What Is Employer of Record (EOR)? | HR Glossary | BambooHR
A third party that legally employs staff on a company's behalf, often to enable hiring in another country.
An Employer of Record is an organisation that formally employs workers on behalf of another business, taking on legal responsibility for payroll, tax, benefits and compliance while the client directs the day-to-day work.
EORs are widely used to hire in countries where a company has no legal entity, letting it engage international talent quickly without setting up a local subsidiary.
The trade-off is cost and a layer of separation from the employment relationship, so the model suits testing new markets or engaging a small number of remote staff abroad.
