Employer of Record (EOR)

Un Employer of Record o EOR es una empresa que cuenta con una red de entidades en todo el mundo para contratar y pagar a trabajadores en nombre de los clientes. Brinda a los clientes una manera ágil de contratar talento en nuevos mercados internacionales, sin los costos ni riesgos asociados a la creación de una entidad en un país extranjero.

Although they are similar, the key difference between an EOR and a PEO is the entity requirement and shared legal responsibility for employees.

Traditionally, global PEOs are co-employment arrangements, meaning both the PEO and the client company must have a registered entity in the country where the employees are located — and both organizations share legal responsibility for employees.

With an EOR, there is no shared legal responsibility for employees or entity requirement for client companies. An EOR is the preferred method for companies looking to onboard international employees quickly and compliantly.

If you’re involved with your organization’s global expansion planning, you know there’s a lot to consider. When a lack of speed or local HR expertise are among your organization’s top concerns, an EOR may be the best option for for international expansion strategies and achieving your global growth objectives.