How Can an Employer of Record Simplify Your HR Processes?


As for human resource management, any organization may find it quite challenging to spend a lot of time on managing this resource. In the workplace, several activities occur in recruitment and orientation, payroll and compliance and many others but for ease functioning of the workforce in an organization. This is the point where EOR can be the best source of help. The Employer of Record is a vital employee who is hired to manage and ease your HR process and ensure that your organization is successful. This article has a closer look on the Employer of Record.

Streamlined Recruitment and On boarding

This major one among all the problems facing businesses is talent acquisition and retention. Over the neck, this process is painstaking since it includes advertisement of vacant positions, costly resume sorting, interviews, and even the more problematic issue of negotiating work terms. It is, therefore, simplified by adoption of an Employer of Record that will take care of the entire recruitment and on boarding process thereby allowing your organization to focus on core business activities.

Efficient Payroll Management

For another HR process, the payroll needs to be managed vitally with needed accuracy, timeliness, and compliance to labor laws. A difficult and error-riddled task is to calculate salaries, to deduct required taxes and issue a pay check. An Employer of Record manages compensation administration, ensuring that your employees are paid precisely and promptly. The handle tax withholdings and filings including those that would be much complicated if an organization was handling the payroll tax compliance.

Compliance and Legal Support

The employment world laws and regulations spring up rapidly, and this creates lots of challenges for companies. The Employer of Record keeps pace with the changing legal provisions, ensuring that your HR operations comply. He/She assists in legal support, helps you to prepare the employment contracts and maintains the integrity of all relevant papers. Businesses that operate across borders or territories can gain significantly from this expertise.

Benefits Administration

People involved in managing employee benefits are frequently dealing with tons of paperwork, coordinating with several providers and making sure that they provide the regulations. A Professional Employment Organization simplifies the benefits process, facilitating enrollments, managing benefits claims and supporting employees. This translates to the coherent administration of advantageous benefits packages.

Risk Mitigation and Contingency Planning

Organizational risk management is a key area of HR operations. A better method of risk reduction is the Employer of Record, which seeks to alleviate the innumerable risks associated with HR, including compliance problems, employee sues, and workforce unrest. They provide internal controls to ensure that grievances of employees, redundancy and planning of workforce are in place. A contingency planning and support could be provided by an Employer of Record if unexpected events like natural disasters or economic recessions occur.

Cost Savings and Scalability

Outsourcing HR processes to an Employer of Record tends to save organizations substantial amounts of money. By taking advantage of their knowledge and cost-efficiency operation, they can deinstitutionalize workflows, minimize non-production expenses and distribute resources effectively. In addition, an Employer of Record provides scalability, whereby your organization can increase or decrease its workforce very quickly without major HR disturbances.


Commoditization is evidenced by the need to focus on core competencies in the current business environment. Although significant, HR processes are laborious and convoluted. Instead of having to handle all the HR functions by themselves, an Employer of Record can do this for you so that your organization can allocate resources to focus on strategic activities. These professionals support you from recruitment and on boarding to payroll management as well as compliance, keeping your workforce productive and on the right side of the law. Not to mention that if the benefits of an Employer of Record are what they are cracked up to be, why not do away with the vagaries of HR and incorporate simplicity and efficiency where they rightfully belong?

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