- Overview: Italy
- Global PEO and Payroll
- Global HR Compliance
- Work Permit for Hiring Expats with Global EOR
- Expand without a company set up
- Contractor vs. employee: which is better?
Employer of Record in Italy
What Is a Global Employer of Record?
A business that provides Global Employer of Record services is typically one that has already established a local legal entity or a partner in the target country. This company manages the hiring of local workers and payroll, tax, and benefits administration on behalf of its clients based outside the country. The client retains control over employee job duties and performance management. Employer of Record arrangement is generally used as a short-term solution for one or two years. It may sometimes continue for several years, depending on the country and situation.
Different businesses have different needs when it comes to hiring employees. The Employer of Record international talent engagement model may be a good fit for fast-growing tech businesses and startups that need to take on people quickly and easily.
An Employer of Record (EOR) is a business that employs workers on behalf of another company. The EOR arrangement is often used when an organization wants to hire employees in a foreign country. EORs can be used as an alternative to setting up a branch or company in the jurisdiction of employees. This can save time and money by avoiding having to go through the process of setting up a separate legal entity.
Global Employment Services in Italy
Global expansion can be a complex and costly undertaking for any business, particularly when onboarding hybrid talent (foreign and local employees) in foreign countries. In many cases, complying with local laws and regulations requires establishing a legal in-country business entity—a process that can take significant time and resources that some employers may not be ready to invest.
To help your organization legally onboard and payroll a workforce in Italy, Acumen International offers a global employment solution via our Global Employer of Record (EOR) designed to help you circumvent the legalities of direct hiring, eliminating the need for you to establish a legal entity in Italy to conduct business there and letting you focus on expanding your operation in Italy without worrying about the administrative details.
With Acumen International’s Global Employer of Record (EOR) solution, you can take advantage of our company’s legal infrastructure to establish a fully-operational and compliant presence in Italy while maintaining your HR practices and corporate culture.
Global Employment Journey — Recruitment. Onboarding. Management. Retention. Termination
Compliance and legal guidance at every step of the Global Employment Journey. 24/7 local support.
1. Recruitment |
2. Global Mobility |
3. Checks |
4. Onboarding |
5. Payroll Administration |
6. Working Time & PTO Processing |
7. Benefits Administration |
8. Tax Administration & Reporting |
Offboarding |
| Talent skilled in highly-specialized areas | Employee Work Visa and Work Permit sponsorship | Health checks | Employment Agreement drafting | In-country registration with statutory bodies | Working hours | Mandatory Benefits | Tax Reporting frequency and requirements; | Employment agreement termination: |
| Executive search | Dependent Visa | Criminal record checks | Compliant worker onboarding on your behalf | Day-to-day payroll management | Overtime | Health insurance | Employer taxes & contributions | Dismissal – by the employer |
| Contingency workforce | Visa extension | Background checks | Account setup in the payroll and HR system | Monthly pay slips or other pay frequency | Public holidays | Workers’ compensation | Employee taxes & contributions | Resignation – by the employee |
| Application for a sponsor license for a foreign national | Education checks | Employee data entry and records maintenance | Accruals | Annual leave | Unemployment insurance | Withholding tax | Termination by mutual agreement | |
| Relocation assistance | Managing probation periods | Allowances | Parental leave | Voluntary Benefits | Local tax payments and reporting to local authorities | Notice period handling | ||
| 13th and 14th salary | Sick leave | Share plans for executives | End of financial year reporting | Final settlement & severance payments | ||||
| Additional leave | Bonuses & Equipment provision | De-registration with statutory bodies | ||||||
| Expenses reimbursement & business trip processing | ||||||||
| Health insurance, dental treatment |
Why Partnering with Global PEO Is a Win-Win Solution for Your Business?
- There are many reasons why working with a Global Employer of Record (EOR) in Italy is better than managing your HR department. A Global EOR understands the complexities of international employment laws and can help take the guesswork out of legal compliance. They can also reduce your time on administrative tasks and help you stay compliant with industry standards.
- A Global. Employer of Record can provide their clients with competitive advantages by pooling resources and sharing global employment risks.
- If you’re like many businesses and have trouble keeping track of each country’s requirement for mandatory employee benefits, unemployment claims, workers’ compensation, and other issues, you may find that using a global Employer of Record (EOR) in Italy saves you a lot of time and money. A global EOR will handle all your business-related social security and insurance needs and ensure your employees get the coverage they need where they live. Because a global EOR can handle all of the details with one organization, it also helps cut down on internal costs—your company only has to pay one price for each policy rather than dealing with multiple companies across multiple jurisdictions.
- International employers’ most significant challenge is supporting their organization’s employees when their business restructures or reorganizes. A global Employer of Record can support your business upon mergers, acquisitions, or close-downs. When you manage the employee relations aspects during any business transitions (M&As or close-downs), you want to ensure the process is seamless and 100% compliant.
