, and taxes.

You can also use it to create multilingual, locally compliant contracts and take assistance from their on-site experts to tackle employment risks. It also makes it easier to offer customized and homogeneous benefits to all employees.

Other benefits of this platform include multi-country payroll, expense and reimbursement management, on-the-go freelancer payment, and more.


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If you are looking for a reliable Employer of Record service provider, Remote is one of the best you can get. It offers global EOR services across the world. If you want to hire international employees for your business or organization, this platform has all the infrastructure and expertise you need. 

Even if you have a small team, Remote will offer competitive local benefits to the employees following the local labor and tax laws. It also helps you offer compelling compensation packages, including stock options, equity, bonuses, paid time-offs, and commissions.

You can even take assistance from the legal and HR experts of this platform in your hiring journey. It also makes payroll, local tax management, and benefits administration easier. You can also hire the best contractors through this platform with straightforward payment and zero hidden charges.


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Global workforce management software Rippling has everything a business needs to run and manage a global workforce from a single platform. Now, you want seamlessly hire, manage, and pay talents from different countries.

With its help, you can complete the onboarding process of employees and contractors in less than two minutes. It also becomes easier to pay the employees in their local currencies without any hassle of waiting for conversion and transfer.

Rippling can also unify all your systems and lets you Manage HR, IT, and finance from one system. It also automates the global compliance works so you do not have to spend hours understanding local laws of global locations.

In addition, you can use it for automatically submitting taxes for your employees, syncing HR  data with payroll software, paying every employee in local currency, offloading payroll tasks, and getting all employee data reports. 


Remofirst lets you hire employees for your company from more than 150 countries without having to set up business entities in any of these countries. After choosing the right candidates for your job openings, you can share the details with this company, and they will tell you the cost of employing them for your company. 


After getting the nod from you, Remofirst takes care of the admin tasks and local compliances needed for onboarding the employees on your behalf. While they manage the administrative burden, the client or the original employer is in charge of handling daily operations and decisions like meetings, performance reviews, and termination.

Remofirst bills the clients in USD, EUR, GBP, CAD, and SGD and p[pays the global employees in their local currencies. It even boasts a legal expert team that helps you stay compliant with the ever-changing local and regional compliances

Velocity Global

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Do you want to leverage the power of global talent-hiring? With the help of Velocity Global EOR service, you can build a compliant global team quickly. Be it onboarding, payroll compliance, or benefits, it simplifies the process for you and makes managing teams across borders seamless.

Velocity Global offers its service in every US state except Alaska and 185+ countries in the world in total. If you want your employees to relocate, this solution can help you to keep your workforce intact. The immigration experts of Velocity Global manage all the paperwork, and you just need to put in a signature.

It also helps you offer competitive benefits to your employees to retain talent in the cut-throat market of the present time. Using this software, companies can also make sure the employees receive accurate payments on time.


FoxHire user interface

Companies looking to expand their opportunities should go for the EOR service offered by FoxHire. With its help, you can find and hire any contractor in all 50 states of the US. It takes the responsibility of compensation, unemployment, benefits, or risks so that you can focus on your business growth.

This simple software allows you to complete onboarding new team members in a few clicks. The interface of this platform is easy to use. The employees can readily submit time sheets for invoices that FoxHire will verify before making the payments.

Moreover, this platform covers compensation, benefits, and relevant insurance. It even offers full benefits to all contractors. When it comes to maintaining compliance, the solution follows best practices for client contracts, employee contracts, IRS compliance, immigration authorization, and DOL prevailing wage.

How to Choose the Best Employer of Record Services

  • Check if it supports the countries from which you want to hire
  • See if it provides international compliance
  • Find out if the service has experts for local law and HR
  • Check if the EOR service supports payroll and admin works
  • See if it offers global benefits and helps with the end-of-employment agreement
  • Do online research to find out which solution offers the features you need most
  • Check for unbiased ratings and reviews of the EOR services

Final Words

Managing a workforce across countries is not easy for any company. EOR service providers make these challenging tasks easier for you. Now that you know the best Employer of Record solutions, you can pick any one for your business needs. 

Next, check out payroll software for startups to medium businesses.

  • Tamal Das
    Tamal is a freelance writer at Geekflare. After completing his MS in Science, he joined reputed IT consultancy companies to acquire hands-on knowledge of IT technologies and business management. Now, he’s a professional freelance content… read more
  • Narendra Mohan Mittal

    Narendra Mohan Mittal is a Senior Digital Branding Strategist and Content Editor with over 12 years of versatile experience. He holds an M-Tech (Gold Medalist) and B-Tech (Gold Medalist) in Computer Science & Engineering.

    read more
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