Employee FAQs | Eos Global Expansion

Employee FAQs

What is GEO

A GEO ( Global Employment Organization ) is a company that employs human resources on behalf of its clients, acting as the “ Employer of Record ( EOR ), and manages their payroll, social insurance, and tax compliance. This term is often used interchangeably with PEO, but as the term PEO has certain unique meanings in the US market, some people prefer the term GEO for this solution.

What is EOR

EOR (Employer of Record ) refers to the employment of human resources on behalf of a client. Under this model, the EOR undertakes the role of employer and carries out the payroll, social insurance, and tax compliance services required. Typically day to day management of the staff remains with the client company. This term is often used interchangeably with PEO ( Professional Employment Organization) and GEO ( Global Employment Organization ).

What is the difference between PEO, EOR, GEO?

These terms essentially refer to the same service where employment of human resources is outsourced to a third party professional service provider. GEO stands for ‘Global Employment Organisation’ and EOR for ‘Employment of Record’. PEO can have certain other connotations unique to the US market.

Whose employee am I?

From a legal and bureaucratic perspective ( such as when you are enrolled in social insurance or applying for a visa, mortgage, etc ), you are the employee of the PEO service provider ( Eos ). However, in most day to day activities, you will act under the direction of, and perform your work like an employee of the client company. Most employees under an EOR carry the business card of their original employer and present themselves to clients, social media, etc under their brand.

Am I secure?

Being employed under a PEO does not diminish your security, rights, or protections as an employee. Eos has employed hundreds of satisfied individuals for multinationals across the region and you will have the benefit of being hired by a well established, experienced company staffed with expert professionals – this can offer more security than a newly established entity by a company entering the market for the first time.

How do I know my tax and social security is being paid?

As your Employer of Record, we are not only professionals in the provision of such services, but are legally liable for your compliance, and would be risking our business if we failed to maintain your payments as required. You will also be able to receive any government receipts available in the relevant jurisdiction.

Why do employers use this service?

This may be a temporary arrangement until the local entity establishment is complete, or whilst the company investigates the opportunities of the local market and business develops to the stage where further investment is warranted. In some cases, client budgetary management makes it more expedient to maintain headcount at a lower level, and PEO salaries can be booked as the provision of services.

Why Eos?

Eos is a leading provider of outsourced employment services. We can support clients in 160+ countries across the region with services provided by professionals with decades of local expertise.

Why do I need a local employer?

If your new employer does not yet have a local company in the country you will be working in, they need to use an outsourced employment solution. Why? If a foreign company hires you directly without setting up a local company or takes you on as an independent contractor, they can make their company liable to compliance issues and PE ( Permanent Entity ) risk, under which the local authorities may judge that by hiring you they have effectively created a local branch, and are subject to audit and tax liabilities.

Eos enables you to be compliantly employed, professionally supported, and legally protected. We make sure your salary is paid on time, correctly and compliantly.

If you are a foreign national in the country of your employment, not only might you require a local employer for visa purposes, but your company may have difficulty obtaining your visa if they are a newly established entity – Eos has the longstanding credibility and experience to ensure smooth processing of the immigration and work status approval processes.

If you are a foreign national in the country of your employment, not only might you require a local employer for visa purposes, but your company may have difficulty obtaining your visa if they are a newly established entity – Eos has the longstanding credibility and experience to ensure smooth processing of the immigration and work status approval processes.

Is PEO/GEO/EOR a Compliant solution?

Don’t worry – Over 7 million people are currently employed under this model worldwide. We make sure that you are correctly registered in whatever tax and social security systems are required locally, and manage the necessary calculations and payments to maintain compliance. Some countries have specific regulations around this type of employment which require careful structuring, however. Our team discusses this in detail with clients before you are onboarded.

How does it look on my resume?

Most employees under the PEO model prefer to list the ultimate employer, rather than the employer of record entity on their resume. You are welcome to list Eos Global Expansion if this is preferable.

Will Eos always be my employer?

As our client’s business evolves, it is possible that they will establish their own local entity. In this case, we are happy to help transfer you to the new company, and we may provide ongoing payroll support as service providers to the subsidiary, or end our relationship at that point, at the client’s discretion.

What business card should I use?

Generally, you would use the business card of your original employer. Although it is a compliant solution, most companies do not choose to divulge the use of the EOR/PEO solution for branding purposes.

What are my contract terms?

Your employment contract will be a standard locally compliant contract customized to offer you the specific terms and conditions you have agreed with your company. Salary, bonuses, vacation allowances, etc over and above the legally required minimum will be at their discretion.