Contract options for international staff

Hi , I have joined an international organisation and we have staff from all over the world with only UK , Germany and Denmark as Payroll entities/ local offices.

However all other staff from Argentina, Australia, Canada, Chile, Croatia, Egypt, Greece, Hong Kong, Israel, Italy, Kenya, Lebanon, New Zealand, Portugal, Spain, United States etc. are employed on a consultancy contract and we want to change this.

Current options are the use of Employer of records or setting up the payroll/local offices or maintaining the old system. We want to improve this and I would like your thoughts or experiences on the three options and if you have any suggestions of what could work?

  • What is the strategic driver behind changing this - ie what's the prize? As that may well drive the options and how much you are willing to pay
  • In reply to Keith:

    Hello Keith , it is mainly Unhappy staff- discontent of fixed term contracts and our org challenges with retention.
  • This is a pretty big undertaking, and very expensive. You've listed 16 countries there but then added 'etc...' so perhaps more. But let's assume 16 then:

    - 16 separate Payroll Bureau costs
    - Employment Contracts reflecting the country's employment law in 16 different jurisdictions
    - Employment practices (pre-employment checks, disciplinary procedures and so on) wrapped up in a staff handbook.
    - Typical benefits expected of an employee in those countries

    Or much of that wrapped up in Employer of Records, very expensive, arrangements.

    How many people in each of those countries?

    I think the option of continuing with Contract for Services arrangements would be favourite for me (and that's exactly what I do if we do not have entities and staffed offices in our overseas markets).