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21 min read

What is a Global PEO? Definition, Benefits, and Best Services

Global PEO Services
21 min read

What is a Global PEO? Definition, Benefits, and Best Services

VERDICTHorizons is the best Global PEO in 2024, rated 9.6/10. It stands apart from other Global PEOs through genuine local expertise, competitive pricing, and international coverage. 

Best Global PEOs

Of the 64 Global PEOs assessed in our tests, these are the 10 best ranking:

What is a Global PEO?

A Global PEO company, also known as an International PEO, is an HR provider that supports companies in hiring and onboarding employees internationally without setting up a local subsidiary.

The global PEO becomes the administrative employer, overseeing hiring, onboarding, and payroll. The client company becomes the operational employer, supervising employees daily. 

A global PEO is similar to an Employer of Record, and these two terms are often used interchangeably

In preparation for this article, we have assessed 64 providers to arrive at the Top 10 Global PEOs for 2024. Keep reading to learn about the benefits each offers!

How to Select a Global PEO Company

Comparison of the Best Global PEO Companies of 2024

The table below compares our recommended TOP 10 Global PEO companies based on their user ratings, pricing, coverage, and other services.

  Horizons Remote Deel IPS Atlas Rippling Talent500 Agile Velocity Global
  logo black 1 Remote logo deel IPS alts 300x181 1 rippling logo oyster seeklogo.com Agile EOR logo 01 velocity logo new
Ranking 1st 2nd 3rd 4th 5th 6th 7th 8th 9th
RemotePad Score 9.6/10Best Global PEO 9.4/10Best for Compliance 9.3/10Best Global PEO Platform 9.2/10Best Global PEO + Payroll  9.1/10Best For Direct Hire 9/10Best Global PEO For Integrations 8.8/10Best For Risk Management 8.7/10Best Global PEO App 8.7/10Best for Enterprise
G2 Score 4.9/5 4.5/5 4.6/5 N/A 4.4/5 4.8/5 4.4/5 4.4/5 N/A
PEO Price $299+ $599+ $599+ N/A $595+ N/A $499+ $599+ $599+
Countries 180+ 100+ 150+ 120+ 180+ 180+ 180+ 180+ 180+
Other Services Contractors, Global Payroll, Recruitment, Visa Support Contractors, Global Payroll Contractors, Global Payroll, Visa Support Contractors, Global Payroll Contractors, Global Payroll Contractors, Global Payroll Contractors, Global Payroll Contractors, Global Payroll, Visas Contractors, Global Payroll, Visas
Review Horizons Review Remote Review Deel Review Coming Soon Atlas Review Rippling Review Oyster HR Review Coming Soon Coming Soon

How We Assessed the Top Global PEO Companies

Learn more about the review and ranking factors that affected our conclusions on the top global PEO companies:

Factor Explanation Importance
Global Reach The number of countries the PEO has established operations in, and the depth of their local expertise within those countries.
A wider global reach ensures you can expand your business into new markets with ease, and the PEO can handle the complexities of local labor laws and regulations.
Service Offerings The specific HR functions the PEO handles, such as payroll, benefits administration, compliance, risk management, recruiting, etc.
Choose a PEO that aligns with the areas of HR support your business needs – a comprehensive PEO is great, but you might not need all their services.
Technology Platform The quality and ease of use of the PEO’s technology, including self-service portals for employees and managers.
A strong platform streamlines HR processes, saving you time and increasing efficiency within your organization.
Industry Specialization Whether the PEO focuses on specific industries and has tailored expertise in those sectors.
If you operate in a niche industry, a PEO with industry-specific knowledge brings significant value and ensures compliance within your field.
Pricing Structure The pricing model (percentage of payroll, per-employee fees, etc.) and transparency of costs.
Understanding how fees are calculated helps you budget effectively and avoid hidden charges. Look for straightforward pricing.
Customer Service & Support The responsiveness and quality of support, along with the availability of dedicated account representatives.
When outsourcing HR, you need a PEO with reliable customer service for troubleshooting and complex issues.
Reputation and Reviews Reviews from past and current clients, as well as overall industry reputation.
Testimonials on review sites and the PEO’s standing in the industry are strong indicators of overall client satisfaction.
Certifications and Accreditations Certifications such as ESAC (Employer Services Assurance Corporation) or IRS Certified PEO, and other industry accreditations.
Certifications show the PEO adheres to industry best practices, sound financial controls, and stays compliant with regulations.

