Teleworking has spread during the pandemic and, in many cases, has become established as a company policy in many organisations. Teleworking can take place between companies and employees located in the same country or between companies located in one country and workers in another, although there is no legislation specifically regulating this situation.
We have prepared a series of articles in which we address the three main options for companies and employees for offshore teleworking. In this first article we discuss the possibility of working as an employee through an intermediary company.
Option C: Working as an employee through an intermediary company
This is a little-known option, but one that is becoming increasingly popular in the market. It involves the entry of a new player in the employer-employee relationship.
An intermediary company based in the country where the teleworker resides hires the teleworker. In this way, it can take over the teleworker's obligations as an employer in the country at no extra cost. On the other hand, it bills the costs associated with the worker and a commission to the company abroad. The employee continues to provide services to the company for the company abroad, but the employment relationship is established with the intermediary company.
This option has several advantages:
- It offers guarantees to the worker, who maintains his or her status as an employee and the advantages related to this modality.
- It has a lower cost for companies than having an office in the country where the teleworker resides.
At RemotEU we have contacted several intermediary companies to find out how it works. If you want more information, you can contact us through our contact form.
And if you want to check the other two options to telework for a company abroad, you can access through these links: