8 Top Employer of Record (EOR) Companies in 2024
As businesses continue to embrace remote workforces and borderless talent acquisition, the demand for top employer of record (EOR) companies in 2024 is predicted to increase. These services help organizations navigate the complexities of compliance, payroll, taxes, and benefits in unfamiliar territories, opening up new possibilities for business growth.
Whether you're a startup looking to expand internationally or an established company seeking to streamline your HR processes, understanding the best EOR companies can be a game-changer.
Selecting the right EOR company is crucial for ensuring smooth operations and maintaining compliance across different regions. To help you make an informed decision, we've compiled a list of eight top EOR companies for 2024.
But first, let’s explore what EOR services are and the benefits they offer.
What Are Employer of Record Services
Employer of record services refer to third-party providers that serve as the legal employer for your contingent or international workforce. These companies handle a range of administrative responsibilities, such as payroll, tax withholding, workers' compensation, employee benefits, and local compliance. Essentially, they take on the legal and administrative burdens of employment, allowing you to focus on your core business activities.
One significant advantage of using EOR services is that they enable businesses to hire remote, international, or contingent workers without having to set up a legal entity in each location. This is particularly beneficial for companies looking to expand quickly into new markets without the overhead and complexity of establishing local subsidiaries.
For a more detailed guide on hiring remote workers internationally, you can refer to our Comprehensive Guide to Hiring Remote Foreign Employees.
A statistic from Globalization Partners highlights the growing trend: "In 2020, 57% of companies planned to increase their use of EOR services to manage their international workforce more effectively" (Globalization Partners, 2020). This trend underscores the increasing reliance on EOR services to facilitate global expansion and compliance.
Keep in mind that while EOR companies handle many HR functions, you still retain control over the day-to-day management and direction of your employees. This hybrid approach allows for operational efficiency and compliance, making it easier for businesses to scale globally.
Benefits of Using an Employer of Record
When looking to hire remote workers, there are several different options, but using EOR services is one of the most straightforward and popular. One of the key benefits is the efficient workforce expansion it offers. With an EOR, you can readily recruit and onboard employees from anywhere around the globe, giving you access to a diverse range of skills, experiences, and cultural perspectives.
A big plus here is the compliance management that EOR services provide. Navigating different payroll systems, tax rules, and employment laws can be complex and lead to costly mistakes. EOR services ensure you stay compliant across different countries and states, mitigating the risk of legal repercussions.
For more insights on compliance, check out our guide on Which Employment Laws Apply to Remote Workers?
Another benefit is the significant time and cost savings. By offloading traditional employment tasks and liabilities to EOR companies, you can reclaim substantial operational time and reduce administrative overheads. This allows you to focus more on business development and less on HR management.
For businesses needing to streamline their payment processes, our Bill Pay service can be an invaluable tool.
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Questions to Ask When Choosing an EOR Service
Not every EOR service may be suitable for your business. Some might specialize in specific industries or geographic locations that don't align with your business needs. Therefore, it's essential to ask the right questions when choosing an EOR service.
First, do they operate in and have knowledge of the right countries? The EOR company should have in-depth knowledge of the countries where you plan to hire and a detailed understanding of local regulations. This ensures that you're paying for expertise in compliance in a particular country.
Second, are they transparent about pricing? Pricing transparency is critical. The EOR service should provide clear, upfront pricing details, including all associated costs, fees, and potential charges. Hidden costs or lack of clarity should raise a red flag.
Lastly, do they include support services? An ideal EOR service should offer a comprehensive package with relevant HR support services throughout the employee lifecycle. This can save you time, money, and stress, making the overall experience more seamless.
For more on managing costs, you might find our article on Unemployment Insurance Costs insightful.
Near
Near is a full-service employment platform that aims to streamline the process of hiring and managing remote employees. They go beyond the services of a typical EOR by handling everything from sourcing and screening candidates to payroll, taxes, and compliance. This allows companies to focus on growth rather than managing international employment issues.
A benefit here is Near’s smooth setup experience and end-to-end recruitment services. Known for their high level of personalized support, Near excels in scaling remote teams quickly and efficiently. Their nearshoring model, focusing on Latin American countries like Mexico, Argentina, and Brazil, offers cost-effective staffing solutions with benefits like similar time zones and cultural familiarity.
While Near doesn't take on the role of the legal employer, they find that most clients prefer to hire workers as independent contractors. This method is just as simple as hiring through an EOR, providing flexibility and efficiency for businesses looking to expand their remote workforce.
For more on remote hiring strategies, you can explore our Top 16 Remote Recruitment Agencies.
Deel
Deel is designed to simplify the legal and compliance procedures for hiring globally. They offer a reliable and easy-to-use platform that manages contracts, tax documentation, and payroll for companies in over 150 different countries. One advantage of Deel is its user-friendly interface, which streamlines the process of managing global employment tasks.
