Australia Employer of Record(EOR)
Hire, pay and manage your emplyees without establishing a local company.
Outsource your Employment in Australia
Build your Australia team easily – No local entity needed. EOR handles everything: compliance, payroll, benefits, and recruitment.
EOR Australia offers comprehensive HR solutions in Australia. We’re a certified agency and will act as your legal employer, managing all HR aspects for your staff.
Launch in Australia Today. Leverage EOR Australia to explore the market, manage local partners, and build your Australia team – without an entity setup.
Cost-effective, adaptable, and secure. This approach minimizes risk and keeps costs low while offering the flexibility you need for success in Australia.
Employer of Record (EOR) Process
Sign Contract: The client signs a straightforward service agreement to begin working with EOR Australia.
Get Account Manager: A dedicated account manager is provided to the client for one-on-one support.
Collect Documents: EOR Australia requests essential documents from the client, like business licenses and employee personal data.
Understand Policies: The client learns about EOR Australia operational policies and gets access to the user-friendly online portal.
Prepare Onboarding Docs: EOR Australia creates and sets up important documents such as employment contracts, onboarding checklists, and compliance forms for the client’s review.
Configure Payroll: The client’s payroll information, including salary structures and tax details, are set up in EOR Australia system.
Onboard Employees: EOR Australia assists in welcoming and integrating the client’s first set of employees into the company.
Sign Authorization: New hires sign a letter to allow EOR Australia to manage their personal info.
Gather Info: EOR Australia collects the new employee’s basic details and work history.
Pay Notice Sent: EOR Australia informs the client about the first payroll amount due.
Client Pays: The client confirms and sends the payment for the new employee’s salary.
Contract Signed: Both EOR Australia and the new employee sign the work contract.
Info in System: The new hire’s data is entered into EOR Australia system.
Set Up Benefits: EOR Australia handles social insurance, housing fund, and bank account setup for the new employee.
Portal Access: New employees get access to the online portal to manage their HR tasks.
- Policy Updates: EOR Australia informs clients of any changes in government policies that may affect payroll or compliance.
- Compensation Adjustments: Clients notify EOR Australia of any changes in employee compensation, such as raises or bonuses.
- Payment Notice: EOR Australia sends a detailed payment notice to the client, outlining the payroll and benefit costs for the month.
- Client Payment: The client reviews and confirms the payment notice, then makes the payment to EOR Australia.
- Salary Distribution: EOR Australia ensures that employees receive their salaries on time.
- Benefits and Tax Payments: EOR Australia handles the payment of mandatory benefits and individual income tax on behalf of the employees.
Maintenance of Payroll Services: EOR Australia regularly updates the latest payroll and HR information, ensuring it is readily available and easily reviewable by clients and employees.
Work Calendar Confirmation: EOR Australia and the client mutually confirm the work calendar for the upcoming year.
Annual Salary Report: EOR Australia compiles and sends an annual salary report to the client, which includes details of both current and offboarded employees.
Report Verification: The client reviews and confirms the accuracy of the annual salary report provided by EOR Australia.
Government Submission: EOR Australia submits the updated annual salary report to the relevant government authorities as required.
New Policies Announcement: The government announces any new policies that may affect HR and payroll processing.
Policy Update Briefing: EOR Australia briefs the client on the updates and changes in government policies that were announced.
System Policy Update: EOR Australia updates its system to reflect and implement the new government policies.
Data Removal: Upon request, EOR Australia removes the data of offboarded employees from the system, ensuring privacy and compliance.
Reason Noted: Client explains why an employee is let go.
Plan Made: EOR Australia creates a termination plan.
Approve Plan: Client agrees to the exit strategy.
Paperwork Ready: EOR Australia completes exit forms for the employee.
Severance Set: EOR Australia calculates the severance amount.
Pay Severance: Client sends the severance funds.
Work Handed Over: The employee passes on their duties.
Severance Paid: EOR Australia delivers the severance to the employee.
Issue Cert: Employee receives a termination cert.
Benefits Managed: EOR Australia moves and stores benefits info.
Cases Closed: EOR Australia ensures all is settled.
Refund Given: EOR Australia returns any leftover deposit to the client.
Notice Sent: Client informs EOR Australia of their decision to end the service.
Handover Check: Client and EOR Australia agree on the handover of accounts, materials, and information.
Offboarding Plan: Both parties confirm a plan for offboarding employees, including resignations.
Final Payment: EOR Australia issues the last payment notice, including any historical balance owed.
Payment Made: Client confirms and pays the final invoice.
Employee Offboard: EOR Australia facilitates the offboarding of employees.
Transfer of Assets: EOR Australia hands over all accounts, materials, and information to the client.
Case Closure: EOR Australia ensures all open cases are resolved.
Deposit Refund: EOR Australia returns any remaining deposit balance to the client.
What is an Employer of Record (EOR)?
An Employer of Record (EOR) is basically a company that acts as your legal employer for remote staff you hire in another country.
EOR services might also be called manpower outsourcing, employment outsourcing, staffing, or PEO (Professional Employer Organization).
EOR Australia‘s EOR lets businesses hire Australia staff legally – they handle the legal side of things.
