- Overview: United Kingdom (UK)
- Global HR Compliance
- Global PEO and Payroll
- UK Work Visas, Work Permits, Immigration
- Contractor vs Employee: Which Is Better?
- Expand into the UK without a Company Set Up
Employer of Record (EOR) in the UK
Global Employment Solutions: How Can Help You Expand to the UK
As the global employer of record, our experience and expertise can help you get started quickly and compliantly in the UK. Businesses expanding globally often face challenges when compliantly employing a workforce in foreign countries. In most cases, legal compliance requires establishing a legal in-country business entity, a complex, costly, and time-consuming process that many employers are not ready to undertake.
With our help, you’ll be able to confidently tap into the profitable economic opportunities available in the United Kingdom while maintaining a high level of legal and HR compliance.
To help your organization legally onboard and payroll a workforce in the United Kingdom, 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 the UK to conduct business there.
What Is a Global Employer of Record?
An organisation that allows employers to hire employees in other countries is the Global Employer of Record (GEOR). The global Employer of record service provider handles all aspects of the foreign employment process, from ensuring compliance with local labour laws to managing payroll and benefits and providing HR support.
As a business expands into new international markets, it may need to hire employees in countries without a physical presence. An EOR, or global employer of record, is a cost-effective and compliance-risk-free way to add employees in new markets without establishing an entity in a foreign country.
How Does a Global Employer of Record Work?
If you’re looking to do business in a foreign country, it’s essential to ensure you comply with local payroll laws. This is where an Employer of Record (EOR) can help. An Employer of Record (EOR) can act on your behalf to manage local employee-related matters such as payroll, tax deductions, and onboarding of new hires.
An EOR can provide a registered entity for running a local, compliant payroll, managing payroll taxes, benefits, compensations, deductions, social insurance, and employee information. An Employer of Record can guide you on the host country’s required notice periods, termination rules, and severance pays, saving thousands of dollars in lawsuits while freeing up HR from repetitive tasks.
With a global EOR partner, you can ensure that your business operates smoothly and legally in your new country of choice.
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 |
When You Should Use an Employer of Record
Organizations looking to expand internationally often face many challenges. One of the biggest challenges is finding a way to do so quickly and efficiently without sacrificing quality. In that case, a global EOR provider can be beneficial. A global Employer of Record provider specialises in helping organisations with their international expansion efforts. They have the knowledge and expertise to help your business grow quickly and effectively. Here are some common situations where international employers can turn to an EOR provider for assistance in the UK.
1. Using Global EORs to Explore and Evaluate International Markets
EORs are a great way to test the readiness of an international market for your products or services. Hiring workers in target countries allow you to get a feel for the market without committing time and resources to set up a local entity. This is a great way to gauge interest and potential demand before making a significant investment.
2. Avoid Independent Contractor Non-compliance and Misclassification Issues
If you plan to grow your business by hiring international contractors, you could be at risk of violating employment and tax laws. An EOR can enhance compliance by hiring contractors on your behalf and following all local in-country labour requirements.
3. Quickly Enter New Markets without Overseas Entity Set-Up with Global Employer of Record
Organizations looking to expand their business into new markets may find that establishing a new entity is the best course of action. However, setting up a new entity can be lengthy and complex. With an EOR (Employer of Record), businesses can have workers operational in the new country within weeks while your organization sets up the new entity in parallel.
4. A Global EOR Can Support Your M&A Processes
When an organisation acquires a workforce in a new country, the contracted workforce will often be expected to operate in a different jurisdiction with different local laws and tax and compliance regulations. In the business world, where time and cost are critical factors, having a reliable and experienced EOR partner is essential to facilitate and expedite your business acquisitions.
11 Benefits of Using a Global Employer of Record (EOR) in the UK
1. Flexibility and Instant Access to International Talent Pool
If you want to expand your business quickly and efficiently, hiring full-time employees in any location is the way to go. With a trusted and experienced Employer of Record, you can do this without setting up a local entity or worrying about worker misclassification. This is a faster and risk-free way to build a pool of top international talent.
2. Speed of Global Hiring with a Global Employer of Record
Traditional hiring methods can’t keep up with the pace of today’s business world. That’s why more and more companies are turning to the Global Employer of Record (GEO) services that allow them to scale quickly and put international workers in place anywhere in the world in a fraction of the time it takes using traditional methods.
3. In-country HR Compliance Expertise across 190 Countries
There’s no need to navigate the complex world of local labour law, employer taxes, HR compliance regulations, and payroll processing details. Let a global EOR (Employer of Record) handle everything for you.
4. Reduced Cost – No Need to Establish a Local Entity
If you want to hire an international team but don’t want to deal with the hassle and expense of setting up a local entity? Look no further! Acumen International Employer of Record can help you avoid costly registration and incorporation fees in every country where you hire new employees.
5. Consistency of Operations & Effective Cost Management
There is no one-size-fits-all regarding how local companies charge for their services. However, by consolidating your relationship with one global EOR solutions provider, you can achieve consistency in pricing. Acumen International’s Employer of Record solution offers a single, transparent, and easy-to-understand pricing model that can be applied to managing all your global employees. This way, you can avoid the hassle of working with multiple providers with different charging structures.
