The topic of compliance is not simple affair for companies starting to think about ‘true’ distributed work. Every country, and sometimes even regions within countries, have their own intricate rules and regulations. But when you’re the co-founder of a company like Omnipresent, which helps businesses manage a global remote workforce, you get a good grip on the fundamentals. Matt Wilson, CEO at Omnipresent, steers companies through the process and below are his 5 basic watch-outs to avoid common pitfalls.
1. Understand Local Laws, Don’t Just Acknowledge Them
It’s one thing to be aware that different countries have various laws; it’s another to fully grasp what those laws mean for your company. Whether you’re hiring in the US, France, Singapore, or Nigeria, every country has its specific labor laws, tax obligations, and employee rights. Take the time to understand these or partner with experts who do.
2. Recognize Cultural Nuances
It’s tempting to see the world as a homogenous place when you’re operating from the comfort of your desk. But, as Wilson points out, each country, state, or sub-region can vary vastly. Not just legally, but culturally. This means, what’s a standard work expectation in one region can be a taboo in another. Knowing these subtleties is key to prioritizing the well-being and rights of your employees.
3. Create a Localized Employee Experience
Offering the same benefits package to a remote worker in France and one in Nigeria won’t cut it. While healthcare might be a top priority for a US employee, someone in France might not have the same concerns. As Wilson rightly says, the key is to localize. Know what appeals to each demographic and tailor your offers accordingly.
4. Tackle Taxation Head-On
If you think understanding local laws is tricky, brace yourself for international taxation. It’s a minefield that can trip even the most seasoned businesses. Be proactive. Understand the tax implications for every region you hire in, and plan accordingly. Avoiding nasty surprises down the line begins with diligent preparation today.
5. Choose the Right Partners
You’re not expected to be an expert on every country’s labor law or tax code. But if you’re going to operate globally, you need experts by your side. It’s not just about ensuring compliance but about being the best employer you can be, irrespective of geography. Wilson’s own Omnipresent was built with this vision—to assist companies in navigating the global landscape with ease.
Hiring globally is undeniably a superpower. You’re not just confined to the best talent in your vicinity—you have the world at your disposal. But it comes immense responsibility. To be compliant locally, manage taxes efficiently, and offer the best employee experience across the board is not a choice but a necessity.