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Are you wondering if an Employer of Record is the magic solution you need for your international workforce? Let's journey together through this guide, where we'll help you figure out if an EOR is truly what your business needs. We'll delve into the upsides and challenges of utilizing an EOR, and provide tips on how to pinpoint the best global EOR partner, that aligns with your business objectives. Buckle up, and let's dive in!

Why should you use an Employer of Record?

An Employer of Record (EOR) is your genie in the bottle when it comes to global hiring! They are a global employment organization that steps into your shoes to legally hire, compensate, and oversee your international employees. Imagine entering new markets without the worry of navigating the maze of different tax requirements and HR tasks. That's what an EOR does.

They take the reins on international growth, manage risk, and guarantee compliance with local labor laws. Ever found a superstar candidate but could not hire them due to their location? An EOR solves this problem, enabling you to hire the best talent worldwide.

Data Deconstructed

  • According to Mercer's Global Talent Trends Study, 71% of companies are focusing on international expansion, making EOR services a critical part of their strategy.
  • According to an EY report, using an EOR can reduce the time to establish operations in a new country from 12–18 months to just 3–4 weeks.

When do you need an Employer of Record Services?

Say you've just discovered the perfect software developer for your next big project. There's a slight hitch though — they're based in the Philippines and you're not quite sure how to navigate the local labor laws, taxes, and employment nuances. That's where EOR services come to your rescue! By taking on the role of the legal employer, an EOR handles all the complexities, ensuring that you can focus on what you do best — growing your business!

Now, Ready to embark on your EOR selection journey? Start by posing some simple yet vital questions. Not only will these queries aid in discovering potential EORs, but they will also facilitate a cost-effective comparison to find the one that best fits your needs. Let's get the ball rolling!

Partner Evaluation and Services:

Does the EOR understand your target countries?

Indeed, understanding your target countries is a crucial first step. An EOR should possess a solid understanding of the local labor laws, tax legislation and customs within the countries you wish to expand to. So, ask yourself: Does the EOR have a strong presence in those countries? Do they have local legal experts on their team?

If they do, that's a good sign. After all, you want to avoid any legal landmines and cultural faux pas, right? Having an EOR that truly knows the lay of the land can help you dodge such pitfalls.

Does the EOR operate where you're hiring?

Geographical coverage is a non-negotiable when choosing your EOR partner. Why? Because to hire your dream team in multiple countries, you need an EOR company that operates in those very locations!

So, make sure your prospective EOR has an established local entity or at least a solid partnership in the countries where you want to expand. It's like setting up your chess pieces correctly before making a move—strategic and efficient. Remember, the right EOR should make your global expansion a breeze, not a maze!

Does the EOR offer additional workforce solutions?

When selecting an EOR, consider their additional services beyond payroll and compliance. Do they provide employee engagement solutions such as relocation assistance or learning and development programs? Also, do they offer other HR support like legal advice or IT solutions? These value-added services can be a huge plus for your business!

What's crucial in a reliable EOR?

When pinning down a trustworthy EOR, remember that their strength lies in their expertise, experience, and extensive service offering. You want an EOR that's well-versed in local labor laws, operates in your target countries, and offers more than just the bare bones.

Transparency and Support:

Is EOR pricing transparent?

A key factor when selecting an EOR is pricing transparency. It's like choosing a restaurant—you want to see the prices before you order, right? The same goes for your EOR. There should be no hidden costs or surprise charges. Look for the only EOR provider that provides clear, upfront pricing for its services.

After all, 53% of SMEs rely on EORs for managing their global workforce, so you need an EOR partner you can trust with your wad of cash!

How supportive is the EOR?

A good EOR is like a trusty sidekick - always there when you need them! So ask, how responsive are they? Do they provide 24/7 support? Remember, you're in different time zones, and you don't want to be left hanging for a response! You need an EOR that's on the ball, giving you peace of mind knowing that your international operations are in good hands. After all, we're talking about your business and your brand reputation on the global stage!

Will the EOR be responsive as a client?

Imagine having a partner who listens, understands, and acts promptly! It's like a relay race, where both you and your EOR are sprinting towards the same finish line - your business success! Surprisingly, only 35% of businesses have managed to find such a responsive EOR.

Track Record and Expertise:

Can the EOR prove success?

Just like in a job interview, you wouldn't hire someone without checking their references, right? The same goes for your EOR. Ask for their success stories, case studies, and client testimonials. 51% of businesses vouch for the effectiveness of an EOR based on their proven track record.

What are EOR agreement terms and termination?

Just like any business agreement, understanding the terms of your contract with an EOR is pivotal. What does their contract entail? What are their termination terms? Avoid falling into this trap! Ensure you're well-versed with the agreement terms—after all, it's all about securing a beneficial partnership for your global business ambitions, isn't it?

Employment Details:

Is legal employment ensured?

Ensuring legal employment is a must, and your chosen EOR should be able to confidently tick that box. We're talking about full compliance with local labor laws, proper employment contracts, statutory benefits and all the nitty-gritty paperwork neatly sorted.

Is EOR the direct employer?

Remember, your EOR should be the direct employer of your overseas workforce. They're the ones who handle all the legal, HR, and administrative aspects of employment, meaning you can focus on your core business.

How does the employment contract function?

Understanding the workings of an employment contract is critical. Who drafts it? Who signs it? The answer is your EOR. They're the ones who create and sign the contracts by local labor laws, ensuring everything is legit—no loopholes, no missteps.

What are EOR's employment models?

Does the EOR provide full-time or part-time employment? Do they pay employees or do they cater to independent contractors? Your business needs might vary and having an EOR that offers flexibility is a jackpot! An ideal EOR should accommodate your unique needs while ensuring compliance with local employment laws.

Data Management and Security:

How's payroll data managed?

When it comes to managing payroll data, an EOR should have a failproof system in place that ensures absolute accuracy and confidentiality. Ask how they handle and store sensitive payroll data. Do they use cloud-based platforms? How secure is their data management system from potential breaches?

How is data stored securely?

Ensuring that your sensitive data is stored securely is non-negotiable. You don't want your payroll data lying around, do you? So ask them straight up, how they secure data. Do they use encryption? Firewall protection, perhaps?

Any data sharing with third parties?

Sharing your data with third parties can feel a bit like handing over the keys to your house. It's critical to clarify whether your EOR shares any data, especially sensitive ones, with third parties. If they do, what measures do they take to ensure that this information is handled securely and responsibly?

Employer of Record Benefits:

What are the EOR Benefits?

Choosing the right EOR can be a game-changer for your whole global team and expansion plans! They bring a whole host of benefits to the table.

EOR for specific business needs?

You've got unique business needs, right? And that's why it's crucial to choose an EOR that aligns perfectly with them. Remember, it's not a one-size-fits-all game; we're talking about your global expansion dreams here! You need an EOR that offers tailored solutions—be it full-time, part-time, or gig workers—while ensuring 100% compliance with local laws and employment agreements.

EOR for safe international hires?

Choosing an EOR is much like choosing a safety net for your international hiring. It's all about having the right support when you're hiring internationally across borders. Think of it this way: Would you hire a babysitter without doing a background check? Of course not! It's the same with your EOR. They're your safeguard against any legal hiccups, ensuring your overseas hires are 100% legit. Remember, we're talking about your brand reputation and the future of your business here, so choose wisely!

EOR's role in legal compliance?

Remember, your EOR is like your legal eagle when it comes to local labor laws and compliance. They're the ones who've got their eyes on the nitty-gritty of it all—contracts, taxes, benefits, you name it. With a whopping 100% of businesses citing compliance as a top reason for using an EOR, it's clear that they're the experts at keeping you on the right side of the law. So, when you're considering how to choose an employer of record, make sure they've got a stellar track record in this area.

Localized benefit packages by EOR?

An EOR can provide you with a localized benefit package for your overseas employees that meets the local standards. With their expert knowledge, they can advise on the best course of action to ensure your workforce has access to benefits like health insurance and pension plans without breaking any labor laws. This is especially important if you're looking to make a good impression in international markets!

EOR's role in IP protection?

Your EOR also plays a crucial role in protecting your Intellectual Property (IP). When you hire overseas, you want to ensure your business secrets stay secret, right? That's where your EOR comes in. They'll have mechanisms in place to ensure your IP doesn't land in the wrong hands, safeguarding your business's most valuable assets. So when you're figuring out how to choose an employer of record, remember to ask them about their IP protection strategies!

What makes an employer of record different from a Staffing agency?

While an EOR and a staffing agency might seem like the same thing, they have different roles. An EOR handles both HR and administrative tasks for your overseas employees, and global payroll, while a staffing agency focuses on recruitment.

A staffing agency will typically process candidates and send them to you to make the hire—it's then up to you to handle the international employment aspect of things. An EOR, on the other hand, takes care of everything—they become the global employer and handle all aspects of employment from start to finish. While staffing agencies can be helpful in certain cases, if you're looking to hire overseas then an EOR is a must-have!

How is the Employer of Record different from than Professional Employer Organization?

While an EOR and a Professional Employer Organization (PEO) might look similar, there are several key differences. First off, an EOR is typically only used when hiring international employees, while a PEO can be used to manage and hire employees in both domestic and international markets.

An EOR also primarily focuses on the administrative aspects of employment—they're essentially your HR and payroll department when it comes to overseas hires—while a PEO typically specializes in managing the employee benefits side of things. Ultimately, both an EOR and PEO can be useful in their ways; the key is understanding which one can best meet your business's needs!

What's the difference between EOR, BPO and Staffing Agency?

Think of an EOR as your HR and payroll guru for your international hires - they've got you covered from A to Z. A BPO, on the other hand, is like outsourcing an entire business' hiring process - they're your go-to guys when you want to focus on the core functions of your business. And a Staffing Agency? They're the matchmakers of the job world, helping you find the perfect candidates for your team. But remember, they won't handle the nitty-gritty of employment like an EOR does. So, pick your player wisely!

What is the best employer of record in the Philippines?

When it comes to the best Employer of Record (EOR) in the Philippines, Remotify stands above the rest. With their deep understanding of local labor laws, extensive geographical coverage, and tailored services that align with various business needs, Remotify is an outstanding choice for businesses seeking efficient and reliable EOR services in the Philippines.

Not only do they provide comprehensive HR and administrative services, but they also ensure stringent data management and security, protecting your company's sensitive information. Additionally, Remotify offers localized benefit packages to employees, ensuring that your workforce is well taken care of. Therefore, if you're considering international expansion or hiring remote employees in the Philippines, Remotify is undoubtedly a top choice to consider.

As one of the leading outsourcing destinations globally for talented and skilled professionals, it is no wonder that a lot of offshore companies show their interest in the Philippines when looking to hire remote employees. For decades, many companies have set up satellite offices in the Philippines, or have engaged with outsourcing companies such as EORs or Employer of Record to help scale their team cost-effectively.

In our previous blog, we talked about the benefits of remote working and why you should consider completely transitioning your workplace into a digital one where applicable. But, in this blog, we will focus on how can you hire remote staff, why should you outsource in the Philippines, and what is the range of services that you could outsource in the Philippines.

How to Hire Remote Staff in the Philippines

Hiring remote staff in the Philippines is a straightforward process that can be accomplished using various effective methods. You can utilize an Employer of Record, a specialized firm that handles employment formalities on your behalf. Alternatively, you could establish your own legal entity in the Philippines. Another option is to pay workers as contractors. Lastly, you might consider a Business Process Outsourcing (BPO) company, which can provide a comprehensive workforce solution.

  1. Employer of Record (EOR): This is the simplest and quickest way. An EOR handles all legal, HR, and administrative tasks, freeing you from these burdens. With an EOR, you can start right away!
  2. Setting up a Legal Entity: This is more complex. You'll need to establish a business in the Philippines, which can be time-consuming and costly.
  3. Paying Workers as Contractors: Here, you hire workers directly. It's cheaper, but also brings more responsibilities.

Among these, EOR stands out as the best choice. It's hassle-free, fast, and keeps you compliant with local laws.

Why hire Filipino remote workers?

Why hire Filipino remote workers

Filipinos are well-known in the offshore industry and were even placed second in Tholons 2019 Globalization Index. Companies from the U.S., Canada, Australia, and others are looking for different ways to outsource in the Philippines for various services. But, why exactly do foreign companies invest in hiring Filipino remote workers?

Here are some of the benefits that foreign employers could get by outsourcing their remote staff in the Philippines:

These are just some of the reasons why companies choose Filipinos as part of their team. However, there are still other factors that push them to hire remote workers, such as the excellent work ethics of Filipinos and the strong support from the Philippine government to the outsourcing industry.

Top Services Remote Filipino workers offer

For years, the Philippines has been one of the biggest outsourcing hubs worldwide that provides high-quality services and skills for any business function. In 2019, the number of outsourced employees in the country was raised to 1.2 million and was set to double in the coming years. Whatever your company’s niche, there will always be Filipino remote workers who can accommodate your needs.

Here are some of the most outsourced services in the Philippines.

Industry: Developers

Everything that you see on a website, software, or app is designed and implemented by talented developers in the industry. For the past years, foreign companies have hired Filipino remote workers due to their skills, creativity, and effective communication with clients.

Here are some of the job titles in the developers’ industry:

If you need creative or technical content for your website, social media accounts, marketing projects, or academic materials, hiring content creators is a must. Aside from written content, they can also provide you with eye-catching videos, photos, and graphics that your business needs.

Industry: Content Creation

Here are some of the job titles in the content creation industry:

Industry: Marketing

All businesses need exemplary marketing strategies to make it at the top of the industry and it takes talented marketing professionals to do this. From the marketing plan to the execution of the strategy, Filpino marketing remote workers can help you with their “can do'' attitude at work.

Here are some of the job titles in the marketing industry:

Industry: Project Management

Project managers are in charge of overseeing how a project is done from start to finish. You can count on Filipino project managers to perform well from keeping track of schedules and deadlines to managing the budget of your projects.

Here are some of the job titles in the project management industry:

Industry: Customer Support (Voice & Non-Voice)

Filipino remote workers offer one of the most in-demand customer support services in the industry with their English language fluency, calm demeanor, and availability to work on flexible shifts.

Here are some of the job titles in the customer support industry:

Industry: Virtual Assistance

If you are overloaded with work and need someone to assist you with your day-to-day tasks, Filipino virtual assistants can help you. They can offer services from simple data entry to complicated administrative tasks.

Here are some of the job titles in the virtual assistance industry:

Industry: Accounting

To run your business efficiently, it is important to have a skilled accountant, bookkeeper, or financial analyst by your side. They can overview your financial operations and help improve your financial well-being.

Here are some of the job titles in the accounting industry:

These are just some of the top services that remote Filipino workers can offer. However, there are still tons of other job descriptions that they can cover for various business functions.

Compensation Rate When You Hire Remote Workers in the Philippines

When planning to outsource services, one of the things that employers should consider is the just compensation of their employees. The government sets minimum wages per region in the Philippines. However, they may still vary depending on the service, niche, position, and level of employee expertise.

To help you understand further, here is a table of Philippine labor costs per job title:

Average Salary in Philippines

This data set is from PayScale, Indeed, and Glassdoor showing the average salary of Filipino remote workers with 3-6 years experience. These may vary depending on the expertise and experience of a person. We used the conversion rate of Php 55.72 = USD 1.00.

Tax Computations in the Philippines

Payroll Taxes

In the Philippines, employers are subject to various payroll taxes under the country's labor laws. Compliance with these tax obligations is crucial to avoid legal issues and penalties. Let's explore the key payroll taxes that employers need to understand and calculate accurately.

Income Tax

Income tax is levied on the income earned by employees. In the Philippines, income tax rates are progressive, meaning that the tax rate increases as the income bracket rises. These deductions are then remitted to the Bureau of Internal Revenue (BIR) regularly. It ranges from 0% to 35%.

Social Security Contributions

Under the Social Security System (SSS), employers are required to contribute to the social security fund on behalf of their employees. The monthly contribution rate of the employee's monthly salary credit is divided into different components.

PhilHealth Contributions

PhilHealth is the national health insurance program in the Philippines. Employers are required to deduct the employee's share of PhilHealth contributions from their salary and contribute the employer's share as well. The amount of contribution depends on the employee's salary bracket and is based on the PhilHealth contribution table provided by the Philippine Health Insurance Corporation (PhilHealth).

Pag-IBIG Fund Contributions

The Home Development Mutual Fund, commonly known as Pag-IBIG Fund, provides affordable housing and short-term loans to its members. Employers are mandated to deduct the employee's share of Pag-IBIG contributions from their salary and contribute the employer's share as well. The contribution rate is based on the employee's monthly compensation and is subject to a certain maximum monthly salary. An amount of Php 100 is deducted, regardless of the employee’s salary.

To ensure accurate computation and timely remittance of payroll taxes, employers must keep updated with the latest tax rates, contribution tables, and deadlines provided by the respective government agencies. It is advisable to seek professional guidance or utilize payroll software that automates the tax calculations to minimize errors and ensure compliance with the Philippine labor laws.

For employers looking to hire remote workers in the Philippines, the best way to ensure compliance with local labor laws is to use an Employer of Record (EOR). An EOR acts as an intermediary between the employer and employee and takes on all legal obligations associated with hiring employees in a foreign country. This includes handling payroll tax payments, withholding taxes, social security contributions, and other legal requirements. An EOR can also assist with setting up a local bank account for employees and managing employee benefits such as health insurance. By using an Employer of Record, employers can save time and resources while ensuring compliance with Philippine labor laws.

Simplify outsourcing through an Employer of Record

If you are looking to hire Filipino remote workers, you still need to undergo specific employment processes and comply with labor requirements set by the Philippine government. Outsourcing companies like Remotify can help you simplify the process and start hiring remote employees in a matter of days.

Remotify is an employer of the record company that helps businesses outsource the best Filipino talents while leaving you with a lot of room for control over your operational processes and people management. We can help you with:

We aim to bridge the gap between Filipino remote workers and foreign employers by improving employee engagement and keeping transactions as transparent as possible. When you outsource your team through Remotify you have complete control over the salary and benefits that your employees would get unlike in BPO companies. This ensures that your employees are getting the right compensation they deserve.

Simplify your outsourcing and get started in a matter of days. To know more about how we can help your business, check out Our Services at Remotify.

FAQs

What taxes do I need to pay when hiring remote workers in the Philippines?

You will need to pay all the taxes mentioned in the paragraph above.

How can I ensure compliance with Philippine labor laws?

The best way to ensure compliance with local labor laws is to use an Employer of Record (EOR). An EOR acts as an intermediary between the employer and employee, taking on all legal obligations associated with hiring employees in the Philippines.

What other options do I have when it comes to paying remote workers?

Paying remote employees in the Philippines from another country can be done through methods like international bank transfers, online payment platforms (Wise, PayPal, Payoneer), digital wallets (GCash, PayMaya), or traditional remittance services (Western Union). Comply with legal and tax requirements in both countries and consider exchange rates for optimal transfers. However, this can be time-consuming and may require expertise in the local labor laws. Using an EOR is often the most efficient and cost-effective way to ensure compliance with Philippine labor laws.

Are Filipino remote workers entitled to receive 13th-month pay and other bonuses?

Yes, employees in the Philippines are entitled to receive 13th-month pay as well as other incentives such as holiday pay and vacation leave. Employers must comply with these requirements when hiring remote workers or risk facing legal consequences.

What benefits am I required by law to provide when hiring in the Philippines?

Employers in the Philippines are required to provide health insurance for all employees. In addition, employers must also comply with requirements regarding vacation leave and other benefits as prescribed by local labor laws. An EOR can assist employers in ensuring compliance with these regulations.

What are the local labor laws in the Philippines?

The labor laws in the Philippines protect workers' rights and ensure fair treatment. This means all employees, including remote ones, must be provided benefits and fair pay.

  1. Employment Contracts: Employees have the right to a contract covering names, job details, pay, benefits, and rules.
  2. Compensation: Consider minimum wage and 13th-month pay for fair compensation.
  3. Working Hours: Standard is 40 hours over 5 days, with overtime and rest day rules.
  4. Public Holidays: Employees can choose not to work or get double pay on holidays.
  5. Leave Entitlements: Includes vacation, sick, maternity, and paternity leaves, plus health insurance benefits and termination rules.

About Remotify

Remotify is your next-generation solution to growing your team remotely and cost-effectively in the Philippines.

Through our Employer of Record services, Remotify will employ and payroll your workers in the Philippines and do the heavy lifting for you. We will take care of local HR, compliance, attendance tracking, payroll, and reporting so you can focus on what is most important: growing your business.

This means you can quickly and securely hire employees in the Philippines, attracting top talents and keeping them engaged through the process. At the same time, you avoid the overhead of establishing your own entity.

From complex local tax and labor laws to in-country capital requirements and compliant HR management, payroll, and benefits disbursement, getting started in a new country to tap on its low cost and great talents can be a time-consuming endeavor. But with the right partner, it doesn’t have to be. Remotify is here to keep things simple for you.

Every day, there are thousands of start-up companies sprouting up worldwide but only a fraction of them are lucky enough to stay in their industry. Some lack a validated market demand, some do not have a competitive business model, and some are assembling the wrong team which all lead to a waste of time and money. But, one of the major obstacles start-ups face is having ineffective talent acquisition processes that may cause internal issues in the long run. So, what is outsourcing and how does it help companies?

While some say that outsourcing is only for large corporations and companies, that is actually incorrect. Acquiring employees with different expertise through outsourcing will be highly beneficial to a start-up business where everything is still at the establishing phase. However, it is important to understand how outsourcing solutions work to ensure your success.

What is outsourcing and why should you try it?

Even if you have the best idea and plan for your business, realizing it wouldn’t be possible without any help from your skilled employees. Launching a product is not only about utilizing and improving your offer, you should also have employees who are experts in marketing, branding, human resources, technology, and art to make your company successful.

However, if you don’t have enough budget and only rely on your personal savings to start your business, chances are you can only afford a few employees.

In this case, it is ideal to find outsourcing solutions across business areas and this is made possible with several organizations and online hiring websites available. According to Cogneesol, about 82% of companies that used outsourcing say that it improves their overall management. This proves the benefits that businesses can get by hiring outsourced employees.

 In addition, there are other benefits from implementing a remote work setup start-ups can get. Outsourcing can offer companies a larger pool of talents without geographical boundaries and may even help cut costs. If you are residing in the U.S. or Australia and you hire remote workers from Asia, you can save up to more than half of your usual local manpower costs while maintaining the same quality of services. 

Benefits of Outsourcing for Startups

Affordable Outsourcing for Startups

Outsourcing is a great way for startups to save costs while simultaneously free up time and resources. It can also provide access to more expertise than may otherwise be available in-house, allowing startups to scale their projects quickly and efficiently. Additionally, outsourcing gives startups the opportunity to tap into international talent pools with different skill sets, languages, cultures, and backgrounds that could be beneficial to their operations.

Outsourcing Cost Savings

Besides providing access to multiple talent pools, outsourcing can also help startups save money over the long run by allowing them to outsource services and tasks that would otherwise require additional in-house team members. This can be especially helpful for startups that are just getting off the ground and may not have the necessary funds.

A. Labor Costs

Startups can save on labor costs by outsourcing tasks or services to firms that often charge much less than in-house staff. This means startups don’t have to hire and pay for additional team members, saving them money in the long run.

B. Infrastructure Costs

By outsourcing, startups can also save money on infrastructure costs that would otherwise be necessary for in-house team members. This includes things like office space and equipment which can add up quickly. At Remotify, we do provide our clients with the option of purchasing equipment from us as well, but by outsourcing these services, startups can keep their overhead low and maximize profits. 

C. Other Cost Advantages of Outsourcing

Outsourcing can also provide access to economies of scale, meaning startups can tap into global resources and benefit from lower costs associated with bulk orders. Additionally, many outsourcing companies offer various payment plans that could be more beneficial for startups than full upfront payments.

What to outsource

Before you outsource your business functions, it is important to understand and carefully plan how your start-up operates and what needs to be done. You should also determine the back and front office functions and processes of your company to know which tasks are best to outsource. For example, if you are in the SAAS industry, complex and confidential software designing tasks should be delegated to trusted employees who are bound within a contract. This makes secure hiring processes very important for hiring outsourced employees. Meanwhile, other tasks that are not in the nature of business like payroll services and accounting are also ideal to outsource.

outsourcing remote employee

There are three general categories of tasks that companies should look into when considering to outsource. Understanding them would be beneficial to choose the right business functions that you could outsource without having to compromise the quality of your services and the credibility of your business.

Here are the three categories of outsourced positions:

Highly skilled, or executive, expertise

Hiring executive-level candidates as your in-house employee would mean that you need to pay a higher salary for them. This is why most start-ups prefer to outsource most of their CFO-level tasks in other countries with lower costs of living than theirs. This way, they can save more without worrying about the expertise and skills of their employees. 

Specialized knowledge

For every business, there are a lot of aspects that you need to work on to make everything perfect, more critically so for start-ups. However, if you need specialized knowledge like IT support and legal assistance, it would be best to outsource an in-house employee. This is more affordable and more convenient to work with.

Highly repetitive tasks

Highly repetitive tasks are not only tedious but can also be time-consuming. This makes tasks such as data entry accounts payable and shipping inventory ideal for outsourcing. If you hire remote workers from Asian countries like the Philippines, more than having a detail-oriented team to look after data/accounts, you can have a dedicated team at a much lower rate than your usual local hiring costs.

Challenges and Considerations when Outsourcing for Startups

There are some challenges and considerations when it comes to outsourcing for startups. It is important to have a clear understanding of what goals need to be achieved before starting the process of outsourcing, and how these goals can realistically be met. Additionally, there may also be legal or compliance issues that need to be considered when working with overseas vendors.

Best Practices

A. Quality Assurance

It is important to always ensure that the services being outsourced meet the expected quality standards. This means doing research on potential vendors and regularly checking in with them throughout the process. Additionally, startups should communicate their expectations clearly to avoid miscommunication or misunderstandings.

B. Scalability for Growth

In order to ensure scalability for future growth, startups should consider vendors that can provide easy scaling of services as needed. This way, startups can easily add resources or reduce costs as necessary without needing to go through the entire process again from scratch.

C. International Options

When it comes to international outsourcing, startups should take the time to research different options and decide on what is best for their situation. They should also consider the legal and compliance issues associated with working in various countries before making any final decisions.

How to outsource through EOR

When planning to outsource, finding the ideal way to source and connect with highly skilled talents is important. While it is tempting to just hire workers through a BPO or freelance site, there is actually a more convenient and effective outsourcing solution: Employer of Record (EOR).

You can learn more about the pros and cons of outsourcing through BPO and EOR in this article.

According to Wasp Barcode Technologies, the five biggest challenges that small businesses face are related to employee management and profit. The problem is, with BPO and freelancers, it will not be easy to lead and manage your outsourced employees. BPO  companies follow their own management and freelancers are, well, not really your employees. They can easily drop your projects anytime unless otherwise is stated by your contract.

outsourcing solution for startupremote employee in laptop

As a solution, most companies choose to outsource through an employer of record(EOR) company like Remotify. We serve as the local employer of your outsourced employees which makes legal compliance much easier. We can also handle the entire outsourcing process from the sourcing, hiring,  up to monthly payroll management but will let you handle the day-to-day tasks of your employees.

Moreover, we offer ongoing support for clients in areas such as team engagement to assess the performance of the outsourced employees and make improvements easier.  We also have optional services such as conducting background checks for new or existing employees, GDPR and cybersecurity training, HMO and other benefits, and laptop procurement.

With us, managing and instilling your company culture to your employees as a start-up is much easier. You will also have more time for other business functions that you need to focus on.

Ideal for Start-ups

Outsourcing talents from other countries is ideal for start-ups who are tight on budget but need a high level of talent. This will let you build a highly skilled team without the expense of hiring local in-house employees. There are also a variety of business functions that you can hire remote workers for.

Moreover, you can make the most of advanced outsourcing solutions such as EOR companies that can help you with sourcing, HR tasks, payroll management, legal compliance, team engagement. With a proper business plan, enough dedication, and strong teamwork, your start-up will surely be a success in no time.

If you want to know more about how we can help you outsource talents for your start-up, you can check out Our Services

Conclusion

Outsourcing is a great way for startups to access specialized skill sets and cost savings. This guide has provided an overview of the benefits, challenges, and considerations associated with outsourcing, as well as best practices on quality assurance, scalability, and international options available when outsourcing work. Additionally, it discussed how Employer of Record can help you in outsourcing. By taking advantage of these resources and following the tips outlined in this guide, you’ll be able to maximize your chances of success with outsourcing. With the right strategies in place, you can save money and free up resources that would otherwise have been tied up in expensive operations. So go ahead and explore all the options available to you – make use of this invaluable tool and reap the benefits of outsourcing for your startup!

FAQs

Q: What are the key benefits of outsourcing for startups?

A: The key benefits include cost savings, access to specialized skillsets, scalability and quality assurance.

Q: How Employer of Record can Help Startups with Outsourcing

A: For startups looking to outsource work, they may need assistance in managing the legal and compliance aspects of doing so. Employer of record is a service that provides companies with help managing the administrative side of hiring and onboarding workers. They are able to assist with payroll processing, tax filing, employee benefits, health and safety regulations, and more.

Q: How can I maximize my chances of success when outsourcing?

A: To maximize your chances of success, you should ensure that you have a clear strategy in place before beginning the process. You should also research potential vendors thoroughly and evaluate their past performance. Additionally, make use of Employer of Record services where appropriate. This will help to streamline operations and provide additional legal protection. Look for a supplier that can be a proper strategic HR partner on the ground for you.

Q: Is direct hiring more affordable or outsourcing for a startup company?

A: Generally, outsourcing is more cost effective for startups as it eliminates the need to invest in infrastructure and other overhead costs. Additionally, outsourcing gives you access to specialized skillsets that may otherwise be difficult or expensive to find. However, depending on the nature of your business, direct hiring may also be a viable option. It’s important to consider all factors before making a decision.

Q: What are some common challenges when outsourcing?

A: Some common challenges include language barriers, cultural differences, quality control issues and legal complications. It’s important to do thorough research into potential vendors before committing to any arrangement in order to reduce these risks as much as possible.

Highlight

Due to the developing technology and the growing economies, globalization is now pushing companies to scale and acquire exceptional talents across borders. To comply with legalities, most business owners think they can only enter a new market by setting up their own entity, which can be time-consuming and costly. However, another option is gaining its spotlight these past few years—the Employer of Record or EOR services.

Companies often engage with an EOR to simplify human resource operations’ complexities and deal with the legal requirements when outsourcing from another country. Let’s look at what setting up a new business entity looks like vs. partnering with an Employer of Record company in this article.

Setting up an entity when managing remote teams

When managing remote teams across borders, there are specific labor laws that you need to follow. This is why most companies consider setting up an entity in the country to comply with legal requirements. It usually takes months to process, incur processing costs, and may even require a good percentage of foreign and local ownership.

However, there are standard requirements that companies must prepare for before setting up a new business entity in the Philippines:

The cost of setting up an entity always boils down to a large amount of taxes and fees that the company must pay in the process.

Due to these complexities, many foreign companies and investors avoid setting up an entity in the Philippines and opt to use other outsourcing options. To simplify their outsourcing strategy, businesses consider partnering with outsourcing companies to take over these complex responsibilities.

This is where the role of an  Employer of Record (EOR) comes into play.

EOR services


What is an Employer of Record or EOR services?

When thinking about outsourcing, a lot of people automatically think about Business Process Outsourcing or BPO. However, Employer of Record or EOR services is a more convenient option that gives you freedom in choosing your employees and managing them according to your preferences.

Employer of Record is an employment solution that allows a third-party provider to be legally responsible for the employment processes of your company. It makes for a smoother and quicker method to employ Filipino employees lawfully without setting up a legal entity.

This means that EOR services will manage employment relationships, provide government-mandated benefits and other HR administrative tasks. They will also be liable for withholding tax and social contributions as well as payroll management.

The client will still have full control of managing the time and day-to-day responsibilities of their employees.

How can EOR services benefit your company?

Unlike setting up a local entity in a foreign country, partnering with an EOR company is more efficient and practical. EOR services will take over most of your complex employment responsibilities, which can be time-consuming and costly.

Here are some of the benefits that you could get from getting EOR services:

You have more time and savings when managing remote teams.

Due to the complexities of the Filipino labor laws, having an in-depth understanding of it for setting up entities may be difficult and time-consuming. But why would you bother spending too much time and money if your initial goal is hiring and managing remote teams to lift off a chunk of your workload efficiently? In this case, an employer of record can help and provide you the option of having a convenient outsourcing experience in a much lesser time.

You have a localized payroll.

Having a localized payroll means that you won’t need to worry about payroll complexities such as night shift differentials and holiday pay, amongst others. An EOR is specialized to handle these challenges for you and improve the engagement of your team.

You have more freedom.

By partnering with an EOR company, you’ll have more discretion and freedom with how you want to manage your employees. With EOR services, you will have the freedom to work with your team in the Philippines, like managing your team in your home country. Unlike BPOs, you are not limited in your day-to-day management decisions, who you want to hire, fire, or promote.

You have an engaged team


Employer of record

Employees in the Philippines are usually covered for health insurance by their employer. An EOR can help you secure additional benefits for your employees, resulting in a happier and more engaged team.

You have an HR extension in the Philippines

An EOR is at your service to manage all employee queries and arrange payroll, government-mandated benefits, and HR administrative tasks for your team. Your EOR should also offer end-to-end assistance in purchasing laptops for your employees, from procurement to securing accountability documents to deliver right at their doorsteps.

