Hiring employees in the Philippines can give businesses access to skilled professionals across technology, customer support, finance, operations, healthcare, and other industries. However, international employers need to manage local employment laws, payroll, statutory contributions, benefits, leave, contracts, and other workforce responsibilities. An Employer of Record in the Philippines provides a way for businesses to hire employees without establishing their own legal entity in the country.
This guide explains how Employer of Record services work in the Philippines and what businesses should consider when building a Filipino workforce. An EOR can legally employ and onboard workers while managing important employment administration, payroll, benefits, and compliance responsibilities. The business continues to manage the employee’s day-to-day work, responsibilities, projects, and performance. Global Squirrels
Businesses hiring in the Philippines also need to understand worker classification. Employees and contractors can have different legal requirements, and incorrect classification can create financial and compliance risks. The guide explores different employment arrangements, including full-time, project-based, seasonal, fixed-term, probationary, and contractor relationships. Global Squirrels
Payroll is another important consideration for international employers. Philippine employment administration can involve salary payments, allowances, overtime, 13th-month pay, tax withholding, and statutory contributions. Employers may also need to manage registrations and contributions involving organizations such as the Social Security System, PhilHealth, and Pag-IBIG Fund. Global Squirrels
Employee benefits and leave requirements are also important when hiring in the Philippines. Depending on the applicable requirements and employment arrangement, businesses may need to account for statutory benefits, maternity and paternity leave, service incentive leave, solo parent leave, and other employee entitlements. Global Squirrels
Using an EOR can help businesses avoid the time and expense associated with establishing a local entity while simplifying employment administration. Global Squirrels provides EOR services in the Philippines that support hiring, onboarding, HR administration, payroll, benefits, compliance, timesheets, leave management, and other aspects of managing a remote workforce. Global Squirrels
Whether you are hiring your first Filipino employee, building a remote support team, expanding your technology workforce, or creating a larger international team, understanding the Philippine employment environment is essential. Explore this guide to learn how EOR services can help simplify hiring and managing employees in the Philippines.