What could borderless hiring mean for your business?
If you’re having trouble finding those niche skill sets or the right talent fit, why not open yourself (and your talent pool) to hiring internationally?
What is borderless hiring? It’s where companies like yours bring on remote employees that work across different locations, international borders and time zones. The practice of borderless hiring has been gaining in popularity, too. According to Gartner, a global management consulting company, 58% of organizations worldwide (as of 2022) employ borderless tech talent.
So now - let’s do a little unpacking: What are the benefits of borderless talent acquisition to your business?
Well, for one, borderless hiring broadens your talent pool exponentially, gives you access to a niche or hard to find skills, and results in a more diverse team.
When recruiting remote talent, you can focus on the skills and expertise an employee will bring to your business, without all the headaches, delays and constraints of having to physically relocate that employee, sort out work permits - and more.
What to know before you make a borderless hire
Let’s say, for example, that you’re a tech startup based in San Mateo, California. Of course - you already have a solid talent pool to draw from, but maybe you’ve found an ideal candidate, and they happen to live in Canada. After all, Canada is one of the world’s foremost tech talent hubs!
Before you start firing over job offers, there are a few things that can’t (and shouldn’t) be overlooked when making a borderless hire.
- You need to ensure you’re in compliance with all federal and provincial labour laws, and have someone who can properly manage payroll, taxes, vacation, paid leave, etc., for your Canadian talent.
- You should be in a position to set up and manage comprehensive (local) health benefits and retirement savings plans.
- Don’t automatically assume that your remote talent will want to work as a contractor. In many cases, they don’t want the hassle of setting up their own business, or having to do invoicing and accounting. Instead, remote talent wants both the benefits, and the feeling that comes with being a full-time employee and part of your team.
- Plus, you can’t directly employ Canadians unless you have a legal entity in Canada.
Get the right support for borderless hiring
To make your borderless talent acquisition a success, it’s important that you get the right third-party support in place. This is what will allow you to enjoy all the benefits of remote talent without consuming countless hours parsing out provincial tax regulations or vacation entitlements.
The first - and most important - question is: Do you have a legal entity in Canada? If the answer is “no,” then you’ll need to work with an employer of record (EOR).
An EOR will act as the legal employer, making it easy to employ remote Canadian workers without having a physical or legal entity in Canada. As a legal employer, EORs are responsible for ensuring all Canadian employment, tax and health and safety regulations are followed and will administer health and retirement savings programs.
Additionally, an EOR will take on HR administration tasks, like employee onboarding, as well as payroll processing. You, on the other hand, are wholly responsible for the management and direction of the employee.
With an EOR in place, you gain the freedom to focus on the things that grow your business and generate revenue, while offloading time consuming, non-strategic functions.
Bridgewater TI: Your partners in borderless hiring
With our employer of record (EOR) services and cross-border hiring expertise, we make hiring Canadian talent a seamless, straightforward experience for your business. Let’s work together to make your cross-border talent acquisition ambitions a reality.
Talk to us today!
The information provided is for general informational purposes only and does not constitute tax advice. Please consult with a qualified tax advisor for advice tailored to your specific situation.