Best Global PEOs

Based on our analysis of 64 international PEOs, here are our findings on the Best 10 Global PEO providers in 2024 below. Note that each global PEO service provider was rigorously assessed on the above criteria and additional factors as required for ranking best PEO services.

Best Global PEO

1. Horizons 

Horizons is a Global PEO that enables companies to hire and pay employees virtually anywhere. With coverage in 180+ countries, Horizons has regional headquarters in the United States, Germany, China, and Singapore.

While many global PEOs subcontract most of their work to local providers, Horizons operates through wholly-owned subsidiaries with genuine local expertise. Whether hiring in Shenzhen, Delhi, or Berlin, Horizons will ensure that you can quickly hire and pay your distributed team in full compliance with the law.

Horizons Global Employer Organization
Hire anywhere in the world, with Horizons

Key Features

Global Coverage The Horizons Global PEO solution means you can hire in 180+ countries without needing a local entity or subsidiary.
Platform The Horizons SaaS platform enables you to hire employees, onboard them, and pay them easily in any required currency. 
Add-on Services Horizons doesn’t just hire and pay employees. They also provide in-house talent acquisition, premium health insurance options, contractor payment, work visa support services, and more. 

Pricing

Global PEO Pricing varies by region but begins at $299 per employee per month.
International Contractors $49 per month per contractor.
International Recruitment 2% of gross salary per month.

Pros

  Clear Pricing Prices are all set out on the Horizons website, beginning at $299 per employee per month
  SaaS Platform The intuitive Horizons platform makes it easy to check on payroll processes, pay employee bonuses, and manage expense reimbursement. With such a strong platform, Horizons has also been ranked the number one provider of PEO software. 
✓   Premium Add-Ons A full suite of employment solutions includes work visa support and concierge services, contractor management, and recruitment. 
✓  Employee Benefits With health insurance and Horizons Health, Premium employee benefits offer standard and premium coverage worldwide. 

Cons

 No Payroll-Only Sometimes, client companies already have a subsidiary in the country of hire but need a partner to handle HR and payroll. Horizons does not offer full international coverage for the payroll-only option but is rolling this service out worldwide. 

The 'Wow' Factor

Horizons stands apart from other global PEOs with its commitment to a wholly-owned hiring infrastructure and a host of premium add-on services. Horizons does not just offer the ‘one-size-fits-all’ PEO solutions sold by other providers.

Verdict

With full international coverage and a range of additional HR solutions, Horizons is ideal for companies needing a fast and efficient solution without costly add-ons.

That makes Horizons our pick for the Best Global PEO

💡 Read more about how Horizons can benefit your company in our 2024 Horizons Review.

Best Global PEO for Compliance

2. Remote

Remote is a market leader in Global PEO and Employer of Record services.

Remote offers a premium international hiring solution, only providing hiring services through wholly-owned subsidiaries/entities of Remote. This means client companies get the highest level of compliance assurance and protection. 

Remote Employer of Record
Remote Global PEO (Image: Remote)

Key Features

Direct Hiring More than just a co-employer, Remote hires employees through its subsidiaries located worldwide. As Remote doesn’t subcontract, you only have to deal with one entity if anything goes wrong. 
API and Integrations Remote offers clients and partners their software and infrastructure as an API. This means partner companies can easily integrate the Remote platform into their enterprise software solutions.
HRIS Remote offers a free Human Resources Information System (HRIS). This system allows both client companies and employees to easily oversee all payroll and HR matters. 
Remote Talent Marketplace Remote introduced ‘Remote Talent‘ in late 2023, allowing international businesses to advertise job vacancies through Remote’s job board. This way, Remote supports businesses through the entire hiring lifecycle — from job ads to hiring to onboarding. 

Pricing

Global PEO/EOR Pricing begins at $599 per employee per month.
Contractors $29 per month per contractor.
Global Payroll $50 per employee per month.
HRIS Free.

