Frequently Asked Questions About International PEO

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Here you’ll find the answers to some of the most frequently asked questions on international PEO.

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Frequently Asked Questions

How do we hire an employee in a country where our company does not have entity?

With our international PEO service, GoGlobal will be the “Employer of Record” for your employee. This means we will employ and on-board your talent on your behalf under our respective local legal entities. You do not need to establish a local entity.

Do we need to set up bank accounts in the country we want to employ?

No. GoGlobal manages foreign payments in the local currency. However, in most countries, employees will need an in-country bank account to receive funds in the local currency.

How do we know the mandated benefits of each country?

As the employer of record, GoGlobal ensures all statutory benefits are provided to employees. We also provide you insights into what is customary in each country.

Can we hire an employee as an independent contractor?

Basically, yes. Each country has its own regulations regarding the classification of independent contractors. GoGlobal will ensure that your independent contractors are classified correctly, so you won’t find yourself facing a lawsuit if things don’t go well between you and the contractors.

How do we pay our employees compliantly?

GoGlobal will be responsible for managing payroll and ensuring that employees, social security office, and local tax authorities are paid on time and compliantly. All you need to do is adhere to the agreed payroll calendar, and GoGlobal will take care of the rest.

What type of employment contract should be used?

The type of contract depends on the nature of the work that you want to engage the employees and what is considered legally acceptable in a specific country. This could mean a short-term project-based contract or a long-term contract. GoGlobal will work closely with you to understand your needs and offer you the most appropriate solution.

How can we help the PEO employees feel they are part of the company?

We meet and develop relationships with the employees so they understand they are under your care and ours. GoGlobal supports the employees while you provide the strategic direction necessary to make them feel they are part of your business.

How do we compliantly terminate an employee?

Termination can be exceedingly difficult since most countries places a high level of protection on employees. Understanding the termination law of each country, GoGlobal will work closely with you to advise on the best legal course of action in order to achieve a desired outcome.

Do you provide recruiting services for international talents?

We can refer you to qualified recruiters. You will then work directly with them. Fees for this service will be outside the scope of our normal PEO service.

What accounting responsibilities do we need to consider?

Your main responsibility is to ensure that payrolls are funded by the due dates so employees are paid on time. GoGlobal will provide a country-specific payroll calendar and manage all payroll-related tasks, allowing your accounting team to focus on other responsibilities.

What are social costs?

Social costs are what we refer to as statutory costs of employment. They contribute towards state provided health care, social security, pension, etc. As each country is unique when it comes to social costs, GoGlobal always stays updated to ensure that you are compliant.

Do you require a minimum number of employees for your international PEO service?

We do not require a minimum number of employees. It’s entirely up to you. Most of our clients start with one employee per country; some start with several across Asia.

Is there a fixed term or a minimum time limit we must commit to employing a worker?

There is no fixed term as each client’s needs are different. We have engaged workers for short periods for clients who only require a short-term solution while testing out a new market. Regardless of time limit, we are more than happy to serve you for as long as you need.

What is the maximum length of an employment contract?

This depends on your plan for the employee. GoGlobal will consult with you and establish the most appropriate relationship, which could either be a short-term contract or a full-time indefinite contract.

Do you provide PEO services for expatriates?

Yes, we can engage non-residents in all APAC countries we operate in. This can include immigration services, such as visa sponsorship or work permit applications.

How long does it take to on-board an employee?

For local employees, GoGlobal can on-board them in as little as two weeks. For employees who are not local residents, immigration requirements will make the process longer. We will work closely with you to provide a reasonable timeline and ensure that the timeline is met.

How can we protect the Intellectual Property (IP) produced by the employee?

Your IP can be protected by introducing clauses into the employee contracts. We tailor the contracts to meet your needs and ensure compliance with local legislation.

How do we manage the employee’s day-to-day responsibilities?

There’s no different to how you’d manage any other employee in your company. GoGlobal will manage the other aspects of the relationship, such as statutory requirements and payroll.

How are expenses managed?

GoGlobal will help you reimburse you employees’ expenses. Simply inform us of the amount, and we will include it in our payroll run.

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