hr consulting

Hr outsourcing service providers: How do they Outsource?

These services are designed to achieve one goal – to enable your organization to expand without the burden of complex operations by locating and hiring international talent to help your company thrive with hr outsourcing service providers.

What is the employer of global record?

Employer of record global is an outsourced headquarters services manager for companies that employ international employees. In short, employers of record service providers add their customers’ global employees to their global record payroll system. Thus, the company no longer needs to complete the long, complex, and expensive process of establishing subsidiaries in the countries where its international employees sit, and instead, it can use the established infrastructure and salary resources of its employer or business record partner.

At the same time, the expanding company functions as an employer, and all international employees report to it. The employer of record performs the staff tasks related to wages, benefits, and technical details of meeting regulatory requirements related to the recruitment of international employees.

Employer of record membership types

There are two types of employers of record companies: companies that rely on the central model, or aggregator model, and companies based on the infrastructure model that they fully own.

The aggregator model: one company serves as an umbrella organization and employs employees through subcontractors in each country. These (usually small) suppliers are not suitable for large organizations. Entering into a business partnership with the right employer of record will help unlock the full global potential of your company. But don’t fall into the trap by believing the following myths about how the employer of record works. Otherwise, you may miss the opportunity to take advantage of its potential benefits.