Converting a Contractor to a Full-Time Employee: A Guide for Overseas Employers

​In a recent trend, both companies and workers have begun to favor an independent contractor role over that of a formal employee, especially for a remote position abroad. There are a number of reasons for this including more autonomy for the worker, and cost savings for the company. It is well known that hiring a contractor has a lower overall cost than an employee, as well as more logistical ease and flexibility.

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Feb 28, 2019
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In a recent trend, both companies and workers have begun to favor an independent contractor role over that of a formal employee, especially for a remote position abroad.  There are a number of reasons for this including more autonomy for the worker, and cost savings for the company.  It is well known that hiring a contractor has a lower overall cost than an employee, as well as more logistical ease and flexibility.

If your company currently hires overseas contractors for various roles and projects, at some point it may make sense to bring them on as a full-time employee.  This will depend on the worker’s preference and your business needs, but if those match up then an employee role could be better for both parties.

Aside from the motivations, there is transition process that can be bit more complex than simply hiring and onboarding a newly recruited employee.  This guide will outline some of the steps involved and challenges your company might encounter when transitioning a contractor to an employee role.

Advantages for the Company in Transitioning the Contractor

In most cases, the overseas contractor will be a resident in the foreign country, initially engaged as a remote worker or for specific projects.  This can be a good arrangement to begin the work relationship and see how the contractor performs and interacts with your company, whether in a sales role, customer support or technical specialties....read more

Shield GEO makes international employment simple. Our customers use Shield GEO to employ and payroll hundreds of workers in over fifty countries. Find out more. 

Go to the profile of Tim Burgess

Tim Burgess

Director, Shield GEO Services Ltd

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