6. Employer of Record – Your Single Point of Contact
A single global EOR can make your global hiring experience much smoother and more efficient. You will have a dedicated account manager who knows your business and needs, which makes communication across multiple countries, different languages, and time zones much simpler and more manageable, saving your company time and money in the long run.
7. Instant Global Employment Cost Prediction
As your company grows and expands its operations globally, it becomes increasingly important to have a global employment cost prediction that can give you visibility into your worldwide workforce expenses. Global Payroll Calculator can do that by providing you with predictive analytics on global employment costs and employer and employee tax analysis capabilities. This allows you to budget more effectively for your expansion plans and manage your international workforce. Having global employment costs at your fingertips helps you stay ahead of the competition and maintain a healthy bottom line.
The Global Payroll Calculator leverages unique up-to-date data collected by Acumen’s in-house expert team research of over 1500 official government sources and validated with local lawyers, compliance experts, and accountants.
Global Payroll Calculator helps companies minimize labour costs while providing up-to-date information on hiring, compensation, and tax requirements across 190 countries. The Global Payroll Calculator is also ideal for rapid global employment as it accurately estimates an organization’s international intake, accounting for relevant factors such as salary levels, taxation rules, hiring requirements, and other legal standards across multiple jurisdictions.
8. Legal and HR Compliance Assurance
An Employer of Record (EOR) provides payroll and benefits services to your selected employees in foreign jurisdictions. An EOR assumes all compliance responsibility and significantly mitigates your company’s risk of compliance issues and penalties. An Employer of Record can be a valuable service for companies who want to avoid the risk of non-compliance with various laws and regulations when going global.
9. Immigration Support
Applying for a business visa or work permit for your foreign employees may not be as simple as you think. Finding an experienced Employer of Record who can navigate the visa and work permit challenges and understands immigration laws is critical for ensuring your business remains compliant in each country.
The UK offers exciting opportunities for businesses looking to expand their operations. At Acumen International, we understand that hiring a foreign workforce and relocating employees can be stressful and time-consuming for employers with convoluted immigration rules. That’s why we have a dedicated team of professionals who will guide you through every step of the immigration or relocation process, from visa and work permit sponsorship to compliant onboarding of your employees or managing contractors.
Fortunately, our pre-existing employment companies in the UK are well-equipped to take care of all the necessary paperwork and get your business up and running quickly.
We also offer 100% compliance with all local requirements, so you can rest assured that your employees will be able to transition smoothly into their new roles. Our experience and in-country expertise will ensure that the entire process is as stress-free as possible for you and your employees, acting as an extension of your in-house HR team.
11. Employment Risks and Liabilities Covered
As a leading provider of global Employer of Record (EOR) services, we offer a competitive advantage with our risk-free engagement. Acumen Global EOR services are incredibly affordable and protect employers and employees from compliance exposure throughout the employment lifecycle. We assume 100% of the risk instead of transferring it to third parties. Our competitors might charge less, but they don’t offer the same level of protection. We take on 100% of the liability for service delivery, regardless of any third-party involvement, and provide a higher standard of service than any other company. Our in-country expertise is unrivaled, and we are dedicated to providing the best possible experience for our clients.
Acumen International Complete Global EOR Solution
Acumen International is a leading provider of global HR services, offering secure and efficient solutions for businesses that need to manage international payroll, HR & benefits administration. Our full-service management solutions are tailored to each client’s needs and can include everything from legal talent employment to benefits management and compliance to payroll and taxation.
- Processing Immigration requirements
- Visa applications & extensions
- Work permit sponsorships
- Streamline onboarding, benefits, payroll, PTO
- Local labour law compliance
- Audit-proof compliance requirements
- Employee benefits management
- Handling employment contracts, terminations, and compensation
- Processing medical insurances and benefits
- Payroll, including year-end tax statements
- Relocation services & housing
- Benefit management
- Special needs or requirements
- Multi-country employment without limitations
- Handling contract workers and ex-pat workforce management
- Compliant employment or termination within 72 hours.
The United Kingdom: Country Overview
The United Kingdom encompasses the countries of England, Scotland, Wales, and Northern Ireland. The island nation is situated in northwestern Europe. Recently part of the European Union (EU), UK citizens voted in 2020 to withdraw from the EU and reclaim national sovereignty.
- Capital: London, England
- Population: About 68 million
- Labor Force: 34,738,347
- Ease of Doing Business: The World Bank ranks the UK 8th among 190 nations for ease of doing business. The UK’s highly evolved Western culture, culturally diverse population and English as its primary spoken language play into the UK’s high ranking.
- Global marketplace position: The United Kingdom has the 6th largest economy in the world, based on the gross domestic product (GDP).
- Industries: Top industries in the UK are construction services, banking, automotive, and healthcare.
- Import/Export partners: The UK’s top trading partners are the USA, China, Germany, Netherlands, and France.
- Local currency: Despite its previous membership in the EU, the UK never adopted the Euro as its main currency, and the country’s local currency remains the British Pound Sterling (GBP). Workers are paid in GBP.
- Minimum wage: As of April 2021, the UK’s minimum wage for adults under age 23 was 8.72 GBP per hour, and the National Living Wage was 9.5 GBP or 10.85 GBP for people working in London. All workers over age 23 are entitled to the UK’s minimum National Living Wage.