Are you considering hiring employees from abroad? Here are pros and cons you need to know before moving forward…
Across the world it is becoming more commonplace for businesses to hire people from aboard. This was in part, due to the COVID 19 pandemic which normalised remote working which has remained in place and become a popular preference for many businesses.
As a result of the increase in remote working, many more businesses are open to employing from abroad without the need for relocation for employees. However, there are still a number of debates about exactly how beneficial hiring abroad actually is for a business. For instance, how it affects pay scale, training, and communication practices.
Business immigration solicitors can help to manage many aspects of hiring employees from abroad including any visa queries an employer may have, but what are the key pros and cons a business needs to consider before hiring?
Advantages of Hiring Employees from Abroad
- Access to a larger talent pool
The primary advantage of hiring employees from abroad is that there’s a much larger pool of people to choose from. This often means that you’re more likely to hire an individual with the necessary skills, experience, knowledge base and work drive.
Employing the most talented people is a great way to grow your business, increasing profits and product ability.
Although the idea of hiring from abroad (especially if it’s for the first time) may seem daunting, with the help of a business immigration solicitor it can be a much more straightforward process.
- Increased business productivity
By hiring employees from abroad you can massively increase productivity. With employees all over the globe your business can run 24 hours a day with the help of time zones.
This can help to ensure that any problems are addressed immediately whenever it may happen. Additionally, you can build more credibility with clients and customers and provide top quality services whenever they are needed.
On top of this, you are less likely to see delays in projects or a lack of resources because there is always someone on the ground of your business to ensure things are up to date.
- Expanding into new markets
With the help of international employees your business will be able to expand into international markets.
Bilingual employees can help to minimise language barriers and improve communication as well as ensuring your service or products meet the needs and desires of your international customers.
You will also find that hiring employees from abroad gives you an insight into the etiquettes and legal requirements of international businesses.
- Diversification
A diversified workplace brings together people from across the world with different ideas, cultures, world views etc. This creates a space where new ideas can be created, and problems can be tackled with a fresh impulse.
From business plans, marketing ideas and financial strategies a diversified workforce can provide a new perspective into every aspect of the business.
Disadvantages of Hiring Employees from Abroad
- Local entity registration
When hiring an employee from abroad you may choose to hire someone to work remotely from their home country or relocate an international employee to your head office.
When needing to relocate an individual there are a range of matters that must be considered including things like local entity registration, settlement assistance, funding the relocation, work visas etc.
- Pay scale
It is necessary to pay your employees in local currency and to the correct standard. Managing international payrolls and tax can be incredibly challenging and you may need the assistance of a business immigration solicitor in order to assure that no mistakes are made.
Whilst countries’ pay scales can be considered a benefit to hiring people from abroad, the legal requirements for doing so can be complex.
- Onboarding and training
When an individual is not used to the local culture and work standards it can be challenging to adapt to a new position in a business.
While many think that language barriers will be the biggest challenge when training and onboarding a new employee it is often differences in workplace culture, technologies, remote working conditions and much more that causes the most difficulties.
- Employment opportunities
Hiring an employee from abroad can be incredibly beneficial both financially and professionally, however this practice can have a negative impact in some cases.
In some countries, large international businesses hiring the most skilled and impactful workers can impact the natural progression of the area. Additionally, if all companies hired employees from abroad excessively it causes a decrease of job openings in their nation.
Pros and Cons of Hiring Employees from Abroad
Overall, there are both pros and cons for recruiting people outside the UK. Because of this it’s important that you speak to the relevant professionals to ensure that your business is making the best choice for your unique circumstances.
Additionally, considering how these pros and cons may impact your business before you make any decisions can save your time and money in the long run.
Please be advised that this article is for general informational purposes only and should not be used as a substitute for advice from a legal professional. Be sure to consult a business immigration solicitor if you need support when hiring abroad. We are not liable for risks or issues associated with using or acting upon the information on this site.
