▶️ Everything You Need to Know Before Hiring Your First International Employee

Hiring globally used to be a luxury reserved for tech giants and multinational corporations. Today, it’s a serious growth lever, even for lean startups and mid-sized companies. Whether you're looking to tap into specialized talent or expand into new markets, global hiring is more accessible than ever. But it’s also more legally complex.

This guide breaks down the real-world considerations, legal implications, and modern solutions for hiring international employees, backed by insights from Stan Broom, Co-General Counsel at Omnipresent, one of the leading global Employer of Record (EOR) providers.

The Remote Work Boom Was Just the Beginning

After the pandemic normalized distributed teams, a new wave began: the globalization of teams. Companies realized that if employees could work remotely, they could just as easily work from another country, and be just as effective.

“There’s always been more ability than opportunity,” said Stan. “The ability to tap into that talent pool can be a game changer.”

Hiring internationally unlocks access to new markets, diverse perspectives, and highly specialized skills that may not exist locally. But with opportunity comes complexity. That’s where having the right model for hiring makes all the difference.

3 Ways to Hire Internationally (And the Risks of Each)

1. Set Up a Local Entity + Partner with a PEO

This is the most traditional approach. You form a legal business entity in the country where you want to hire, then use a Professional Employer Organization (PEO) to help with payroll, onboarding, and local compliance.

Pros: Control, local presence
Cons: High upfront cost (often £10,000–£50,000+), setup delays, complex filings, legal liability

This route only makes sense if you're hiring a large team (typically 10+ employees) in one country or planning long-term operations there.

2. Hire Contractors or Freelancers

Plenty of companies try to cut corners by classifying full-time international hires as “contractors.”

Don’t.

“Regulators are cracking down,” said Stan. “Misclassification is one of the easiest things for them to audit.”

In 2022:

• Uber paid $8.4 million in penalties for misclassification in California.
• Glovo was fined €79 million in Spain for the same issue.

When you treat a contractor like an employee, setting their schedule, providing tools, managing their work, you expose yourself to legal risk. And the penalties can include back taxes, fines, and even criminal charges in some jurisdictions.

3. Use an Employer of Record (EOR)

An EOR, like Omnipresent, acts as the legal employer for your international team members. You still manage them day to day, but the EOR handles the compliance, payroll, tax withholding, benefits, and contracts in the employee’s country.

Think of it as outsourcing the complexity, without outsourcing the relationship.

You focus on your business. The EOR handles everything that can get you in trouble if done wrong.

Why EORs Are the Go-To Choice for Smart Companies

If you're hiring just 1–10 people in a new country, an EOR is almost always the faster, safer, and more cost-effective route. Here’s why:

• No need to open a local entity (which can take 6+ months and cost tens of thousands)
• Built-in legal compliance in 160+ countries
• Payroll, benefits, taxes, and contracts handled
• Avoid permanent establishment risk
• Smooth onboarding and offboarding, guided by local experts

“Offboarding is just as critical as onboarding,” Stan emphasized. “If you mishandle a termination in a country like France or Mexico, regulators won’t be forgiving.”

And perhaps most importantly: EORs help you stay invisible to regulators, by staying compliant from day one.

The Employee Experience Still Matters (Even Internationally)

Some companies assume international workers expect less. That’s a mistake.

Global employees today care just as much, if not more, about:

• Benefits that match local norms
• Transparent pay and taxes
• Legal protection
• Clear communication from HR

“Employees know what they want. And if they don’t get it, they’ll find another job,” said Stan.

A quality EOR ensures your team members have a great experience from onboarding to offboarding, no matter where they live. It also helps when current employees want to relocate, say, your best salesperson wants to move from the UK to Portugal. With an EOR already operating there, that move can be almost seamless.

So... Is an EOR Right for You?

Use an EOR if you:

• Want to test new markets without permanent setup
• Are hiring a few team members in multiple countries
• Need to convert contractors to full-time employees
• Are relocating current team members across borders
• Want to de-risk global employment and stay compliant

What to Look for in an EOR Partner

Not all EORs are created equal. Here’s what to ask before signing:

1. Do they combine automation with real human support?

Omnipresent uses technology to streamline hiring, but always pairs it with legal experts you can actually speak to.

2. Do they operate natively in the countries you need?

Avoid vendors with generic templates. You want local expertise, not a one-size-fits-all contract.

3. Do they help with offboarding, not just onboarding?

Layoffs, redundancies, and terminations are high-risk. Your EOR should make those processes legally sound.

4. Are their fees clear and predictable?

Hidden charges, currency conversion surprises, and “compliance premiums” are red flags.

5. Do they provide legal guidance (without claiming to be your law firm)?

Omnipresent doesn’t replace your legal counsel, but they offer deep country-specific knowledge you won’t get from a regular payroll provider.

Tools That Can Help

Omnipresent offers a few resources you might want to check out:

• [OmniAtlas]: a live database of local employment laws and compliance rules
• [OmniCalculator]: estimate hiring costs in any country
• Free consultation: speak with an employment expert before making your first international hire

Final Thought

Hiring globally opens doors. But doing it wrong closes them fast.

Whether you’re scaling a tech team across time zones, hiring that perfect candidate on another continent, or letting your best people live where they thrive, an EOR enables you to do it right, from the start.

Omnipresent has helped hundreds of companies expand across borders without the compliance headache. And in 2025, when the best talent might not live in your country, that kind of support isn't just nice to have, it’s essential.