EasyStaff Launches an Employer of Record Service to Assist Companies in Going Global

Vilnius, Lithuania--(Newsfile Corp. - August 9, 2023) - EasyStaff, an international payment and task management solution for companies and contractors, now offers an Employer of Record service to assist companies in expanding their operations internationally.

Benefits of Partnering with an Employer of Record

For IT companies competing on a global scale, a labor contract may not always be an option. When companies want to hire employees in another country, they typically have to establish a local entity. This process can be time-consuming and involves ongoing payroll and HR administrative tasks. However, with EasyStaff's Employer of Record product, the company can hire employees who work for them just like any other team member without the hassle of establishing a local entity.

A new service from EasyStaff will help companies to hire or relocate their staff officially in the EU or Montenegro wherever the customer is located. These practices may prove advantageous for companies relocating employees in Europe or for European companies seeking to cut costs by hiring outsourced staff within the EU. EasyStaff will act as Employer of Record and provide all necessary accruals, such as social security, pension, taxes, and obtain residence permits for citizens outside the EU. With the help of EasyStaff, companies can reduce their payroll costs and other taxes by working with remote staff from all over the world.

EOR service providers cater to multiple organizations, which enables them to utilize technology and expertise on a larger scale. This allows for efficient and consistent payment operations that take less time and resources that an in-house HR team. From a legal standpoint, EasyStaff hires employees as their Employer of Record for its clients. Under a B2B service contract, the companies pay EasyStaff a fee of at least 190€ per employee.

Cost Reduction and Guaranteed Compliance with Local Laws

EasyStaff acts as the company's service provider and facilitates payments to freelancers. Given that EasyStaff is also a payment platform for remote workers, companies have an opportunity to interact with offshore workers. EasyStaff bridges the gap between its client and offshore labor. Business relationship with professionals offshore is possible through a service agreement.

The purpose of offshore labor is to assist companies in finding skilled professionals who can provide high-quality work while reducing financial burden. In essence, the key benefits of offshore labor are the elimination of payroll and HR expenses, as well as overall lower costs thanks to low cost of living in offshore locations. For example, In Europe, employers in certain areas might have to pay up to 75% for every 1,000 EUR of net salary. Signing a service agreement with an employee through a freelance management platform helps companies save on payroll costs, administrative work, and legal and tax consulting. Although a company and its employees may be located in the same country, the potential for profitability can still be significantly higher.

The process is straightforward and completely legal. Companies sign a B2B service agreement with EasyStaff, which then signs a contract with the desired specialist, no matter where they are located. The specialist is then paid by EasyStaff. In doing so, the company is not responsible for the income taxes that specialists may have to pay in their home country. EasyStaff charges either a flat fee of 39 EUR per payment or a 4%+ commission. This means that saving on taxes is made simple and hassle-free.

"Entrepreneurs strive to optimize expenses in today's ever-changing market conditions by exploring new income sources, reducing costs, and reorganizing teamwork. To optimize labor costs and get through HR fast, many startup owners build international teams of specialists from countries with lower living costs and lower average salaries. Although reaching out to specialists itself is easy, legal and financial uncertainties may later turn into legal prosecutions, both at home and overseas. The point is, to stay successful, a company needs to stay legal. To keep a performing remote team, despite problematic and demanding tax and labor cost environments, one of the best ways is to go offshore and use special services, like ours," explains Evgeniy Fyodorov, a co-founder of EasyStaff.

"Businesses desire to expand and hire employees globally avoiding the red tape. Utilizing an Employer of Record (EOR) partner, already established as a legal entity, ensures compliance with local laws. This approach protects against tax and local law compliance issues, thus enabling businesses to focus on success and profit," adds Vitalii Mikhailov, a founder of EasyStaff.

For media inquiries, please contact:

Name: Arina Kozlova
Company Name: EasyStaff UAB
Phone Number: +370 661 10 153
Email Address: [email protected]

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