Employer of Record:
How does it help improve employee experience?
In an era where, especially amongst millennials, the changing of jobs is becoming an ever more frequent occurrence, being able to retain employees is getting increasingly more challenging. With the sharp shift to remote working for many, being able to hold on to employees is no longer just about ensuring a good work social culture. Employees expect a smooth and engaging experience with their employer, if not, they don’t hesitate to look elsewhere.
Mark Baggs
Head of Global Expansion
What makes a positive employee experience?
The components which make up a positive employee experience are incredibly broad. From feelings of satisfaction towards the work they do, to feeling valued and secure within their organisation. A few key aspects which are required to enable most employees to have a positive employee experience, are:
- Effective communication between employer and employee during onboarding
- Good company culture
- A feeling of inclusion within the company
- An effective HR team
- A positive rewards and recognition process
- Transparency between the company and its employees
- Feeling of job security
- Learning and development opportunities
- Feeling valued by the company
- A good work life balance
Why is positive employee experience so important?
Alongside improving employee retention, providing a positive employee experience boosts company performance. According to a study by CAGE, happy employees are up to 20% more productive at work. It was found disengaged employees cost the US economy between $450 billion to $550 billion per year.
How you can improve employee experience with an EOR
When you’re expanding your business aboard, the extend of resources, time and money which is required to do this compliantly is substantial. As a result, the focus on employee experience, often takes a back seat for many companies.
With an EOR, they act as a legal employer, meaning they take care of the paper work, admin, legal requirements and contracts. When these arduous tasks are delegated, it means organisations have the time and resources to focus on their business strategy and employee experience.
Here are some key benefits that come with working alongside an EOR, which can improve your employee experience.
Improved benefits
Good employee benefits are vital in improving employee experience. Working with an EOR, they administer benefits including bonuses, reimbursements, health insurance, retirement plans and paid days-off on behalf of your organisation. They also ensure these are in line with the market in the country, ensuring employees remain protected and happy.
An employer of record also takes responsibility for paying your employees. This means, there’s no chance of an incorrect payment, they also ensure taxes, payroll, and regulations around leave are adhered to, too.
Navigating correct pay and benefits is challenging enough but doing so in a foreign country is complex and requires specialist knowledge. Working with an EOR to navigate the ever-changing environment enables teams to remain focused on managing the day-to-day tasks of their teams, rather than on attempting to managing the HR admin, alongside manage teams.
Onboarding
A smooth onboarding not only has a massive impact on employee satisfaction but provides the basis of their first impression of the organisation. When you work with an EOR, they take care of your employee onboarding. As experts in doing so, you can be safe in the knowledge your employees will receive a top tier experience when they join your company.
Further to this, a good employee onboarding helps improve retention rates. Research done by Glassdoor found that it can improve employee retention by 82%, and productivity by over 70%.
Offboarding
The last impression an employee gets of your company, is arguably as important as the first. With many websites like Glassdoor, LinkedIn and Google Business providing potential candidates with easy access into the experience of former employees, it’s important to leave a positive lasting impression.
A good EOR provides employees with a positive offboarding experience, ensuring all employees receive a well-structured offboarding. This helps the organisation to understand the reason for the employee leaving, which ultimately can feedback into an improved employee experience moving forward.
Plus, with a positive offboarding experience, former employees are more likely to provide better feedback about their experience both via word of mouth, and review sites. Positive feedback has a massive impact on attracting talent, according to a study by CareerBuilder, 79% of women and 61% of men would not apply to a company that had a bad reputation.
At Gibson Watts Global, we can mobilise your talent wherever they are in the world. Acting as an EOR to your employees, we can ensure your talent has a high-quality employee experience, from the moment they first engage with the company.
If you need help with the management of your overseas employers, don’t hesitate to get in touch with a member of our team today.