Pros

  Own Subsidiaries Remote only hires employees through wholly-owned subsidiaries, so ‘subcontractor risk’ is eliminated. Remote takes full employment compliance responsibility.
IP and Data Protection All data and client company IP are controlled directly by Remote. This means a reduced risk of data breach or IP theft compared to working with multiple parties. 
✓  Clear Pricing Remote charges $599 per employee for its Global PEO /EOR services, $29 per contractor for contractor hire, and $50 for outsourced payroll. All prices are transparent on Remote’s pricing page.
✓  Contract Creation Remote offers fully compliant and automated draft labor contracts, enabling you to hire quickly. 
✓  US Payroll  Remote supports US payroll processing through collaboration with Gusto, ‘Gusto Global, powered by Remote. ‘

Cons

 Coverage Remote only hires employees in countries with wholly-owned subsidiaries, so it does not provide universal coverage. As of January 2024, Remote hires employees in 82 countries only. 
Expensive The price of $599+ per employee may be too expensive for smaller businesses and startups.

Unique Selling Point

Remote offers a ‘full stack’ international hiring platform. This means it has built its operations from the ground up. It does not depend on hiring partners and never has. By owning all its own entities and all elements of the platform, client companies need not trust just one partner for their international hiring needs. 

Verdict

Through a wholly-owned infrastructure, Remote offers unrivaled security and assurance for clients in the global PEO market. However, it only provides services in some locations, which may make remote access inappropriate for some businesses. Furthermore, its pricing may make it less appealing to smaller companies with limited funds. 

For its commitment to customer protection and adherence to the law, Remote is our pick for the Best Global PEO for Compliance

💡Read more in our detailed review of Remote’s Global PEO solution

Best Global PEO Platform

3. Deel

Deel is a market-leading Global PEO provider that manages all aspects of international hiring and HR. Founded in 2018, Deel is a highly successful global PEO — valued at $12 billion in early 2023 with an annual recurring revenue of $400 million (January 2024). 

Deel Global PEO
Deel Global PEO Platform (Image: Deel)

Key Features

Global Coverage Deel’s Global PEO solution is offered in 150+ countries using its entities and trusted sub-contractors. 
A Full HR Solution As a global PEO, Deel supports not just co-employment/EOR but also contractor and global payroll solutions for clients needing other HR and payroll solutions. 
HRIS The ‘Deel HR’ HRIS is market-leading, supporting employee hiring and payment through multiple pathways. Deel is the only global PEO platform that allows seamless management of EOR/co-employees and direct employees alongside outsourced payroll and independent contractors. 

Pricing

Global PEO Prices start from $599 per month per employee, depending on the country of hire.
Contractors $49 per month per contractor.
Global Payroll/US PEO Request price by custom quote.
HRIS Free.
Immigration Request price by custom quote.

Pros

Deel API & Integrations Deel integrates its global PEO offerings with a range of accounting software (including Xero and Intuit Quickbooks), HR platforms (like BambooHR), and payments platforms like Wise and Coinbase. 
Flexible Payments Deel offers seven payment methods for employees and contractors, including cryptocurrencies, and 15+ payment methods for clients.
Data Security Deel operates a robust platform with enterprise-level security, including GDPR compliance, SOC2 compliance, and rigorous KYC checks.

Cons

Reputational Issues

Early in 2023, a California State Senator made allegations that Deel intentionally misclassified employees and advised other companies to do so. Deel also faced a formal complaint that it had been offering a PEO solution in Florida without a license permitting it to do so

Note that Deel vehemently denies all allegations of improper conduct.

The Deel 'Wow' Factor

Deel’s global PEO platform SaaS enables businesses to replace 16 HR tools with one service. Whether your business needs global PEO, local US PEO, payroll, contractor payment, or visa support, Deel is there to help. No other Global PEO provides such a range of support in-platform

Verdict

Deel is an undeniable leader in Global PEO services and a wise choice for businesses seeking a centralized platform for their HR and payroll worldwide. With the strength of their Deel HR platform, we judge Deel to be the best global PEO platform. 

