Starting a company is a big step. When it comes to expanding a company, it is impossible to limit oneself to one’s resources. Therefore, companies need to hire employees permanently. Doing this for the first time is tricky as you must follow all the necessary incorporation rules.
If the employer needs to gain experience hiring employees, you can always use employer of record services that will help you get it right. In addition, employer of record services offers customized services to companies that plan to stay the same from physical to legal work since it is the change to a legal business that needs to be done to hire employees.
Creating new jobs is one of the most demanding tasks for an entrepreneur. The information sheet gives you a starting point on what to consider when hiring an employee.
The contract must be legally correct. This is important for both the employer and the employee. The contract should specify the working conditions, the obligations of the employee and the employer, and the amount of wages.
In principle, employment contracts concluded verbally are also legally binding, but a written employment contract is recommended for evidentiary purposes. The law obliges employers to provide the employee (except temporary assistance for a maximum of one month) with a signed written report with the following points no later than one month after the agreed start of the work to hand in: start and end date of the contract, number of vacation days, what additional costs the company will bear in terms of payment, terms of termination of the agreement, obligations of the employee and the company.
The employment contract may agree and regulate additional points such as probation period, obligation to work overtime and its payment, confidentiality obligations, compatibility, travel expenses, exclusion periods for claims from the employment contract, or termination at the end.
If you are starting out in a firm and need employees to hire, you can seek outside firms’ help with hiring employees. These firms are official and legally registered. The procedure for onboarding a new employee is done through an intermediary firm. A contract is drawn up that specifies the terms and conditions of cooperation. With the help of such companies, the firm can handle the official recruitment of employees. The intermediary firm assumes the obligations of registration, recruitment, and selection of qualified specialists. In this case, you can hire temporary employees and do not worry about the legal part of the issue. The intermediary firm takes everything over.