Simplify your operations when managing remote teams

EOR services take away the complexities and simplify the entire hiring process for you. Engaging with an EOR means that you will not have to think about local HR, compliance, attendance tracking, payroll, and reporting so you can focus on what is most important: growing your business.

Engage with EOR services now!

Knowing the difference between setting up a business entity and engaging with EOR services for scaling your team in a strategic market, you might already be thinking of hiring with an EOR. Finding a reliable Employer of Record that is good for your business, your employees, and the community is the key to the success of managing your remote teams.

To know more about how an Employer of Record company can help you scale your team in a strategic market, check out the services we offer at Remotify.




About Remotify

Remotify is your next-generation solution to managing your remote team conveniently and cost-effectively in the Philippines.

Through our Employer of Record service, Remotify will employ and payroll your workers in the Philippines and do the heavy lifting for you. We will take care of local HR, compliance, attendance tracking, payroll, and reporting so you can focus on what is most important: growing your business.

This means you can quickly and securely hire employees in the Philippines, attracting top talents and keeping them engaged through the process. At the same time, you avoid the overhead of establishing your own entity.

From complex local tax and labor laws to in-country capital requirements and compliant HR management, payroll, and benefits disbursement, getting started in a new country to tap on its low cost and great talents can be a time-consuming endeavour. But with the right partner, it doesn’t have to be. Remotify is here to keep things simple for you, check out our services page to learn more.

To maximise the full potential of your human capital, you need clear organisational values, great culture and employees who can cultivate this culture.

This can be challenging if your staff primarily consists of contractors and freelancers. It’s important to have a team that is eager to grow alongside you and help you develop your company.

These were the growing pains that Daivergent found itself facing before partnering with Remotify. Daivergent is an all-digital job-creating platform for the disability community.  Since its launch in 2017, Daivergent has grown tremendously. 

Byran Dai, the CEO and co-founder of Daivergent, built his business for his family, as many other entrepreneurs in the disability industry do. Daivergent has helped numerous neurodivergent individuals as they transition into adulthood by helping them develop the necessary skills for employment, social interactions and independent living.

“We source, we train and we match individuals in this community. We provide exceptional coaches and personalised training plans for each individual’s professional and personal goals. The journey has been incredibly enlightening for us. We started as just doing job placements, but it evolved in time to include training services,” shared Byran.

The contractor conundrum: Significant retention challenges

Even in the beginning, Daivergent had a global mindset when it comes to hiring employees, freelancers and contractors. Daivergent recognised that great talent can be from anywhere in the world. The biggest driver for their need to hire is the growth of the coaching and training service they created. People recognised that Daivergent can enhance, supplement and grow the support they can give to disabled communities by leveraging talent anywhere in the world.

However, hiring freelancers and contractors predominantly within the staff resulted in significant challenges to Daivergent’s sustainable and scalable growth. Especially in a remote work environment, it’s crucial to find workers who are fully engaged in their tasks and committed to the organisation.

Byran recounted that: “In the past, we’ve had people from freelance platforms, and they come in at a relatively decent pace but the retention is challenging. We realised internally that it was hard to build a company culture when you’re not deliberate about it.”

There are other disadvantages of hiring contractors or freelancers that business owners need to consider as they grow their teams. Because freelancers are responsible for their income streams, taxes and contributions, they’re focused on making business decisions that increase their opportunities for profit — whether this means accepting more projects or terminating a partnership with a client. 

Freelancers also involve a lot of legal grey areas, including the misclassification of employees as freelancers, which can negatively impact workers and businesses. 

If you’re at the stage where your business is ready for long-term growth and development, as Daivergent was, then it’s more beneficial for you to invest in full-time employees. This will allow you to build a team that can support you in realising your vision and building your business. 

A shared corporate vision and mission are crucial in bringing your staff together, especially in a remote work environment.  It’s important to provide this sense of purpose to your employees to increase retention.

“We had an ‘aha!’ moment when we asked our US-based employees what made our company so compelling to work with us: It was the feeling that there was a shared mission and team they can work with. It wasn’t just a job that ends once the project is over,” Byran said.

Discovering the outsourcing opportunities in the Philippines

Daivergent first had the opportunity to work with the Philippines through its collaboration with the Autism Society of the Philippines in 2020. That was when Byran truly saw the potential in the Philippine market. It motivated him to open different departments for hiring in the Philippines.

“We were keen on working with the Philippines because of our great experience with the Autism Society of the Philippines in the past. The Filipinos’ work ethic, attention to detail and culture reflected the corporate culture we wanted to build in Daivergent. So when we found Remotify in the Philippines, it caught my attention,” Byran shared.

Outsourcing in the Philippines is a great opportunity for businesses around the world. The Philippine workforce has a high adaptability to the Western culture and an advanced proficiency in English, allowing Filipino employees to excel in English-speaking companies. The affordable labour wages in the Philippines also enable business owners to accelerate their growth and focus on developing different areas in the company.

However, outsourcing can be challenging if a business owner is doing it alone. There are different outsourcing options available, but each one has its advantages and disadvantages. As a business owner, you need to identify the right option for your company and ensure that it will help you achieve your hiring goals.

Byran recalled that, “My first conversation with Erwin was focused on understanding the ecosystems in the Philippines. It didn’t feel like a pitch of Remotify, more of helping me understand strategies in hiring. I stepped away from that conversation feeling great about what I heard.”

When Byran went to the Philippines to meet his team, he also decided to meet up with Maria and Erwin, deep diving into what it looks like to have a formal HR presence and culture that is built and instilled from the top down to maximise retention. 

“In essence, our conversation was about what it would be like if Daivergent’s workers were employees, not just contractors. That meeting with Maria and Erwin made me think Remotify gets it. They knew what we were trying to do, and they’re also looking to grow,” Byran said.

What sets Remotify apart from the typical Employer of Record is Remotify’s commitment to be a strategic HR partner for their clients, not just as a contract mill. Remotify recognises the potential of human capital and how it offers a unique competitive advantage for its clients. They are driven to help small to medium businesses harness the full potential of their workforce by developing a strong company culture even in a remote work environment.  

Establishing a formal HR presence in Daivergent 

Daivergent initially considered forming an entity in the Philippines before they signed with Remotify. However, the process of setting up a business in the Philippines was too costly in time, effort and resources. In comparison, Remotify delivers a cost advantage to their clients while ensuring that they stay compliant with local labour laws.

Since partnering with Remotify, almost a third of Daivergent’s workforce comes from the Philippines. The Daivergent team has grown 533% since starting with Remotify in October, allowing Daivergent to create happy clients and achieve its aggressive growth plans.

Remotify acts as Daivergent’s strategic HR business partner in the Philippines and manages the HR aspects of the business, running the gamut on the hiring process at every employee level, from management to junior employees.

"When we’re looking for a manager, we want to get a grasp of compensation perspectives and allowances. As CEO, I’ve been told by my directors that the most value we get from Remotify is the intuitive understanding of the local market. That’s something we don’t get from anywhere else," Byran shared.

Remotify has helped build Daivergent’s operations teams, comprising coaches, operations managers, and team leads. Remotify also handles the development of Daivergent’s engagement teams, which consist of resume reviewers, mock interviewers, and social facilitators. 

Hiring an Employer of Record as a remote HR provider enables businesses to successfully implement a remote work environment while building a thriving corporate culture. A remote HR provider has a clear understanding of remote work, allowing them to engage effectively with remote employees. In this regard, Remotify has been a pillar of support in Daivergent’s growth.

"Remotify supports us by making sure we don’t have to do anything HR-related. Everything from salary verification or handling an off-boarding of an employee and understanding the legal and administrative risks. Remotify helps us in the hiring process, making sure that potential candidates understand the role when interviewing them," Byran shared.

Building a thriving global corporate culture with Remotify

Remotify brought in Daivergent’s existing team under its record, helped Daivergent grow and onboard the staff, and continuously manages HR, payroll and all legal compliances. Remotify also helped procure devices for remote employees based in different locations in the Philippines.

Most importantly, Remotify ensures continuous engagement with the team through its INSPIRE culture, which aligns with Daivergent’s corporate culture. 

This just goes to show that human resources are essential in building a sustainable company culture even in a remote work environment. Human resources are the first port of call for employees, and they make sure that employees are involved in business processes and decisions that can impact them and their work.

As Daivergent’s HR partner, Remotify ensures that it implements hiring and retention strategies that align with the company’s vision and objectives. Remotify is driven to provide a “human” touch to its services, adding much-needed warmth and personality in a remote work environment.

