The Future Global Talent Management System: EOR (Employer of Record)
As the world becomes increasingly global, it is becoming more and more common for companies to have employees in different countries. This presents a number of challenges when it comes to managing salaries, payroll, and compliance with local employment laws. This is where the concept of EOR (Employer of Record) comes in. EOR companies provide a solution to these challenges by acting as the legal employer of your remote employees. This means that your company can focus on growing its business, expanding into new markets, and achieving its goals, while the EOR company handles the legal and compliance aspects of your remote team.
But what exactly is EOR, and how does it differ from other HR solutions?
EOR services are designed for full-time employees, not freelancers or consultants. To be specific, EOR services are for employees who work for a monthly salary and are fully integrated into your workforce, just like any other employee. As a result, staff engagement will increase as they feel a part of the organization.
So, why use EOR services?
To give you a clear understanding of what an EOR does, let’s consider the following example:
Imagine that you own a software development company, and you have hired a talented programmer from a different country. Let’s say the programmer’s name is Mr. X. Now, you would like to offer Mr. X a full-time job with a monthly salary and benefits. However, you are worried about complying with the local employment laws in Mr. X’s country. Here’s where an EOR can help. The EOR company would act as the legal employer of Mr. X, taking care of all the HR-related tasks such as payroll, benefits, and compliance. This means that you would not have to worry about setting up a legal entity in Mr. X’s country or navigating the local employment laws. Instead, you can focus on your core business activities and let the EOR company handle the rest. Cool right?
EOR also can help you recruit from a larger talent pool. This means that you can access top talent from around the world, without having to worry about the legal and compliance aspects of your remote team.
There are many EOR companies available, and they can be divided into three tiers based on the services they offer.
|Tier 1||Tier 2||Tier 3|
|These EOR companies manage the employment contract, monthly salary, provident funds, termination, and other HR-related tasks. However, you still have to find the new employees by yourself. Companies in this tier range from self-service platforms to companies that offer legal help.||These EOR companies go one step further by also recruiting employees for you, and may provide office space, networking opportunities, and extensive HR departments. They work closely with your company to ensure a mutual cultural understanding of how your company and EOR staff can work together effectively.||The highest level of EOR services, tier 3 companies offer a complete comprehensive work-life balance for the employees, including in-house academies with specialized trainers, provide life-long certifications, social security, and team-building events to ensure employees feel like core members of the company and maintain the highest levels of expertise within your workforce.|
Tikweb’s place in the EOR realm
Tikweb is a Tier 3 EOR company that stands out from the crowd with its commitment to providing its clients with the highest level of EOR services and comprehensive solutions for managing remote employees. We offer social security services that raise the bar from local standards to Nordic levels in order to promote employee stability and reduce employee turnover. With our two-sided cultural learning paths, the company and the EOR employees can understand and collaborate within a multicultural environment. We always include a local scrum master and skill set trainers with new EOR employees, ensuring a learning path that creates a successful work environment. Moreover, we run an in-house full-service academy so our employees receive life-long education and certifications in the complete ecosystems in which Tikweb delivers EOR employees.
In conclusion, Employer of Record services is the future of global talent management because it provides a convenient and effective solution for companies looking to expand their workforce into new regions and cultures. With Tikweb’s commitment to excellence, companies can expect improved production rates, reduced costs, and increased overall recovery of their oil reserves.