It’s exciting to think about expanding your business abroad, but it can be hard to figure out how to follow the complicated rules of foreign labour law. This is especially true in the Philippines, where job laws are very strict and need to be followed to the letter. Businesses can use the skills of a Philippine EOR (Employer of Record) to make sure they follow the law and lower their legal risks.
This is what a Philippine EOR is.
There is a Philippine EOR, which is a third-party company that legally hires your workers in the Philippines. In other words, they take care of all HR legal issues, such as:
Payroll and Tax Administration: Figuring out and handling payroll, withholding and sending taxes, and making sure that workers are paying their fair share of taxes and benefits.
Contract Negotiation and Management: Writing up job contracts that are legal, follow Philippine labour laws, and protect both the employer and the worker.
Onboarding and Offboarding: Managing the whole span of an employee, from hiring new people to firing them in a way that follows the law.
Compliance with Labour Laws: Making sure your business follows the rules about working hours, leave rights, minimum wage, and more by staying up to date on all changes to Philippine labour laws.
Resolution of Disputes: Serving as a go-between for a boss and an employee in case of a disagreement, making sure that the resolution is fair and legal.
Why working with a Philippine EOR for compliance is a good idea
Businesses can get a lot of benefits from using a Philippine EOR, including:
Reduced Legal Risk: The huge drop in the chance of legal problems is probably the biggest benefit. A Philippine EOR knows all about the local labour laws and makes sure that your business stays in line with them. This keeps you from getting fined, penalised, or having your image hurt.
Focus on Core Business Activities: Hiring someone else to handle your HR tasks frees up your time and resources so you can focus on your core business activities and strategic goals in the Philippines.
More quickly and easily grow: Creating a legal company in a different country can take a long time and cost a lot of money. This isn’t necessary with a Philippine EOR because you can set up your business and hire people quickly and easily.
Access to Local Expertise: Philippine EOR providers know a lot about the local business environment, the country’s culture, and the best ways to hire and manage workers there.
Cost Savings: Using a Philippine EOR does cost money, but it may be cheaper than setting up your own business or hiring an HR team in the Philippines, especially for short-term projects or teams with fewer people.
Picking Out the Right Philippine EOR Partner
To get the most out of this service, it’s important to choose the right Philippine EOR. When making your choice, think about the following things:
Skills and Experience: Look for a service company that has a history of getting through the complicated Philippine labour laws.
Knowledge of the Industry: The Philippine EOR you choose should ideally have worked with companies in your industry before.
Technology and Infrastructure: Look at the HR tools and technology platforms they use to handle payroll, benefits, and other HR tasks.
Customer Service and Talking to People: It’s important to talk to people in a clear and helpful way. Make sure that the Philippine EOR you choose gives you dedicated help and keeps you up to date.
In conclusion
Before you go abroad with your business, you need to carefully think about the laws that apply in other countries. Partnering with a Philippine EOR gives you a strategic edge in the Philippines by making sure you follow local labour laws, lowering your legal risks, and streamlining your HR processes. This gives your company peace of mind so it can focus on growth and success in the fast-paced Philippine market.