What is International PEO?
International PEO is a global employment solution where a third-party in a foreign country hires your employees on your behalf. Through this Employer of Record solution, the provider becomes an extension of your HR department. As a result, they manage all payroll and tax withholdings, remittances to the local authorities, health and social security-related programs, onboarding, health insurance, benefits, pension, and terminations. Your company continues to manage all day-to-day responsibilities and employee liabilities.
This model allows your company to add full-time team members to your global operations within a matter of days. Additionally, your company does not have to cope with the headaches, time, cost, or rigidity of managing a foreign subsidiary.
Enhance your global expansion with International PEO from Global Mobility Solutions!
Global employment scenarios simplified by International PEO
Mergers & Acquisitions – When companies experience a robust merger and acquisition, one company may be left in charge of new employees located all over the world overnight. Rather than having to find new talent or set up multiple entities across the globe, International PEO allows your company to keep those valuable team members onboard so you can immediately begin moving forward with your new business model.
Expatriate Employment – With International PEO, you can compliantly send team members into foreign markets to work for your company without the overhead of a foreign subsidiary. This enables you to foster the growth of internal employees while still exploring business potential in new markets.
Testing New Markets – International PEO enables your company to obtain a legal presence in a country without having to set up a foreign legal entity. As a result, this allows you to compliantly send team members into a new country to test market viability.
H-1B Visa Challenges (for employees immigrating to the U.S. for work) – If your employees do not receive an H-1B visa, International PEO can be used as a solution to keep them working for you from either their home country or any country supported by your International PEO provider. If your employee receives an H-1B visa in the future, the International PEO service can easily transition them off the service so you can employ them directly.
- Quick Market Entry: Once a candidate has been identified, International PEO can have them working for you in as little as 48 hours. This solution cuts the time it takes to enter a foreign market by up to 90% when compared to creating a foreign subsidiary.
- Cost Savings: International PEO can be up to 60% cheaper when compared to creating a foreign subsidiary, allowing companies to better utilize their budget in global markets.
- Risk Mitigation: This solution utilizes in-country expertise to help mitigate liability and employment-based risks. This proactive approach to compliance anticipates potential issues and ensures protection of your company, IP, and employees in foreign markets at all times.
- Highly Flexible: Flexibility is the cornerstone of International PEO. As a result, there is no need to sign any long-term contracts. If you want to test market viability or have a short to mid-term project in a country, this solution makes it easy to exit a country when needed, with no lingering costs or liabilities upon exit.
- Streamlined Process: International PEO streamlines your entire global expansion process. Additionally, it provides you with one monthly invoice for all your employees around the globe.
- Employee Benefits and Satisfaction: Your employee will receive ongoing HR support, giving them peace of mind that employment needs are met and that they are receiving the appropriate medical and supplemental benefits.
- In-Country Expertise: Receive continuous in-country support to help you navigate local labor laws, understand local cultures, and remain compliant in foreign markets.
Moving Forward with an International PEO
International PEO is the best option for companies looking to enter new markets compliantly and with the least amount of monetary and time investment. Once you have selected an International PEO provider whose benefits align best with your global growth goals, you can begin streamlining your expansion into new markets.
After identifying and securing a candidate, an International PEO provider will:
- Guide you through country-specific regulations including: monthly withholdings, taxes, social insurance, and employment regulations
- Provide you with an accurate estimate of monthly payroll costs
- Draft a locally-compliant employment contract for you to review and approve
- Onboard employees in as little as 48 hours
- Manage all HR functions including payroll, expenses, commissions, allowances, local benefits, risk mitigation, and compliance
- Send you one monthly invoice with full transparency of payroll obligations
- If needed, walk you through terminations to ensure compliance with local labor laws
- Provide you with on-going support and premium service