3 Reasons Why This Leading Tech Company Uses An Employer Of Record to HR Hub
Submitted by ClickDimensions
You have made your decision: you want to expand internationally to bring in new customers and more revenue. But first, you’ll have to answer some critical questions. Which country is the best starting point? And once you’ve chosen one, what is the best way to land there?
ClickDimensions, a marketing automation software company, tried two ways to jump into new territories: establishing a local entity and using a global Employer of Record.
Elizabeth Palmisano, Manager of Talent Acquisition and Human Resources experienced firsthand the differences between these two options. She recommends using Globalization Partners for three distinct reasons:
1. You Access Vital Know-How
No international expansion can be done without up-to-date information about the countries you want to expand to. But soon, you’ll find out that your decision is not only about the economic growth or the potential number of consumers: you will need to research labor laws, tax policies, employee benefits, and more.
“As an HR professional or hiring manager, your time is so much better spent executing than researching,” says Elizabeth Palmisano, Manager, Talent Acquisition and Human Resources at ClickDimensions. “It’s not just a Google search and click away; these are interviews and conversations that you’re going to have to have. And, if you’re not thinking about the time it’s going to take to do the things and not just the cost, you’re going to find yourself in a sticky situation. The Employer of Record is the way to go.”
Globalization Partners has created a library of materials, such as the “Global Hiring Handbook,” and the worldwide GlobalPedia, so you can have all the information required to begin your global expansion. But as Ms. Palmisano pointed out – guides and manuals will not always be enough. Having someone on your side the entire way through makes an impact. “[Globalization Partners] has people on staff that are just experts in every location. The response is quick and timely. Someone is always there to respond to me and give me a nuance or help me understand the social norms where we’re opening.”
2. You Can Move Quickly
Once you’ve selected one (or several) countries to expand, the work is just beginning if you attempt to manage it all in-house. You must find a reliable payroll company, accountants, lawyers, and HR advisors – all on your own. How can you do that, especially if no one in your company is connected in the region, and you’re not experienced in local laws and regulations? More importantly, how long will it take?
ClickDimensions found that going the entity setup route significantly delayed their progress. “It took us months before we were able to hire a person,” says Ms. Palmisano. “Navigating hiring manager expectations, finance expectations, leadership expectations, and the goals for the company and the timeline…it just became almost impossible for us to move forward without the right kind of help.”
That’s where Globalization Partners came in: “I can pick up the phone and call [Globalization Partners] today and say I’m going to hire somebody in Portugal. And within 24 hours, I’m ready to move forward with this candidate.”
3. You Create A Positive International Employee Experience
The EOR should help you choose the right country and hire people there quickly. But what happens after the employment contract is signed? A lot, according to Ms. Palmisano.
“We had two new team members in Australia about two weeks ago. And they both said that everyone that they talked to was super helpful. From the moment they received their contracts through their onboarding, there was always someone available to them in the region, which was important.”
An Employer of Record will serve not only as your company’s HR and legal infrastructure but as an extension of your team. There should be little difference between the onboarding experience of your international professionals, and this is a priority for Globalization Partners.
“Every single human being that I have come in contact with at Globalization partners has been sparkling, professional, kind, knowledgeable, and dedicated, not just to me, but to our employees as well.”
Ms. Palmisano trusts Globalization Partners to support the relationship with international employees. “I know you can’t put a price tag on your employees’ happiness. In these types of situations where you’re not right in front of them, and you don’t have that one-on-one rapport with them, having a company that’s able to create that rapport is crucial. And you guys do that.”