Resources
Hiring abroad resources
A due-diligence checklist for EOR providers, a glossary of global employment terms, and a directory of the official sources our guides use.
Checklist
EOR provider due-diligence checklist
Ask every provider these questions before you compare quotes.
- 1. Does the provider employ through an entity it owns in the country, or through a partner? Ask for written confirmation.
- 2. What is the monthly fee on annual vs monthly billing, and is it fixed in USD or local currency?
- 3. How large is the security deposit, and when and how is it refunded?
- 4. What currency conversion margin is applied to invoices?
- 5. Which benefits are included, which are optional, and how are they priced?
- 6. How are termination costs (notice, statutory compensation, settlements) billed? Is there an offboarding fee?
- 7. Is there a fee or minimum term for transferring employees to your own entity later?
- 8. How are intellectual property and confidentiality assigned to your company in the local contract?
- 9. What data-protection terms (e.g. a GDPR data processing agreement) and security certifications are offered?
- 10. What are the payroll cut-off dates and the support response times?
Glossary
Global employment glossary
- Employer of Record (EOR)
- A company that legally employs a worker in a country on behalf of another business, handling contracts, payroll, taxes and statutory benefits.
- PEO (Professional Employer Organization)
- A co-employment arrangement, common in the US, where the client usually needs its own local entity. Often confused with EOR.
- Local entity
- A subsidiary or branch your company registers in a country, allowing it to employ staff directly.
- Permanent establishment (PE)
- A taxable presence of a foreign company in a country, typically triggered by a fixed place of business or by people habitually concluding contracts on its behalf.
- Misclassification
- Treating someone as an independent contractor when the relationship is legally employment, which can lead to back-dated contributions and penalties.
- Statutory employer costs
- Mandatory payments on top of gross salary, such as employer social security and workplace insurance.
- 13th / 14th month salary
- Additional mandatory salary payments in some countries (e.g. Portugal's holiday and Christmas allowances).
- Collective agreement
- A sector-level or company-level agreement between employers and unions that can set minimum pay and conditions above the statutory floor.
- Security deposit
- An upfront, usually refundable, amount an EOR holds to cover its liabilities, often one to two months of employment cost.
Sources
Official sources by country
Portugal
- 2Labour Code (Código do Trabalho), Law 7/2009, consolidated
Diário da República
Contracts, probation, working time, leave, allowances, telework and termination rules.
- 3Working conditions and occupational health & safety
Autoridade para as Condições do Trabalho (ACT)
The labour inspectorate: OHS obligations, employer duties and guidance.
- 4Income tax withholding (IRS) and allowance limits
Portal das Finanças (Autoridade Tributária e Aduaneira)
Withholding tables, monthly remuneration returns and tax-exempt allowance limits.
- 5Work compensation funds (FCT / FGCT)
Fundos de Compensação do Trabalho
Status and rates of the compensation funds linked to severance payments.
- 6Workplace accident insurance
Autoridade de Supervisão de Seguros e Fundos de Pensões (ASF)
Supervisor of the mandatory workplace accident insurance market.
- 7National minimum wage and employer services
ePortugal (Government services portal)
Official guidance on the guaranteed minimum monthly wage and hiring procedures.
- 8Empresa na Hora: on-the-spot company incorporation
Ministério da Justiça
Official service for incorporating an Lda, with current fees.
- 9Collective labour agreements (IRCT)
Direção-Geral do Emprego e das Relações de Trabalho (DGERT)
Search the collective agreements that may apply to a sector.
Spain
- 3Workers' Statute (Estatuto de los Trabajadores), consolidated text
Boletín Oficial del Estado (BOE)
Contracts, probation, working time, extra payments, leave, worker transfer (Art. 43) and dismissal.
- 4Real Decreto 126/2026: minimum wage (SMI) for 2026
Boletín Oficial del Estado (BOE)
Sets the 2026 minimum wage at €1,221 a month in 14 payments (€17,094 a year).
- 5Public employment service (contract registration)
Servicio Público de Empleo Estatal (SEPE)
Contract types and the registration of employment contracts.
- 6Income tax withholding (IRPF) for employers
Agencia Tributaria
Withholding calculation and employer tax filings.
- 7Collective agreements and labour regulations
Ministerio de Trabajo y Economía Social
Labour regulation updates and collective agreement information.
Germany
- 1Temporary Employment Act (Arbeitnehmerüberlassungsgesetz, AÜG)
Federal Ministry of Justice (gesetze-im-internet.de)
Licensing, the 18-month maximum assignment period and equal-pay rules for employee leasing.
- 2Employee leasing licence (Arbeitnehmerüberlassung)
Bundesagentur für Arbeit
The authority that issues and supervises AÜG licences.
- 3Contribution rates and ceilings (Rechengrößen) 2026
Deutsche Rentenversicherung
Pension contribution rate and the contribution ceilings for pension and unemployment insurance.
- 4Health and long-term care contributions
GKV-Spitzenverband
Health insurance general and average additional contribution rates, care insurance rates and employer levies.
- 5Statutory accident insurance
Deutsche Gesetzliche Unfallversicherung (DGUV)
Employer-funded accident insurance through the trade associations (Berufsgenossenschaften).
- 6Statutory minimum wage
Bundesministerium für Arbeit und Soziales (BMAS)
Current minimum wage and the adjustment schedule.
- 7Protection Against Dismissal Act (KSchG)
gesetze-im-internet.de
When dismissal must be socially justified.
- 8Civil Code (BGB) §§ 611a–630: employment contracts and notice
gesetze-im-internet.de
Statutory notice periods, including during probation.