EOR Australia EOR Service
EOR Australia EOR service simplifies hiring in Australia. Also known as employment outsourcing or employee leasing, it allows EOR Australia to act as the legal employer for staff you identify in Australia. While EOR Australia handles the legal and administrative burden, you retain full control over managing these employees. This service offers a flexible solution, sharing employer responsibilities to ensure compliance and streamline your operations.
Is an EOR the same as PEO?
Every EOR is a PEO, yet the converse is not always true; not every PEO qualifies as an EOR.
An Employer of Record assumes the legal employer status on behalf of a client, outsourcing compliance to the service provider, who then becomes fully responsible for the employee. On the other hand, a Professional Employer Organization does not usually assume complete responsibility for the client’s employees.
EOR Australia serves as an Employer of Record for clients who lack legal entities in Australia, thereby handling their employment responsibilities and compliance. Conversely, for clients that possess legal entities within Australia, EOR Australia functions as a Professional Employer Organization.
The best EOR service provider in Australia
Why EOR Australia?
EOR Australia, with a track record of decades in the industry, stands as a reliable provider of Employer of Record (EOR) services within Australia. We provide an all-encompassing solution designed to streamline the hiring and employee management process, ensuring adherence to local legal and regulatory frameworks.
Eliminate Risk
Avoid allowing HR compliance challenges to threaten the prosperity of your business in Australia. Reach out to EOR Australia now to discover more about our Employer of Record service and receive guidance on how we can assist you in maneuvering through the intricate Australia, thus mitigating the risks of being placed on a blacklist.
Local Presence and Knowledge
A thorough comprehension of the local market trends, cultural subtleties, and customary business procedures.
Australia Payroll Service
All of our clients have access to our in-house payroll service for record keeping convenience.
Employer of record Cases
EOR as a Business Solution
Reimbursement for Outsourced Employees
Expense Claim Solutions at EOR Australia
Following a policy revision by the Australian government concerning expense claims for contracted workers, EOR Australia has assiduously crafted four tailored approaches. These are designed to ensure a smooth and efficient reimbursement experience for our Employer of Record (EOR) clients. Let’s explore these solutions in detail, examining their complexities and the possible effects they may have.
Solution #1: Global Reimbursement
Clients collaborate with our worldwide associate to handle the payment of reimbursements. Once a fresh service agreement is in place, EOR Australia manages the invoicing and collection process. The application for reimbursements is made efficient, focusing on transactions in US dollars and strictly applying a maximum limit of USD 5000 for each person on a monthly basis.
VAT Exemption
Customizable Reimbursement Arrangements
Solution #2: Integrated Reimbursement and Salary Structure
This approach merges expense reimbursements with routine payroll, offering clients the choice to handle the personal tax liabilities. Although this method reduces the service charges related to expense claims, it may result in employees facing increased Individual Income Tax (IIT) liabilities.
Fee-Free Option
Frequently Asked Questions
An EOR helps businesses hire employees in Australia without needing a local entity, while a PEO provides HR services like payroll and benefits management for businesses that already have a legal entity in Australia.
The hiring process in Australia can vary greatly depending on the complexity of the position, the industry, and the company’s specific hiring practices. However, a general timeline might include job advertisement (1-2 weeks), application review and shortlisting (1-2 weeks), interviews and assessments (1 week), reference checks and final selection (1 week), and the offer and onboarding process (1-2 weeks). So, it could take anywhere from 4 to 6 weeks or more to hire an employee in Australia.
Yes, a foreign company can hire employees in Australia without a local entity by partnering with an EOR. The EOR acts as the legal employer and takes care of all the local compliance, payroll, and employment matters on behalf of the foreign company. This allows the foreign company to hire and manage employees in Australia without the need to establish a local legal entity.
An EOR helps manage the payment of social security and taxes for employees in Australia by registering the company for Pay As You Go (PAYG) withholding for income tax and ensuring that the correct amount of tax is deducted from employee wages. The EOR also manages the payment of the Superannuation Guarantee, which is a compulsory retirement savings contribution that employers must make for their employees. The EOR ensures that these payments are made in compliance with Australian laws and regulations.
If an employee in Australia is injured at work, the employer is required to follow the country’s workers’ compensation laws, which provide for the payment of benefits to employees who suffer a work-related injury or illness. The employer should report the injury to the relevant authorities and to their workers’ compensation insurer. The employee may be entitled to receive medical treatment and compensation for lost income during the recovery period. The specific process and benefits can vary by state and territory, as workers’ compensation is regulated at the state level in Australia.
Under the National Employment Standards (NES) in Australia, full-time and part-time employees are entitled to a minimum of 4 weeks of paid annual leave per year. This is a baseline requirement, but modern awards or enterprise agreements may provide for more than this minimum entitlement. Some employees may receive between five to six weeks of paid annual leave based on their employment conditions. Employees accrue annual leave entitlements based on their ordinary hours of work.
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2 Bligh St, Sydney NSW 2000, Australia
Brisbane
Santos Place, Turbot St, Brisbane QLD, Australia
Melbourne
39 Martin Place, Melbourne VIC, Australia
Canberra
10 London Circuit, Canberra ACT 2601, Australia
Darwin
10 Darwin Boulevard, Darwin NT 0800, Australia
Perth
10 Perth Avenue, Perth WA 6000, Australia