- When you work with a Global Employer of Record company, they manage your global payroll and taxes so you don’t have to worry about them. They keep everything filed properly, so local tax authorities don’t come after you for anything. A Global EOR can also ensure that you comply with labor laws so that you don’t accidentally hire someone who isn’t authorized to work in the country where you run operations. They also help your business comply with immigration laws to avoid fines or other penalties from immigration officials. Suppose your business has international clients or employees. In that case, a global Employer of Record company will also help you navigate any additional immigration regulations in Italy that might apply to those individuals and your entire organization.
Global EOR Helps Test Foreign Markets without Local Incorporation
As a business owner, you may feel overwhelmed by the tax implications of expanding your business overseas. However, new ideas exist to reduce complexity and ease the burden on busy entrepreneurs. In this article, we’ll explore some of the best ways to reduce the complexity of tax planning for international expansion.
If you’re thinking about using a Global Employer of Record (EOR) talent engagement model for your business, it’s becoming increasingly popular. Here’s how it works: a third-party company operates a local entity in each jurisdiction where it offers services. This can be a great way to comply with various laws and regulations.
Here’s how the global Employer of Record arrangement works. A new business owner approaches a global EOR company to hire a remote worker based in a different jurisdiction. Rather than the business owner having to establish a new company or register a branch in Italy, the employee can be employed by our local EOR company in Italy. All attendant costs associated with this arrangement are then charged to the client company for a fee. This can be a more efficient and cost-effective way of doing business for both the employer and the employee. Many start-ups like this idea because it gives them the flexibility to focus on getting their business up and running.
Spotlight on Italy
Italy (the Italian Republic) is a country located on a peninsula extending into the central Mediterranean Sea. Italy is a part of the European Union. Its geopolitical position can make Italy ideal for your business’s global expansion.
- Capital: Rome.
- Population: With a population of more than 62.3 million (July 2021), Italy is the third-most populous EU country.
- Official languages: Italian.
- Local currency: Euro (€, EUR).
- Labor force: 22.92 million (2020).
- Industries: Agriculture (apples, olives, oranges), manufacturing (clothing, textiles, footwear, machinery), construction, tourism, and service sectors.
- Import/Export partners: Germany, France, China, the Netherlands, Belgium, the US, the UK, Spain, and Switzerland are the key trading partners of Italy.
- Minimum wage: Italy has no minimum wage by law.
- 13,14th salaries: The 13th month’s salary is paid in December, and the 14th month’s salary is paid in July.
Employ your Selected Workforce in Italy via Acumen’s Employer of Record (EOR) Solution in Italy
Acumen’s Global employment services are designed to provide our clients with professional assistance to meet their global HR needs, such as:
- Global talent acquisition and retention
- Global expansion to help you quickly enter new global markets without legal and HR compliance risks.
- Local support for international clients and their ex-pat employees.
With Acumen International, you can quickly and efficiently onboard and compensate your employees without the risk of legal repercussions.
| Our Global PEO&Payroll | Client | |
|---|---|---|
| Employment risks mitigation |  |
 |
| Tax compliance & payroll processing | |
|
| Incorporation costs | |
no need for own entities |
| Effort | 90% | 10% |
| Coverage | 190 countries | 190 countries |
Businesses desiring to hire local employees should be prepared to pay competitive salaries to attract and retain the most qualified candidates. As a global employment organization, Acumen International serves both end employers and service companies representing international clients.
In Italy, acumen’s Employer of Record (EOR) service offers an efficient and inexpensive alternative to direct hiring. Our solution allows companies to operate in Italy and 190 international markets where we serve clients without registering as a local business entity.
Acumen International offers a global PEO and payroll solution to handle all payroll details while ensuring full compliance with in-country labor and taxation laws. For more information about Acumen’s Global PEO and payroll service in Italy, click here.
Legally Onboard and Payroll your Employees in Italy with Acumen’s Global Employment Solution
Reduce risks while expanding your business without establishing your legal entity in Italy. Leave it to Acumen to hire and compensate your employees on your behalf, so you can focus on growing your business.
Acumen’s EOR global employment solution helps businesses overcome legal challenges by hiring and compensating their local and ex-pat workforce in Italy on their behalf risk-free and cost-effectively.
Partner with Acumen International, and let us help you handle your global employment and HR needs. You can trust Acumen to handle your workforce management’s global employment and HR details in Italy to ensure full compliance with in-country employment laws and changing COVID-19 regulations.
In addition to legally onboarding local citizens, we can organize work permits and business visa sponsorship for your expatriate team via our Employer of Record and employ them on your behalf once legal permissions have been attained.
With Acumen, you can rest assured that all legal requirements are met for compliant hiring and compensating your local and expatriate employees in Italy and 190 countries worldwide where we serve our international clients.
