One of the biggest headaches in business is finding the right people.
Sometimes, the talent you need isn’t in your backyard. The skills gap continues to worsen in 2024, and 25% of job skills have changed since 2015. Leaders are constantly worrying about getting employees with the right capability in the right position.
That’s where global hiring services providers come in.
What are global hiring services providers?
Global hiring services allow employers to acquire, employ, and manage talent in another country, broadening the talent pool.
Many providers offer a full slate of services, similar to recruitment process outsourcing companies, but what sets these organizations apart is their focus on employees on an international scale.
A global hiring services provider will help its clients not just locate and qualify talent but also hire them, provide benefits, onboard them, and pay them. This benefits organizations looking for talent, especially given the potential legal issues.
The legality of hiring overseas
One of the biggest draws of using a global hiring organization to hire employees is skipping the legal legwork that comes with setting up to hire in a new country while still having access to talent abroad. This is especially helpful when hiring for positions with high-demand skills or capabilities new to the market.
Users can also avoid the liability and risk that comes with employment, including insurance, taxes, benefits, and other provisions that are complicated enough in one company, let alone more. Global hiring services can also offer HR consulting, leadership training, assistance with immigration, and a host of other necessities to keep a business running smoothly.
Tip: The three main legal arrangements that allow people to hire employees abroad are employer of record (EOR), professional employer organization (PEO), and agent of record (AOR).
The Global Hiring Services category has three attributes that help buyers compare services. These attributes refer to various legal arrangements that companies use to hire in other countries legally.
- Employer of record: An EOR operates as a de facto employer and takes on all the liability and risk. Technically, they hire, fire, and provide benefits for the employees.
- Professional employer organization: A PEO acts as a co-employer. These are especially common for companies looking to hire in America. PEOs are actually illegal in multiple countries in the EU and elsewhere.
- Agent of record: An AOR is used to hire contract workers in other countries rather than employing them full-time.
Who uses global hiring services on G2?
While we don’t have a one-to-one, we can look at the PEO Providers category.
As seen in the image above, small businesses and mid-market companies make up the majority of reviews in G2's PEO Providers category. Thus, we can expect more of the same for the new Global Hiring Services category.
Is a global hiring service or global hiring software best for me?
Giving general advice on the best way to approach international hiring is difficult since there are multiple options. For a software-centric solution, G2 already offers global employment platforms, employer of record software, and PEO providers. Many offer additional consulting services as well and allow users to hire and onboard within a platform. Many users find this ease of use compelling.
However, these categories are centered around a solution's functionality. Service-oriented organizations are compelling for a multitude of reasons. Some organizations may prefer a more hands-on approach to services, especially in an industry that’s difficult to staff, often complicated, or has unique needs.
Considering all these options, having a firm price point, asking many questions, and conducting demos are good starting points to ensure you find the correct solution for your organization.
Global hiring services are here to stay
As new areas conceive a multitude of in-demand skills, finding the right person is no longer gated by country borders. Global hiring services offer a way to bring people from many places under one company and create a culture of innovation and improvement.
With G2’s new Global Hiring Services category, users can compare many legal arrangements—EOR, PEO, and AOR—to find a solution that works best for them.
Keep an eye on G2 as these services grow. They’re not going anywhere, and the space is moving fast.
Explore how G2’s new hiring categories are shaping the future of global recruitment!
Edited by Jigmee Bhutia