“As the community grows, more families look at Daivergent’s digital model as something they can use themselves. Being able to trust Remotify with one side of the house, such as the HR management of the team and people operations, helps me focus on the other side of the house so I can grow my business,” Byran said.

We can help you harness your company’s human capital as your greatest competitive advantage. Contact us and we will help you achieve your goals of growing your team excellently and cost-effectively.

With companies and organizations operating in a more flexible manner, the hybrid work setup has become common. People realize the benefits of remote working, but some job functions need to be done onsite. To answer the evolving needs in the new era of work, companies have started implementing this new “Hybrid” work model. 

A hybrid work setup is a combination of working remotely and reporting onsite or in offices. This working style is becoming increasingly popular as more people take advantage of its flexibility. This article will cover what it means to implement a hybrid work model and the steps you should take when diving into this new setup.

What is Hybrid Work Model?

Work from home (WFH) is a term that most of us are familiar with. Since March 2020, most companies have shifted to working remotely, and this change has rapidly become part of everyday life. The coronavirus pandemic has forced companies to adapt to the WFH model. However, as the world opens up, a new type of work setup emerges—hybrid work.

The hybrid work model is an organizational structure that combines remote work with in-office work. In other words, rather than allowing employees to either work from home or in the office, it will enable them to choose what works best for them on any given day or week.

hybrid work

This changes the nature of the traditional office workplace. Instead of being a place where people must come together every day, it becomes more like a shared workspace for people who have matters to attend to that need face-to-face interaction. In this setup, some people might return to the office once a week or every two weeks (or however often they need it), while others might only do it occasionally. The idea is that people can choose different patterns based on their needs and preferences — and optional rather than mandatory presence fits nicely into an employees’ wellness.

The truth behind the hybrid work environment

Hybrid work environment allows employees to split their time between working onsite and remotely. This can be as simple as dividing a five-day workweek into two days in the office and three days at home, or it could vary by project or task.

The benefits of a hybrid work setup are many. It allows you to work from home, maximize your time, and is beneficial on days you need to be there. You can also take advantage of the flexibility to schedule a productive workday that suits you wherever you may be in your life. 

With a hybrid setup, you don't have to worry about leaving your company when you have kids, taking career breaks for personal time, or losing touch with your coworkers. A hybrid work setup gives companies and employees the best of both worlds. Now, working from home can enable people to maximize their time with family and their careers.

According to Business Insider, 40% of workers said that there is a high chance of quitting work if forced to go back to the office. This motivated companies to adopt a hybrid work model for their employees.

Virtual Office Manager

However, we can’t deny that most companies experience difficulties transitioning from fully remote work or fully on-site into a hybrid work model. This is because of the gray area in rules and regulations for companies when it comes to adopting a hybrid work environment, with some companies not being able to figure out how to transition.  Moreover, applying this setup might be difficult if your company is part of a larger group that mandates all its member companies to have all employees work on-site.

But then, how can you make the hybrid work model work to your advantage and prevent your company from losing great and talented employees who prefer working at home?

Adopting a hybrid work model

There are two common approaches to developing a hybrid work model. The first is the 'we'll figure it out as we go' process, which is common in large companies that want to keep their options open on where and how employees can work. This can be fine for a company of 10-100 people, but if you're a company of 200 or more, it's essential to have some kind of strategic framework in place.

The second approach is the 'we'll create a policy' strategy. This could be one-size-fits-all or employee-by-employee, but it's essential to ensure that the guidelines are clear and provide enough flexibility for employees to operate effectively. It's also important not to allow individual managers to override the policies without appropriate approval.

Here are some of the things that you should consider when developing a hybrid work model:

1. Define your strategy. 

Before defining a hybrid work model, you need to determine your organization's overall approach to workplace flexibility and productivity. Going into this process with an open mind is critical because there are many ways to structure your workforce. For example, do you want everyone to be remote or allow employees to choose their base of operations?

2. Develop clear guidelines. 

Providing employees with more flexibility often means more responsibility for them (aka more autonomy). In most cases, that's a good thing since it fosters engagement and accountability. But employers must communicate expectations around issues like hours, performance, and availability.

3. Provide the proper support infrastructure. 

Employees will need the right tools to communicate and collaborate effectively in a hybrid environment. However, many companies fail at this step because they take a tactical approach instead of aligning infrastructure investments with their long-term strategy and business goals.

remote work

4. Set up effective communication protocols. 

Establishing expectations around how teams communicate is critical for any organization transitioning to a hybrid work model. Keeping in mind that not every employee wants or needs the same level of communication can be helpful here—some may prefer daily check-ins while others are fine with less frequent touchpoints

Employer of Record (EOR) is the solution.

It may be difficult for your HR team to figure out what to do or how to maneuver in a new and compliant hybrid work model. Luckily, Remotify can help you stay compliant with local labor laws and regulations to easily and conveniently shift to a hybrid work setup. Definitely, corresponding HR support will be needed to effectively and efficiently do this, not to mention managing payroll and timekeeping for employees who choose to work remotely. Remotify simplifies this for you.

What’s great about partnering with Remotify is that even if the country your employees are residing in will push 100% onsite work, you can still make the hybrid work model work while staying compliant with labor laws and regulations. If you need help to shift to a hybrid work set up effectively and conveniently, you can visit our website, email us at hello@remotify.ph, or set an appointment here

Due to the demanding nature of businesses in different industries, a lot of companies have a cut-throat, strict, and high-pressure work culture that leads to employee burnout. Now that companies are choosing to keep their remote work setup, people are expecting things to deviate from the traditional setup. This includes having a  positive work from home culture that will help boost their employees’ productivity.

According to research about positive organizational psychology, having a strict and cut-throat environment in an office affects the work quality of employees. Meanwhile, a more positive workplace may lead to dramatic benefits for the company and its employees. But, what are the best ways to implement a fun and positive work from home culture and what impact should you expect from it? Read on to find out more about that.

What are the benefits of instilling a positive work from home culture?

The benefits of instilling fun and positive work from home culture are many and far-reaching—from increasing the satisfaction of workers to improving your company’s overall performance.  We’ve narrowed down the top benefits and the impact for your company.

It encourages happy remote employees.

A positive work culture increases employee happiness. Happy employees are more productive than unhappy ones, and they also tend to be friendly, collaborative, and proactive about doing their part in an organization. Moreover, they are enthusiastic about their roles especially during meetings or presentations which can lead to better team dynamics.

They develop closer connections with co-workers.

A positive and fun work from home culture enhances peer relationships because happy workers tend to be less competitive with each other. This doesn't mean that you should stop measuring your performance or encouraging your employees to do better; it simply means that creating a positive work culture will stop them from becoming too focused on winning while forgetting what's best for the company as a whole.

positive work from home

It encourages greater collaboration among employees.

Moreover, a positive work environment fosters cohesiveness between workers, because happy people are more likely to bond with one another outside of work. This is actually beneficial for your company as it helps create a sense of community which can lead to increased productivity within the office itself.

It boosts creativity.

Having an open-minded workplace environment allows employees to express their ideas freely without fear of ridicule. Creativity sparks new ways of doing things, especially when it comes to problem-solving. It can also help raise awareness about various solutions that you might have missed out on before due to limiting your thinking process. 

To put it simply, a fun and positive work from home culture help employees become more innovative. Happy workers can think out of the box, and they use their artistic way of thinking to find practical solutions for everyday challenges.

It helps improve your employees' performance.

A positive work culture encourages productivity and punctuality by minimizing distractions and discouraging workplace politics and gossip. For instance, providing a fun daily break time can boost productivity during working hours, while promoting an open-door policy gives more avenues for discussing management concerns. They're more aware of company goals.

A positive work environment allows happier employees to focus on what's best for the company rather than focusing on securing job positions or winning favor from their bosses. Employees are less likely to show lackluster effort in achieving their jobs which translates to improved overall production in the long run.

What are the best ways to promote a fun and positive work from home culture?

Every year, more organizations are beginning to see how culture can impact productivity while making employees happier at their jobs.

If you want to increase productivity while making employees happier at their jobs (and yourself too), here are the steps you can take toward creating more fun and positive work-from-home culture.

Promote a fun and positive work-from-home culture by recognizing achievements.

One of the most exciting things that remote employees can look up to is celebrations and what better time to celebrate than when an employee has an accomplishment? For example, you can set a virtual party with teams that go far and beyond their quarterly or annual key point indicator. Ask the human resources team to have foods and drinks delivered to your employees before the meeting to add more “party feels” to it.

If you want a simpler option, commend your employees on their achievements in meetings or post a congratulatory certificate, graphics, or video on your social media groups or page. They will also appreciate small gifts and bonuses.

positive work from home

Conduct icebreakers for new remote employees.

