Editorial Guidelines
Employer of Record (EOR) services companies, a relatively new form of HR outsourcing providers, have exploded due to the rise of remote work cause by the Covid-19 pandemic. Such EOR providers a cost-effective and compliant way for ambitious companies to hire internationally.
But an industry that started out as, perhaps, a dozen providers in 2016, now counts literally hundreds of providers across the globe. For decision makers looking to find the right EOR match, it’s becoming more and more challenging to see how the EORs differ from each other, and to work out which EOR is the best for their business
As veterans of the EOR industry, we have seen first-hand the challenges that face clients: hidden fees, lack of transparency in subcontracting to third-parties, overpromised service delivery, slow response times, offshore services centers, and a poor compliance record, to name just a few.
With Employsome, we have created a truly independent platform driven by genuine industry expertise. This platform means you can choose an EOR based on real prices, actual services, and compliance record, not just what they claim on their website, paired with our insider knowledge of actual EOR operations.
We’ve spent thousands of hours vetting hundreds of providers, so you don’t have to: Our mission is to shine a light on the EOR industry and provide the real information that startups, SMEs and HR managers need to make the best decisions possible.
Our Review Methodology
When we review providers, we follow a methodology set out below:
1. Research
We identify EOR providers, both ones with a strong online presence, and those well-known only within their region. We check how their operations and pricing are presented online and in publicly available materials.
2. Provider Outreach
We reach out to providers directly, speak to them and review their documentation. We do this using a different company name in order not to create biased sales processes as we want to get the realistic outcome as possible. Also, we don’t accept provider statements at face value simply because every single EOR out there is talking compliance. In fact, we challenge their claims and verify their operational model.
3. Independent verification
We verify entity registration details online or in government databases. Where possible, we also verify any licensing or EOR registration details.
4. Writing and editorial review
Our independent reviewers write up their analysis of the provider drawing on all the information gathered above, which is then independently fact-checked by an EOR expert.
5. Publication and updates
Once published, all guides and reviews on our site are regularly updated as new information on the provider comes to light. Providers regularly contact us to provide us with updated information.
How We’re Scoring EORs
As mentioned above, our mission is to bring an independent data-driven approach to EOR comparisons. To reflect that, we’ve created two scorecards to evaluate EORs. Our goal throughout is to make EORs truly comparable.
For example, one EOR might focus on a cutting-edge tech platform, another might be focused on providing expertise services in only a handful of countries. While this may be a big difference in their operational model, it doesn’t mean that one provider is clearly better than the other. Both approaches come with advantages and disadvantages that we’re trying to highlight within every provider review or country comparison.
Our Global EOR Score
Our evaluation framework is built on years of hands-on industry experience having dealt with hundreds of EOR projects and customers globally. Over time, we’ve identified a clear set of factors that, according to our experience, determines whether an Employer of Record performs well in practice and not just on paper.
The Employsome Global EOR Score reflects an average star rating across four five categories:
✓ Global Coverage & Services. We look at the coverage and operational model of an EOR: In how many countries are they present? Are they operating through an owned entity infrastructure or are they outsourcing to local in-country EOR partners? (read our guide on “Owned Entity vs. In-Country Partner: What’s a Better EOR?“) Furthermore, we look at what the provider offers beyond EOR such as recruitment, global payroll consolidation, independent contractor management, or immigration support. These add-ons often define how well an EOR can scale alongside business or whether they’re better used in a single country only. (Rated 1–5 stars, with 5 being the best))
✓ Pricing & Transparency. We assess how clearly an EOR discloses its full pricing structure. Some providers advertise and present attractive base fees (e.g. from $199!) but hide additional, highly relevant costs such as offboarding fees, off-cycle payroll charges, or foreign exchange markups. Our focus here isn’t whether a provider is “cheap” or “expensive,” but how transparent and predictable their pricing really is. We’ve heard too many stories of companies being “ripped” off by EORs. (Rated 1–5 stars)
✓ Payment & Contract Terms. We look at the flexibility of the provider’s agreements including minimum commitments and how easy it is to offboard an employee or notice period terminate the service. We also consider invoicing schedules (e.g. when you receive the invoice), payroll cut-offs (e.g. how much time you have every month to add payroll changes such as variables or expenses), and payment terms/methods. (Rated 1–5 stars)
✓ Customer Experience & Support. With many newly launched global EORs out there, this is often the most decisive factor. We review how an EOR delivers support once employees are onboarded, how accessible their team is, and how quickly issues are resolved. Strong EORs provide a proactive, human experience and not just software. (Rated 1–5 stars)
✓ Platform & Integrations. We take an in-depth look at the EOR’s software platform and its features offered: contract generation, onboarding flow, payslips, compliance automation, reporting, and integrations. (Rated 1–5 stars)
Our Country EOR Score (aka On-The-Ground Score)
In addition to the Global EOR Score, we have developed the Local EOR Score, also sometimes referred to as the On-The-Ground Score. Here we assess EORs based on how they perform in a given country and the type of service level they provide onsite. This score does not take into consideration components like price or technology as our focus is only on local service level, so you get to understand what you’re getting in-country. For example, an EOR could score 4.9/5 in Canada while scoring only 3.5/5 in Germany because it might be operating without an AÜG license locally, which will affect its local Germany rating.
