Reimagining Global Workflow Practices in The New Globalization Era
We are in the midst of a time of significant growth for the global employment services market worldwide. The market is projected to grow by approximately $269.5 billion, powered by a compounded growth of 5.1%. A major factor behind this is the fact that as the economy globalized, companies suddenly had the ability to take advantage of talents based anywhere in the world. Fast forward to today, and we are facing another global change.
With the gig economy being reshaped, the same multinational companies need to rethink their working practices. This includes areas like:
- Hiring/managing a contingent workforce
- Creating new remote work practices
- Putting together globally distributed teams.
Here’s a closer look at the pain points this is creating, and how your company can tackle them.
The Evolution Of International Employment
The advent of the gig economy provided a new opportunity for global workers. They could provide their talents to all types of companies all over the world. However, COVID-19 has altered this significantly. Suddenly, companies that are engaging remote global workforce have opened themselves up to a whole new level of employment changes and ensuing tax liabilities. This has added up to a variety of other compliance and misclassification risks that were in place in various countries even before the pandemic.
The gig economy, which a lot of companies used to power their international teams, has been turned upside down due to the advent of COVID-19. Now, it’s a far more preferable choice to look into proper employees that you can invest in for the long-term. However, with that shift come additional considerations. If you have teams in multiple countries, you need to make sure you are compliant with each country’s set of labor rules to avoid being penalized.
Compounding this is the restructuring of the global workspace due to the advent of COVID-19. Suddenly, remote/contingent workforces are the only option since there is no other way to work. Even for traditional businesses that prefer conventional operations, this is the only option possible. For example, an international sales professional that goes to different countries to pitch offerings is now limited due to existing travel bans/limits.
How Companies With A Global Presence Can Reevaluate
Your company has already likely made adjustments due to COVID-19. You should be equally attentive to other new practices as well. Every company is likely to have its own contingent workforce, especially as the global market grows. It’s best that you get ahead of the curve, not just in having global teams, but the mechanisms to manage them.
When we talk about the ideal way to deploy your global workforce 100% compliantly, many companies were only pondering working with a Global Employer of Record/Global PEO service. In a post-COVID business world, though, that’s becoming more of a necessity than a luxury.
If you’re looking for an ideal partner in this endeavor, look no further than Acumen International. Our International PEO and Payroll service lets you hire, manage, and payroll all your foreign teams, without needing to set up your own legal entity abroad.
Without a Global PEO, you need a legal entity to stay in regulatory compliance. However, there are a lot of barriers to actually creating one, especially the rapidly shifting in-country labor laws.
At Acumen, we service over 190 countries and can help provide key services like hiring, onboarding, as well as managing taxes and benefits. We help you provide complete confidence for your foreign teams in any country. We also guarantee:
- Full tax and law compliance
- One agent taking care of your every task
- Global access by a single point of entry provider
- Quick task accomplishment
The entire world is reimagining how they put together their working practices, and new options are beginning to come to the forefront. In this critical time, any multinational company needs to look into using an established and experienced Global PEO provider as a trusted partner.
Acumen International already has a global network as well as hyper-localized expertise to help you as the world changes. Global PEO becomes the mediator between the worker and the client company. It comes with an arranged network as well as the expertise to execute complete conformity to all the local laws and tax regulations in over 190 countries worldwide. This includes services like:
- A bilingual employment contract
- Registration with all regulatory bodies
- Salary calculation and payout
- Compliant tax filing
- Handling employee requests
We’ve already built the global infrastructure in 190+ countries you need to be a successful company abroad. Work with us and start reaping the benefits.
Reach out to us today for more information.