New employees can feel intimidated when they come into a new company--especially if they are working from their house alone. By creating icebreakers for new employees, you can help them get used to their surroundings quickly so they can focus on actually doing fun work instead of feeling like they are a fish out of water.

Bring your fun into remote work meetings!

This can be as simple as playing music whenever the last speaker ends or having snacks delivered for your employees. It can also be having exciting contests during or after meetings. Although it may not seem productive to have contests, you will see an increase in productivity since your employees will feel happier and more motivated around each other.

One great example of a fun contest is a "fun fact" contest where people take turns answering questions about fun facts from within their department. You can also have a "notes" contest where employees vie for the number one spot by writing funny notes on your virtual workplace or group chat that everyone gets to read aloud at the end of the meeting.

Give employees time off during special days.

The day after Thanksgiving, Christmas Eve and New Year's Eve are fun holidays for many people, but there are other events everyone can get excited about. For example, give your employees a special leave for times like birthdays or even their own wedding anniversary! Promoting a culture where employees feel seen, and acknowledging their personal life is also a great way to make them feel valued.

Host fun activities with clients.

Do you work in a large organization? If so, chances are you probably have big clients as well. They might even be fun to hang out with on occasion! Why not plan a bowling date with your biggest client once every year at their birthday or during the end of tax season? Your relationship will be fun and cordial if you do this and it may even result in more business at the end of the year.

Encourage remote employees to open up to you.

A positive work-from-home culture is made possible because the employees can connect with their bosses and colleagues on a personal level. If you want a culture that is positive, fun, and impactful, be sure that you are making time to engage your employees in a conversation and truly listen.  This way, they can open up to you about their ideas, their aspirations, fun stuff, or events that they want to do outside of the office.

positive work from home

Throw an end-of-the-year party!

As mentioned above, employees love celebrations, and to celebrate a whole year of progress and success, you can throw a virtual end-of-the-year party for everyone. Set a virtual meeting date with fun themes and ask your employees to dress up. Of course, food delivery is the key to making it even more fun.

On the other hand, some companies urge their remote employees living near each other to get together. Even if the owner is not available to visit them physically, it is still fun to see some of your team members getting along with each other personally.

Improve your team engagement with EOR services

If you want to increase productivity, have a fun and positive work from home culture! It doesn't have to be complicated and over-the-top. Just changing the vibe of your virtual meetings into a lighter tone or doing some simple yet fun activities, can dramatically improve your work culture.

Improve your team engagement by having a company culture that promotes positivity, fun, collaboration, and personal growth. You can do this by getting EOR services. Remotify is an EOR company that offers a special I.N.S.P.I.R.E employee onboarding that helps improve your work culture.

For more information about this, set a call with us or send us your inquiries at hello@remotify.ph. We will be happy to be at your service.

Just this June, Facebook has given the majority of its employees the chance to keep their work-from-home setup. Meanwhile, some employees who need to report to their office from time to time are given the choice to work remotely for half of the time. This setup applies to all levels of the organization and includes the early-career and entry-level employees.

As if starting a fire, more and more companies are announcing their implementation of a hybrid schedule for most of their employees even after the pandemic. But, how will this affect different industries, and how do organizations make this possible? Is it efficient to hire remote workers without meeting them face-to-face? 

Pushing through remote work

There are still ongoing discussions regarding the effectiveness and efficiency of remote work setup for different industries. But, as the pandemic hits countries and companies are instructed to implement it, the situation made business leaders understand the advantages of working remotely.

Improved Productivity

A memo of Mark Zuckerberg to his employees mentioned that he personally plans to work remotely for as much as half of 2022. He said that this has given him more space for long-term thinking and helped him spend more time with his family, which made him happier and more productive at work.

According to a study by SHRM, working remotely can increase the productivity of employees by up to 77% with 30% doing more work in less time. This is due to having a better and more relaxing working environment at home where employees can focus more on their tasks and work more effectively.

Better Communication

Gone are the days when employers needed to pass their messages and project plans through a lot of people which may lead to wasted time, or worse misunderstanding. With remote working, it is now easier to get everyone on the same page and receive reports on time. Companies can keep communication, files, and approvals all in one place which makes everything more manageable.

In effect, better communication through remote working also improves collaboration in a company which leads to more successful projects.

Wider Talent Pool

With remote working, companies now have unlimited opportunities to get a wider range of talent pool all over the world. Unlike before where they can only choose from local candidates, they now have the chance to hire the ideal employee who fits their ideals and expectations. It also improves diversity within the organization and may improve your companies’ perspectives in global marketing.

Other industries planning to “work-from-anywhere”

Aside from Facebook, other companies are offering their employees more flexibility in their work setup than in pre-pandemic. To turn into a remote-first company, others said that they will switch to a hybrid schedule where some of their workers only need to report in their physical office two to three days a week. Meanwhile, they will allow most of their employees to work from home permanently.

Some of the companies that are planning to implement a hybrid schedule are Alphabet Inc.’s Google, Apple, and other businesses across Silicon Valley. However, other companies like Spotify Technology adopted a “Work from Anywhere” model. This will let employees choose whether they want to report in their offices, work remotely, or some combination.

Aside from that, a prominent business software provider, Salesforce Inc., offers their employees the option to work from home at least until the end of the year. While they are still deciding whether they’ll implement a permanent hybrid work setup like other companies, it’s undeniable that they have also seen the benefits of this unique setup.

How can you adapt to remote work while protecting your business and your employees’ rights?

Despite the numerous benefits of remote working for both employees and employers, there are still some business leaders having second thoughts about implementing and fully embracing the future of work. One of the main reasons is the lack of assurance and knowledge around the process, or sometimes, having no internal process established to ensure that remote hiring is done effectively.

Luckily, there are some advanced outsourcing solutions that companies can rely on for managing remote employment and ensuring security for both parties. One of these is partnering with an Employer of Record (EOR) company like Remotify that helps employers handle employment tasks such as:

If you want to learn more about the convenient and cost-efficient services that Remotify offers, you can check a full list of their services on this page.

Final Takeaways

The announcement of Facebook and other industries’ giant companies to implement remote work has sparked permanent change in workplaces around the world. With numerous studies supporting the benefits of this setup, it is no surprise if the majority of businesses will offer hybrid and fully remote schedules for their employees soon.

If you are planning to do the same and are interested to hire remote workers in the Philippines, Remotify can help simplify the employment process and get you started in a matter of days. To know more, send us an email at hello@remotify.ph or set an appointment with us.

When building an outsourced team for your business, it is essential to consider your future employees’ work culture, personalities, and traits. While some can adapt their preferences and mindset depending on the company they work for, it is undeniable how these things affect the performance and decision-making of your employees. So, if you’re looking to hire Filipino remote workers, this blog will help you understand a part of their culture that is deeply ingrained into their working qualities.

Filipinos are known for their admirable personalities and rich culture, which transcends their friendliness, hospitality, and loyalty to work. Whether they are in a corporate business, digital marketing, or medical field, some standard Filipino workplace etiquettes stand out while working with them.

1. Warmth and Friendliness

Filipinos are well known for their warm and friendly nature. It is easy for them to get along with their colleagues and work closely with each other. Bringing warmth and friendliness to the workplace with a willingness for collaboration and teamwork are some of the things that Filipinos do effortlessly.

Despite being in a remote setup, they can still find ways to connect and grow closer together through group chats, team calls, and at least once-a-year get-togethers. For them, a sense of inclusion in the workplace is essential, so you’ll never have an issue with socialization and collaboration in your remote team.

2. Hardworking

Filipinos are known as hardworking people. According to The Project Review, it is safe to compare Manila to New York with their title as a city that never sleeps.

Filipinos tend to go all out when it comes to their work, and they will only settle for excellence. Research from Inquirer.net reveals that out of 37.6 million employed Filipinos, over 24.6 million work up to 48 hours or more in a week. Despite the importance of holidays in the country, some of them are even willing to sacrifice their day-offs for their work.

3. Great communicators

As part of their education curriculum, Filipinos are trained to write, speak, and converse fluently in English and Filipino from primary to tertiary level and trained to be great communicators from school to the workplace. With the English language being one of the official languages of Filipinos, it is evident in their neutral accent when speaking.

In the workplace, English is primarily used when conversing in company meetings and conferences. Their natural gift for communication is the main reason why experts predict that 15% of the total global outsourcing market will be Filipinos in 2022.