- 9
- 10
- 11Continued Remuneration Act (EntgFG)
gesetze-im-internet.de
Employer-paid sick pay for up to six weeks.
- 12Evidence Act (Nachweisgesetz)
gesetze-im-internet.de
Written documentation of essential employment terms.
Netherlands
- 1Employee insurance premiums and employer levies (Handboek Loonheffingen)
Belastingdienst
Annual premium percentages (AWf, Aof, Whk, Zvw, Wko) and the maximum premium wage.
- 2Minimum wage amounts
Rijksoverheid (Government of the Netherlands)
Statutory hourly minimum wage, adjusted every January and July.
- 3Holiday allowance (vakantiegeld)
Rijksoverheid (Government of the Netherlands)
The statutory minimum 8% holiday allowance and leave entitlement.
- 4Pensions and sector pension funds
Rijksoverheid (Government of the Netherlands)
When pension participation is compulsory.
- 5Certificate for temporary employment agencies (Wtta)
Business.gov.nl
The new admission system for companies that supply workers, and its timeline.
- 6Sickness, reintegration and dismissal permits
UWV
Employer obligations during illness and the UWV dismissal procedure.
- 7Employing staff in the Netherlands
Business.gov.nl
Official guidance on working hours, leave, contracts and employer obligations.
- 8Dutch Civil Code, Book 7, Title 10 (employment contracts)
wetten.overheid.nl
Statutory rules on contracts, probation, notice periods and the chain rule.
United Kingdom
- 1Rates and thresholds for employers 2026 to 2027
HM Revenue & Customs (GOV.UK)
National Insurance rates and thresholds, pension and statutory payment rates.
- 2Automatic enrolment: employer duties
The Pensions Regulator
Auto-enrolment eligibility, qualifying earnings and minimum contributions.
- 3
- 4
- 5Employment contracts and written statements
GOV.UK
What must be in a written statement of employment particulars.
- 6
- 7
- 8
- 9
- 10
Ireland
- 1
- 2MyFutureFund: automatic enrolment
Department of Social Protection (gov.ie)
Eligibility, contribution rates and employer obligations.
- 3
- 4Employment rights and conditions
Citizens Information
Written terms, probation, sick pay, family leave and notice.
- 5Employment rights guidance
Workplace Relations Commission
Working time, annual leave, public holidays, dismissal and redundancy.
- 6
France
- 1Contribution rates and ceilings (taux et plafonds)
URSSAF
Employer contribution rates, the PASS and the RGDU relief.
- 2
- 3
- 4Employer obligations (service-public.fr)
Service-Public.fr
Probation, working time, leave, mutuelle and dismissal rules.
- 5
Poland
- 1Contribution rates and limits
Zakład Ubezpieczeń Społecznych (ZUS)
Employer contribution rates and the annual pension base limit.
- 2
- 3Minimum wage 2026
Gov.pl (Ministry of Family, Labour and Social Policy)
The minimum monthly wage and hourly rate.
- 4Labour Code (Kodeks pracy)
Internetowy System Aktów Prawnych (ISAP)
Contracts, working time, leave, notice and termination.
- 5Act on the Employment of Temporary Workers
Internetowy System Aktów Prawnych (ISAP)
Rules for temporary work agencies, including the 18-in-36-months limit.
Mexico
- 1Federal Labour Law (Ley Federal del Trabajo)
Cámara de Diputados
Contracts, working time, vacation, aguinaldo, PTU and termination.
- 2Registry of Specialised Services (REPSE)
Secretaría del Trabajo y Previsión Social (STPS)
Registration and search for specialised service providers.
- 3Employer contributions (cuotas obrero-patronales)
Instituto Mexicano del Seguro Social (IMSS)
Employer registration and contribution rules.
- 5Minimum wages 2026
Comisión Nacional de los Salarios Mínimos (CONASAMI)
General and northern border minimum wages.
Brazil
- 1Consolidação das Leis do Trabalho (CLT)
Presidência da República (planalto.gov.br)
Working time, vacation, probation, notice and employment rules.
- 2Social security contributions (contribuições previdenciárias)
Receita Federal
Employer INSS, RAT and third-party contribution rules.
- 3
- 4
Philippines
- 1Labor Code of the Philippines
Department of Labor and Employment (DOLE)
Working hours, leave, probation and termination rules.
- 2Department Order 174-17: contracting and subcontracting
Department of Labor and Employment (DOLE)
Rules on legitimate contracting and the prohibition of labour-only contracting.
- 3Presidential Decree No. 851: 13th-month pay
Official Gazette of the Philippines
The mandatory 13th-month pay requirement.
- 4Contribution schedule
Social Security System (SSS)
Employer and employee contribution rates and salary credits.
- 5
- 6
- 7Regional minimum wage rates
National Wages and Productivity Commission (NWPC)
Current daily minimum wages by region.
India
- 1Code on Wages, 2019
Ministry of Labour and Employment
The uniform definition of wages and minimum wage framework.
- 2Code on Social Security, 2020
Ministry of Labour and Employment
Provident fund, ESI, gratuity and maternity benefit.
- 3Industrial Relations Code, 2020
Ministry of Labour and Employment
Standing orders, retrenchment and dispute resolution.
- 4Occupational Safety, Health and Working Conditions Code, 2020
Ministry of Labour and Employment
Appointment letters, working hours and leave.
- 5Employer contributions
Employees' Provident Fund Organisation (EPFO)
EPF, EPS and EDLI contribution rates and wage ceiling.
- 6ESI contributions
Employees' State Insurance Corporation (ESIC)
ESI coverage threshold and contribution rates.