Current HR Payroll Outsourcing Projects

Le Cheminant International has a client that is using our services to set up employment in Greece, Netherlands, Poland, Romania and Sweden -1 or 2 employees in each location. In all these countries the client can register their UK company as an employer and employ the staff directly, operating a routine payroll through one of our partners; -the company does not use an “Employer of Record” (EOR) solution.

We are assisting the company with the (often quite time consuming) registration and payroll set up in each country and have provided (free!) country specific employment contracts drafts. Once the payroll is set up we will supervise it and make payments to the employees, the tax administration, and social security authorities.

There is a potential snag though in Sweden. The client wants to provide a company car for 2 employees there. But generally car leasing firms will not sign a car leasing contract with firms outside their own country. An employer can simply provide a “car allowance” of course but this does not have the same appeal as a company car and is sometimes less tax effective.

So for Sweden the client is thinking about using an EOR solution, (which we will also provide), unless it can find a way to sign a car leasing contract for Sweden, even if it does not have a legal entity there. We are awaiting feedback from the client. I would be interested to hear from anyone whose company has arranged a car for an employee in a country in which they do not have a legal entity.

Please email John Tinsley if you think you can help.

I received an e mail from an accounting/audit company:

Hi John, I hope you're well. I work for an auditing firm and we have an audit with a payroll in Italy. That payroll is processed by a payroll provider in Italy but as part of our audit procedures we need to get a high level check of that done to ensure it seems to be operating as expected and there are no Italian payroll taxes etc which haven't been accounted for correctly. We would provide you with payroll reports for the year and payslips for the individuals (would you need these for every month or is it possible to just spot check a month and if so is there a particular month that would be best for this? Is this work that you/your firm could help us with? And if so what would be the likely timeline and cost?

I introduced the firm to our partner in Italy. (our network extends to 120 or so countries). It was a success: the two companies have now signed a service agreement. It struck me that if your company is an auditing or accounting firm this service of auditing foreign payrolls might be a useful source of extra revenue in each annual audit.

A USA based HR Manager asked in an HR website :

Hello! Can you recommend a PEO you work with internationally? We are an international nonprofit and need to switch to another PEO that operates in Latin America, Europe, and Africa. I would appreciate any recommendations you can give me! Thanks!

We replied
I can recommend my own company , but I would also suggest that you DON'T use a single firm covering lots of countries but rather either go direct to the PEO providers in each country. or to a regional PEO provider. You will end up paying less and the contact will be much more direct. For instance an African firm we have used for many years has branches in Burundi, Congo (DRC) , Kenya, Rwanda, South Africa, South Sudan, Tanzania, Uganda. And another firm based in Senegal covers Cote d’Ivoire, Guinea, Guinea Bissau, Mali, Mauritania.
It would be helpful if you could list the countries in which you are interested and I could suggest firms to contact in these countries, or suggest "regional" resources. I frequently hear clients say "the local people in xxxxx country are fine, very helpful. The logjam occurs in the international firms' offices.

The HR Manager replied:
Hi John, This is very helpful. The countries where we need a PEO are Mexico, Austria, Kenya, Mexico, Belgium, Vietnam, Ecuador, Colombia, Spain, the Netherlands, and Zimbabwe..

We sent her the e mail address of a local provider of Employer of Record services in all these countries.

An HR Manager wrote in an HR website:

We are opening our own business entity in Germany, and we are looking for an HR Consulting firm that provides things like:

1. HR support
2. Understand any needed employee training
3. English/German language options
4. Policy assistance
5. Legislative updates

Does anyone have any recommendations ?

We recommended 2 German HR consultants – we have 3 in our database but I know one of them cannot accept any further work

We received the following query.:

My auditing firm is carrying out an audit with an Italian payroll. That payroll is processed by a payroll provider in Italy but as part of our audit procedures we need to get a high level check of that done to ensure it seems to be operating as expected and there are no Italian payroll taxes etc which haven’t been accounted for correctly. We would provide you with payroll reports for the year and payslips for the individuals (would you need these for every month or is it possible to just spot check a month and if so is there a particular month that would be best for this?

We responded by referring the company to our long standing payroll expert in Italy who will handle this confidentially and without problem.

A USA based HR Manager asked:

"We are looking to hire an employee in another Japan. We currently only have employees in U.S. Can someone direct me as to how I might go about hiring him in another country, and paying him? We use ADP, and I believe they have a solution for global pay."

We answered by e mail recommending TWO partner companies in Japan and adding a document saying how to set up staffing in a new country.

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An HR Manager in USA posed a question on an HR website:

We are seeking recommendations for an International Employment Law (IEL) firm. Does anyone have an IEL that they have worked with? Specifically, we are looking for an IEL with experience in Uzbekistan, Bulgaria, Turkmenistan, Lebanon, Mexico.

We answered:
I can introduce you to accountants that have a robust knowledge of employment law in their countries and will certainly know individual law firms in their countries if an even more specialised knowledge is required. I have your e mail address so I will introduce you to a couple for Turkmenistan -which is I suppose the most obscure