A Global Employment Organization (‘GEO’), is a company that provides international employment solutions for multi-national companies. It is increasingly common for successful enterprises to seek to expand and hire workers overseas: It has been estimated that by 2025, half of Fortune 500 companies may have an outpost in an emerging market. Here we define ‘Global Employment Organization’, set out the key benefits of a GEO solution, and contrast them with global employment outsourcing.
1. A Global Employment Organization (‘GEO’) provides employment and contracting solutions for businesses around that engage staff around the world.
2. Global Employment Organizations are adept at acquiring top international talent for your business.
3. Global Employment Organizations ensure that you can acquire staff quickly, and in full compliance with the law, wherever they are located.
4. Global Employment Organizations can set up separate entities or subsidiary companies for enterprises operating in other countries.
5. Global Employment Outsourcing is one of the expansion solutions commonly offered by a Global Employment Organization.
What is the Definition of a Global Employment Organization?
A Global Employment Organization (GEO) helps international businesses employ workers overseas. GEOs ensure that multi-national companies employ workers in full compliance with employment and tax laws, as well as making international human resources and payroll more efficient.
Sometimes the term ‘GEO’ is used to mean the same thing as ‘Global PEO’. A Global PEO is a company that becomes the legal employer, or ’employer of record’ for staff, ensuring labor law and tax compliance for those companies.
For more on the definition of ‘PEO’ see ‘What does PEO stand for?‘
While a GEO usually does provide Global PEO solutions, they also provide a range of other service. Those services usually include:
In short, a global employment organization is an international expansion partner with a broad range of solutions for businesses engaging a workforce overseas. GEO is especially beneficial for businesses that need a package of services for their international expansion. For example, following Brexit, UK businesses unable to hire EU workers might benefit from a range of recruitment, global PEO and subsidiary set ups, in different EU countries.
Below we set out three key benefits of using global employment organization solutions.
Global Employment Organization Benefit 1: Talent Acquisition
Any good business leader knows that to have a strong and stable company, it is necessary to find the right people to cover important roles. In today’s increasingly global world, companies do not have to limit themselves to local talent when filling these roles.
By partnering with a GEO, organizations have access to international recruitment networks: This means access to a worldwide pool of candidates. It is through assessing both local candidates and foreign candidates that companies can find the most suitable overseas employees.
A GEO with an international recruitment team offers the following benefits for international businesses:
Your recruits can fill important functions within your company, such as:
Any good GEO will customize a recruitment project to match your company needs , enabling you to target candidates that have the right education, experience, and background to advance company goals and integrate well into your existing staff.
Global Employment Organization Benefit 2: Quick and Compliant Staff Hire
Many companies that implement an international expansion strategy decide to expand globally when they have brand recognition and have received positive publicity about their innovation, superior services, or insight into their customers’ needs.
Taking advantage of being first to market can often provide a strong foundation for later growth. Therefore, companies need to be prepared to deploy staff quickly in a compliant manner to take advantage of their new opportunities.
Global staffing solutions – often a Global PEO or an Employer of Record (EOR) – are often the best tool offered by a GEO for deploying staff quickly and compliantly.
In today’s fast-paced world, you cannot afford to wait until after a new opportunity emerges. A Global employment organization enables you to onboard staff overseas without the burden of establishing a local subsidiary or company.
GEO solutions allow you to eliminate the need to manage administrative functions so that you can focus solely on your international expansion and core competencies while delegating tedious oversight tasks to a trusted expert.
You also gain the advantage of being able to compete with larger businesses while scaling your business in a quick and compliant manner.
GEO and staffing solutions services usually include:
Global Employment Organization Benefit 3: Entity or Company Establishment
To achieve the greatest amount of flexibility and to plan for long-term growth, many businesses will want to establish a legal presence in the countries where they expand.
Long-term growth demands careful planning of how to use resources, conducting market research, and establishing checkpoints for the company’s expansion.
Top GEOs provide entity and company incorporation solutions to assist you to:
What Is Global Employment Outsourcing?
Sometimes the term ‘global employment organization’ is confused with the term ‘global employment outsourcing’, which is unsurprising given that the initials (‘GEO’) are the same. So what exactly is the different between the two? To answer that question it is establish what exactly outsourcing involves.
Many functions of an enterprise can be outsourced: That is, the enterprise contracts with a third party to carry out a particular function or operation. A common example of outsourcing is Business Process Outsourcing (BPO): This covers, for example, the outsourcing of accounting, IT, human resources, or payroll. ‘Front office’ functions can also be outsourced: For example, the outsourcing of customer relations or sales. A crucial element of your international human resources (HR) strategy needs to be a decision on which processes and functions to outsource.
Businesses decide on global employment outsourcing when they decide to outsource the employer function, and all the compliance and payroll responsibilities that come with that. This is the same as a ‘Global PEO’ or ‘Employer of Record’ solution. With this in mind, there are two key differences between global employment outsourcing and a global employment organization.
First, most global employment organizations provide global employment outsourcing, but they may not do so in every country or region. For example, some global employment organizations when operating in such as the United States, offer ‘co-employment’ staffing solutions. That is, both the client company and the third party take on some level of legal responsibility for employees. This means, for example, if a PEO fails to perform its legal duties in the United States, the client company may still be found liable.
Second, a global employment organization offers more than global employment outsourcing. Global employment outsourcing is just one of multiple expansion solutions offered by a global employment organization. They also often provide recruitment, payroll, HR and immirgation/visa services, for example.
Where to Get Help from a Global Employment Organization
New Horizons Global Partners is a global employment organization. They can assist with all aspects of your international expansion, whether you want to find the right talent, hire staff quickly and compliantly, and/or set up a company in a foreign country.
Contact us today to find out more about our global employment organization solutions and how we can help make your expansion a success.