Deel also offers 24/7 support and transparent pricing, making it easier for businesses to understand and manage their costs. Operating in over 150 countries, Deel provides extensive reach and flexibility for companies looking to hire internationally.
A big plus for Deel is their comprehensive service offering, which includes everything from contract management to tax documentation. This makes them a one-stop solution for businesses looking to simplify their global employment processes.
For more on managing international payments, our guide on How to Select the Best Payment Platform for Global Contractors could be helpful.
Omnipresent
Omnipresent an Employer of Record that prides itself on its expert-led approach. It’s intuitive platform makes it easy to onboard, manage and pay employees and contractors anywhere.
Omnipresent offers the widest range of global employment solutions; these include Employer of Record (EOR), Virtual Employer of Record (VEO), Professional Employer Organisation (PEO), or Contractor services.
Omnipresent’s wide range of global employment solutions means that it’s the best provider to use in countries where employment laws surrounding Employer of Record are more restrictive.
Customers also cite Omnipresent’s outstanding customer service and support, with legal, benefits and payroll experts on hand to help companies manage complex global employment challenges, including mergers, acquisitions and complex carveouts.
Remote
As the name suggests, Remote is designed to enable companies to hire, pay, and manage remote employees worldwide. They are committed to simplifying the process of employing a global workforce, offering a broad range of HR services and a simple, easy-to-use interface.
One advantage of Remote is their IP protection feature, which is unique in the EOR market. This ensures that your intellectual property is safeguarded, providing peace of mind for businesses operating internationally. Remote operates across multiple regions and continents, making them a versatile choice for global hiring.
Keep in mind that Remote also offers comprehensive HR services, including payroll, benefits, and compliance management. This makes them a well-rounded solution for businesses looking to streamline their international employment processes.
For more on payroll services, you can refer to our list of 11 Best Outsourced Payroll Services Companies for 2024.
Rippling
Rippling is an all-in-one platform that manages everything from payroll and benefits to devices and apps for businesses. While not limited to EOR services, they have a robust program to support global employment, making them a versatile choice for companies looking to manage multiple HR functions in one place.
One advantage of Rippling is its powerful integration with other applications. This allows businesses to streamline their operations and manage all their HR needs from a single platform. Known for its intuitive design and broad range of features, Rippling offers a comprehensive solution for managing global employment.
Note that Rippling primarily operates in the United States but supports global hiring. This makes them a suitable choice for U.S.-based companies looking to expand their workforce internationally.
Remofirst
Remofirst enables companies to tap into international remote talent and support their employees with local benefits while maintaining compliance with international laws. They offer comprehensive HR services and easy-to-use payroll management, making them a reliable choice for global hiring.
A benefit here is the bulk payment processing and automated tax calculations that Remofirst offers. These features simplify payroll management and ensure compliance with local tax laws. Operating in over 160 countries, Remofirst provides extensive reach and flexibility for businesses looking to hire internationally.
Keep in mind that Remofirst also offers features like time-off management and reimbursement requests, making them a versatile solution for managing various HR functions.
Oyster HR
Oyster HR aims to simplify the process of employing a distributed team across different countries. They handle all aspects of global employment using a single automated platform where all employment functions can be managed, including hiring, payroll, and benefits.
One advantage of Oyster HR is their focus on automation, which reduces the administrative burden on businesses. Operating in 70 countries worldwide, they provide extensive coverage and expertise in various regions, making them a reliable choice for global hiring.
A benefit here is the comprehensive HR services that Oyster HR offers, including recruitment assistance and visa applications. This makes them a one-stop solution for businesses looking to streamline their international employment processes.
Globalization Partners
As one of the pioneers in the EOR field, Globalization Partners enables companies to hire in over 180 countries without the need for establishing subsidiaries. They offer a comprehensive global business solution that handles taxes, legalities, and other administrative tasks, making international hiring more manageable.
One advantage of Globalization Partners is their wealth of experience and solid reputation for delivering high-quality services. They also stand out for their comprehensive coverage, serving more countries than most other EOR service providers.
Keep in mind that Globalization Partners provides a full suite of services, including payroll, benefits, and compliance management. This makes them a versatile and reliable choice for businesses looking to expand their workforce globally.
For more on compliance management, you might find our article on What Is Certified Payroll? A Complete Employer's Guide to Wage Compliance useful.
Final Thoughts
The ability to quickly and efficiently assemble a talented, global workforce is a significant competitive advantage. Using an EOR company guarantees simplicity, compliance, and a remarkable reduction in the potential risks associated with international hiring.
If you are ready to grow your workforce with highly skilled international remote workers, consider the options listed above. Each of these EOR companies offers unique advantages and comprehensive services to help you navigate the complexities of global employment.
Whether you need extensive coverage, robust software, or personalized support, there's an EOR company on this list that can meet your needs.
References
Globalization Partners. (2020). Employer of Record (EOR) Services: A Growing Trend in Global Workforce Management. Retrieved from Globalization Partners.
