How to hire legally if the company does not have a presence in the country of residence of its virtual employees?

Since the pandemic, many organizations have begun to develop the benefits of remote work. If your company has started hiring virtual employees, it is not alone. According to Findstack  16% of the world’s companies currently work 100% remotely. 


One of the challenges that this has posed for organizations is having a legal framework for hiring their remote employees, especially since many of them are located in countries other than the place where the company is incorporated. 


When a company hires an employee abroad, it must take into account being up to date with all legal procedures in the country where the employee is located. Some of the factors to choose the country of origin of your virtual employees may be managing the same time zone, having qualified personnel in your interest area snd salaries that they manage in this country, among others. 


In particular, Latin America has become a destination of interest for companies located in the United States, because it stands out in the three aforementioned factors: with the same time zone as the American company, it offers qualified personnel with attractive salaries, which benefit the organization’s cost structures. 


If you have already selected Latin America as the destination to hire your virtual employees, the next step is to find the best method to hire and pay them according to local laws.  


Finding an ideal candidate is easier if you have the services of a local company, an expert in recruitment and selection who knows that market and offers you the best options. Likewise, to support you in managing payments and following local regulations. 



Ways to Manage the legal aspects and payments of virtual employees 


You must know that managing the payments of your virtual employees can be done by contracting as a freelancer or independent staff. However, this type of contract may have some drawbacks for the company related to the scope of the commitment between the parties, confidentiality, exclusivity, payment methods among others.  


A second way to manage the hiring of virtual employees in other countries is by establishing a local entity in the country where the virtual employees are located, which is not always feasible for small or medium-sized companies, which probably need few employees, and this can be very expensive. 


At BPO LATAM we can be this partner for your company. We take care of selection and recruiting processes to your projects the best available talent with the necessary set of skills for the required job. We have a database of high-performance bilingual Spanish-English candidates. Our Virtual Employees are based in Latin America and can work from home or, if necessary, they can work from our supervised offices and with all high-speed Internet services, to guarantee success in the assigned tasks. 


Our services included all the labor costs of the Virtual Employee in compliance with local labor laws (salary, benefits, payroll taxes, private health insurance and other direct costs). As the local legal employer of the AVE, BPO LATAM will be responsible for all labor related cost. 

With no startup costs and no long-term contracts required, we invite you to experience the benefits of having a dedicated Virtual Employee. Contact one of our advisors today 



Reporting by BPO LATAM News Team – Copyright © 2023. All rights reserved.
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