What is a global employer of record?

Abbreviated to GEOR, a global employer of record is a third-party organization that onboards its clients’ foreign employees locally in their target countries using its global infrastructure.  

Employees acquired in this way (GEOR employees) are officially registered as employees of the GEOR company; which handles legislation, tax compliance and global payroll, expats’ work permits and immigration support, and employment requirements. The actual employer maintains the substantive day-to-day working relationship with the global employee hired via a GEOR model.

The GEOR solution is also known as global employment outsourcing, which allows companies to hire, compensate, and provide benefits to the talented foreign workforce that is key to their business. It helps them expand their business to (or operate in) an international market quickly, easily and with 100% compliance (for either compliance or convenience reasons).

GEOR acts as a legal and functional intermediary between the employer and foreign employee. It takes responsibility for the employee, while leaving active employee management to the employer. International hiring processes are complicated and require detailed in-country legal and  payroll logistics knowledge. The global employer of record takes up this challenge and handles all global HR issues on the client’s behalf.

Functions of a global employer of record:

GEOR takes up more legal, and financial responsibility for the employee, regardless of the country they are in, and the number of employees under the agreement.

Unlike a local third-party employment service that would do that in one country (or a limited number of countries, or 180+ countries to meet your company’s global expansion needs), a global employer of record gets you covered literally anywhere in the world, which makes global employment outsourcing faster, easier, cheaper, and 100% compliant.


A global employer of record is responsible for the following tasks:

  • Comply to host country labor laws and regulations.
  • Facilitate acquiring of visas and work permits.
  • Offer advice to the employer on foreign labor laws.
  • Process legal work permits.
  • Provide a legislation entity for compliance with local payroll.

What is a global employer of record?


Why seek a global employer of record solution?

There are several financial and legal benefits a company can enjoy from working with a global employer of record. The GEOR replaces several separate entities that would alternatively be used to handle foreign workforce employment. Before the advent of GEOR, companies struggled with foreign labor adjustments, resulting in the hiring of expensive legal counsel, and had to create their own expensive legal entities in each county.


Here are some of the benefits a company  with foreign labor can look forward to by deciding to use global employer of record solutions:

Work permits Immigration and visa processing.

Scrutiny and compliance with the constantly volatile international immigration laws can be time and resource wasteful. GEOR is responsible for handling the processing of visa, work permit and meeting immigration laws and regulations. The global employer of record also ensures immigration compliance should there be affecting changes made while the employee is working locally.

No need to dive into country payroll nuances.

Payroll includes critical financial information such as deductible, tax and payable amounts.

A compliant payroll should accurately reflect these details according to set standards. In most cases, payroll is compliant with local standards for foreign employees. The GEOR handles payroll for the employer’s global employees eliminating the need to have different payroll interfaces for foreign employees on assignment or employment agreement.

No need for international branches and own international infrastructure setup

A different way to ensure compliance with foreign labor laws is to establish a subsidiary in a foreign country that runs in compliance with the country’s laws. This is a time consuming, labor and resource intensive undertaking that would require expensive legal guidance.  For most firms, this is not a viable option. The easiest solution is a GEOR service. The service takes care of all legal compliance including work laws to ensure legal foreign employment.


Single point of contact and consolidation of actions  single unified invoicing and reporting:

No matter how large your international workforce may grow, or how many countries they are in, your global employment outsourcing efforts can be much more successful and compliant through the use of a Global Employer of Record solution.

Whether you have one or one hundred global team members, your global employer of record solution provider will provide one monthly invoice that covers them all.

Transparent, easy to understand unified billing.

Even if your global employment outsourcing efforts have one hundred team members in one hundred different countries – your global employer of record provider will handle them all in one place.

A global employer of record is the easiest and fastest way to venture into international markets by hiring foreign sales teams, or to utilize and reward top foreign talent that are instrumental in growing your business.

The advantages of using a global employer of record are overwhelming when considering other available alternatives. GEOR reduces company’s liabilities and exposures to misclassification risks, and legal resources in the hiring process.

The main benefit apart from being a single access point to foreign labor is the time and cost savings along with 100% compliance.

Use the easy button for your global employment outsourcing initiatives, use a global employer of record solution.


*Global Employer of Record, also known as Global Employment Outsourcing, International Professional Employer Organization (PEO) and payroll solution have synonymic meanings and are often used interchangeably.

More blogs are listed below
#Business expansion
Employers who fear diversity fail in today’s global marketplace
See More
#Corporate news
Greetings for the Happy Holidays 2022
See More
What is a global employer of record?
See More
Need More Information?
Ask Us a Question