4. Respectfulness

If you’re going to employ Filipinos, you can expect respectfulness most especially in the workplace. Respect is deeply ingrained within the Filipino culture and language with terms like “po” and “opo” in their sentences when talking to elders or someone higher in position. While opo is a formal way of saying yes or agreement, they use po as a sentence extension for formality and respect.

With this instilled in their nature, showing respectfulness in their work comes naturally for Filipinos. It is normal for them to be polite to their bosses, co-workers, and even strangers, which helps a lot in customer engagement and what makes them great team players.

5. Resourcefulness

Filipinos are very resourceful, especially in tough situations. Whenever they encounter issues in their work, they always find a way to resolve and work around the problems and come up with better solutions. They rarely take a no as an answer and will, most of the time, have backup plans in case something comes up-- hence the famous phrase, “madiskarteng pinoy” (resourceful Filipino).

When working with Filipinos, it is easy to rely on them for their resourcefulness, no matter the situation. You will definitely benefit from having a Filipino in your team for their wit and ability to maneuver through challenging situations.

6. Resilience

When you see news coverage of Filipinos in disasters, you can’t help yourself but admire their drive to still smile despite what they’ve been through. This resilience can also be applied to the work etiquettes of Filipinos whenever something unexpected happens in their workplace.

No matter what challenges or downfalls they face, they always manage to get back on their feet, put on a determined look, and work their way towards the top of their goals. Needless to say, it is a very admirable trait that you’ll need when you hire remote workers.

7. Pride and Modesty

The concept of pride and saving face is extremely important for Filipinos. They tend to avoid confrontations in public settings and settle things as subtly as possible. In a remote environment, they appreciate private messages and emails more than tagging and calling them out in a group chat or team meetings. It is ideal to make them discreet, constructive, and courteous if it is about sensitive matters.

Make sure to remember and apply this for better communication without any sense of shame and uneasiness within your team.

8. Fun and can-do attitude

Due to the rich history of the Philippines with other races, it is really easy for Filipinos to adapt to different cultures. Coupled with their innate warmth and friendliness, it is no wonder Filipinos are natural in having fun. They are open-minded and always willing to welcome new ideas from others for creative and successful collaboration.

Filipinos have a can-do attitude and always find ways to make their work fun and lively which improves productivity in the workplace. Furthermore, when you work with your Filipino team, you don’t have to worry about dull days because it is easy to joke around with them.

Remotify your outsourcing process

With the Filipino cultural traits mentioned above, hiring remote employees in the Philippines sounds more enticing especially in the unique times we live in. Filipinos are resilient, hardworking, and easy to get along with, which are fundamental traits in a remote work setup. But, what is the most convenient and legal way to outsource remote workers in the Philippines?

If you are looking for an uncomplicated process for outsourcing your team in the Philippines while complying with Philippine local labor laws, you should consider partnering with Remotify.

Remotify is an Employer of Record (EOR) company that handles all the requirements and legalities a foreign employer needs to undertake to legally hire in the Philippines.

We help you with:

To know more about how we can help you, check out Our Services.

Due to the pandemic going on for more than a year, the economic status of most countries worldwide has visibly dwindled. Around half of the world’s population was in lockdown, thousands of lives are lost, and people are experiencing the effects of isolation physically, mentally, and socially.  It is no wonder how the pandemic affected the workplace globally, and some people believe that it will be a permanent shift in how companies operate.

To understand it better, let’s discuss how Covid-19 changed the global economy and workplace and how it will affect the future.

The impact of the pandemic on the global economy

Despite the efforts of the government across different countries to counter the economic downturn, it is still undeniable how the pandemic outbreak affected our economy. Last 2020, the Global Economic Prospects describe the 5.2% contraction in the global GDP, which is the worst global recession in decades.

Both developed countries and emerging economies have been affected. Some of the affected quarters include the healthcare system, tourism and trade, capital flows, and dwindling remittances. To counter the recession, the developing markets resorted to loans from the World Bank, resulting in mounting debts.

However, a large portion of entrepreneurs still believes that everything will change by the end of 2021. They are optimistic that with the emergence of vaccines worldwide, the economies’ prospects will significantly improve in the next few months. People will get out of their houses, and the businesses will function as before again.

But, one thing will remain unchanged: the impact, the many lives, and money lost due to the pandemic and the lessons people learned from it. It will forever change how people view the world and the extent of their preparation for unforeseen issues in the future.

How the remote workplace changed globally

remote workplace

As the pandemic affects the economy and the quality of people’s lives, it also changed the global workplace to a great extent. Many people have lost their jobs due to cost-saving measures, while some were forced to stay at home for work.

While most were skeptical about the remote workplace setup,  companies all over the world learned to adapt right away. Businesses were also able to adjust their workplace to make their remote employees feel comfortable working amidst the pandemic.

Here are some of the changes in the workplace globally:

● Remote Work

The pandemic has forced almost 88% of organizations worldwide to work remotely for health and safety reasons. Although there were some challenges in this pivotal setup, companies around the globe have realized the benefits of remote working. Some people even speculate that remote working is here to stay.

● Remote Workplace

Today, most companies found out that they don’t need a physical office space as much to cater to the needs of their remote employees anymore. The government discourages mass meetings which means that organizations only need their computers, digital tools, and an internet connection to work.

● Technological upgrades

Now that remote employees and executives can’t meet physically, it is essential to implement tech upgrades for smoother work processes and uninterrupted communications. For example, many companies provide or finance high-spec computers,  headphones, and internet connections for their workers.

● Corporate Cybersecurity

Every sensitive document and meeting is expected to be held online as physical discussions are still highly discouraged. However, the internet is a dangerous place for transporting information due to competent hackers worldwide.

To prevent leakages and instill the corporations’ privacy, they invest in top-class corporate cybersecurity and ensure their remote employees are trained and know about them. For example, some businesses use encryptions for their files and auto deletes them at a particular time.

● Diversified remote workforce

As companies learn the cost benefits of remote work and the possibilities of outsourcing international talents, most of them have started to promote a diversified workforce. More and more companies realize that they are not only limited to a talent pool based on geography but that they can expand their reach beyond borders. There are different ways to outsource remote employees from other countries. Some hire freelancers online, while others engage with outsourcing companies such as EORs or BPOs to help them hire talents overseas.


remote employees


The better normal of managing remote teams

According to Upwork, 73% of corporate teams will hire remote workers by 2028. This significant change was heightened by the forced adaptation of remote workplaces in the work-from-home setup. Some people don’t even know if the “past” normal will be back or if it will ever be back even after the pandemic.

A study from Slack states that over 72% of workers who have experienced the WFH setup would like to retain their hybrid remote office rather than going back to the old ways. It provides more flexibility and freedom for the remote employees, and they have a better work and life balance.

Aside from that, employers also realized the cost-efficient benefits of working remotely for their business. First of all, they do not have to spend on renting or maintaining a corporate office, and they can even diversify their workforce better.

The only challenge is to ensure a safe, cost-effective, and efficient way to hire overseas without spending a lot of time and money understanding the international labor laws and the extensive hiring process. Thus, most companies partner with an employer of record or EOR services company to lift the burden of legalizing their outsourcing and help manage administrative HR tasks, payroll, and employee benefits.

Takeaways

Due to the pivotal role of the global pandemic in the economy and the workforce, people all over the world are taking great strides in adapting to the changes in the workplace. The need to rapidly shift to a digital and remote-first workplace has enabled companies and employees to realize the convenience of a work-from-home setup and the benefits of outsourcing foreign talents. As more and more people are building trust and interest in expanding their team beyond borders, now is the perfect time to get ahead of the game and future-proof your operations through outsourcing.

We can help you discover a whole new world of skilled, hard-working, and friendly employees with our Employer of Record services designed to simplify outsourcing for your business.

Find out more about what an Employer of Record can do for you by checking out our Services. You may also contact us at Remotify, and we’ll help you thrive in a remote-first work environment.


About Remotify

Remotify is your next-generation solution to growing your team remotely and cost-effectively in the Philippines.

Through our Employer of Record services, Remotify will employ and payroll your workers in the Philippines and do the heavy lifting for you. We will take care of local HR, compliance, attendance tracking, payroll, and reporting so you can focus on what is most important: growing your business.

This means you can quickly and securely hire employees in the Philippines, attracting top talents and keeping them engaged through the process. At the same time, you avoid the overhead of establishing your own entity.

From complex local tax and labor laws to in-country capital requirements and compliant HR management, payroll, and benefits disbursement, getting started in a new country to tap on its low cost and great talents can be a time-consuming endeavour. But with the right partner, it doesn’t have to be. Remotify is here to keep things simple for you.