This also helps in vetting how a global EOR covers all countries in case you’re hiring in numerous markets, while also giving you the opportunity to identify “hidden gems” in specific markets.
The overall Local EOR Score is then calculated based on the average score of six categories:
✓ Entity Ownership. Does the provider run their EOR service using their own legal entity or are they subcontracting to another third party? If they are sub-contracting, are they sub-contracting to a reliable local provider? (Rated 1–5 stars)
✓ Onboarding Speed. How quickly can an EOR finalise the administrative onboarding of your employee? Most decision makers consider it most important to have employees registered and put on a local payroll as quickly as possible and without any delays. (Rated 1–5 stars)
✓ On-Site HR Support. Does the EOR have a local team on the ground in the given country or are they centralising their operations and support from somewhere else? (Rated 1–5 stars)
✓ Visa & Work Permit Support. We check whether the EOR can support with onboarding of non-local Nationals and handle the end-to-end immigration process. (Rated 1–5 stars)
✓ In-Country Compliance. To the best of our abilities, we assess the local operation and licensing models of an EOR in-country e.g. as Portage Salarial in France, a consulting setup in Spain, under an AÜG license in Germany or through a Quebec legal entity in Canada (Rated 1–5 stars)
✓ Local Add-Ons. What does the EOR offer beyond the basic scope locally? This will provide a better overview of the EOR’s local expertise and service coverage. (Rated 1–5 stars)
Our Content Standards
When we review providers, we commit to the following:
Objectivity. We are 100% independent and not owned or affiliated to any EOR or payroll company. Our goal is to educate and inform, not to promote any particular provider. Where a provider has a sponsored placement on a page, this is clearly indicated.
Accuracy. We’re vetting every single EOR that we’re listing on our platform through intense research and verify information before publication. Our review methodology is the result of hard work and dedication towards providing our readers with the most accurate information that’s publicly available. We strive to update all reviews and guides monthly, and will respond promptly to corrections offered by providers.
Clarity. Other comparison sites can use confusing language to describe providers: Are they a PEO, or an EOR? Are both the client company and the EOR legally liable for employees? Does an EOR remove permanent establishment risk? We strive to be clear and make EOR services easy to understand for our readers. And to be frank: An EOR solution is not always the perfect solution and does have some compliance issues in a handful of countries. That’s why we keep our reviews and guides as short, precise and as relevant as possible to your decision-making process.
Expertise. All reviews are written by people with HR industry experience, and reviewed and fact checked by experienced professionals from the EOR industry.
Affiliate Disclosure
Employsome is truly independent comparison site. Our goal is to give businesses clear and objective information when choosing HR partners. To support our work, we sometimes include links to third party providers. If you click on these links and make a purchase or sign up for a service, we may earn a commission.
It’s important to mention that any commissions or fees do not influence our reviews or rankings. We do not accept payment for favourable rankings and aim to keep all information accurate, unbiased and up to date at all times.
By using Employsome, you acknowledge that affiliate links may be present. If you prefer not to support our site in this way you can choose to visit provider websites directly without using our links.
For any questions, please reach out to us. We’re always happy to support.