💡 To learn more about them, read our detailed Deel review.

Best International PEO + Payroll

4. International Payroll Services (IPS)

International Payroll Services (‘IPS,’ also known as ‘HRsolution International’) is a global payroll and Global PEO provider operating in more than 120 countries. Founded in Germany but providing services throughout Europe, IPS is the ideal partner for companies needing flexible HR and payroll support

IPS Global PEO Services
IPS Global PEO (Image: IPS)

Key Features

Global Coverage IPS PEO and payroll solutions are offered in 120+ countries, supporting your international expansion in your country of choice. 
 Global Payroll In addition to global PEO solutions, IPS provides outsourced payroll services to companies with a legal entity in the country of hire. 
Employer of Record IPS is also an Employer of Record (EOR), acting as the legal employer of your team overseas and taking on employer liabilities.  

Pricing

Global PEO Prices are available by custom quote.
Payroll Prices are available by custom quote.

Pros

 Flexible Solutions  Whether you have an entity in your country of hire or not, IPS can support your company.  
 Cost-Effective As a common ‘in-country partner’ of many other international PEOs and EORs, IPS often provides a more affordable service by “cutting out the middleman.” 
 ‘Virtual Company’ Solution In some countries, such as Germany, it is possible to operate and trade in-country in full compliance with the law without setting up a legal entity or subsidiary. Instead, a local branch of the foreign company is registered with authorities. This is usually more cost-effective and less risky than setting up your own subsidiary. IPS can support you with this. 

Cons

 Does Not Cover Every Location

While their coverage is broad, IPS currently supports hiring and payroll in 120+ countries — this means fewer locations than some other providers. 

The International Payroll Services 'Wow' Factor

IPS supports your company with global expansion solutions, including global PEO, EOR, payroll outsourcing, and ‘virtual company’ solutions. This means maximum flexibility for fast-growing international companies. 

Verdict

International Payroll Services (IPS) offers market-leading payroll and global expansion solutions. For its multiple expansion solutions, we judge IPS as the Best International PEO + Payroll provider

Best for Direct Hire

5. Atlas HXM

Atlas (also known as ‘Atlas HXM’) is distinct from other global PEOs in being the direct legal employer in every location where it does business. This means it only hires through owned entities/subsidiaries and doesn’t subcontract its PEO services.

Atlas was initially known as ‘Elements Global Services’ or ‘Elements GS.’ 

Atlas EOR
Atlas Global PEO (Image: Atlas)

Key Features

Global Cover Global PEO support, with hiring solutions in 160+ countries.
Specialized Industry Support Atlas offers specialized support for tech, venture capital, life sciences, non-profit, and financial services businesses. 
HR Add-Ons Atlas supports global companies with other matters, including visa and relocation services.

Pricing 

Global PEO/EOR By custom quote.
Contractors By custom quote.
Visa Support By custom quote.

Pros

Industry Specialization This is beneficial when you seek a Global PEO with a deep understanding of your industry.
Wholly-Owned Infrastructure Atlas hires employees entirely through its network of legal entities. This means wherever you operate in the world, you work directly with Atlas, not subcontractors. 
Additional Service Atlas provides a range of HR and payroll add-ons, such as contractor management, global payroll, and visa support.

Cons

No Price Transparency Atlas no longer offers a pricing page on its website setting out any pricing.  

Unique Selling Point 

Atlas is the only Global PEO with complete international coverage through its directly owned subsidiaries.  

Verdict

Companies in specialized industries will see a clear advantage in Atlas’ targeted support. Furthermore, as the Global PEO that owns the most subsidiaries internationally, Atlas is the best Global PEO for companies that wish to deal with only one hiring partner worldwide. 

💡 Read our in-depth Atlas review to learn about the Best Global PEO for Direct Hire.

Best Global PEO for Integrations

6. Rippling 

Rippling is a relatively new entrant to the PEO marketplace. However, it already boasts a prestigious client list, including Apple, Salesforce, and Amazon. It is one of the few Global PEOs that offers the full range of HR and payroll solutions, including payroll outsourcing, contractor payment, and US PEO solutions. 

Rippling stands apart from its competitors through its extensive add-on service modules. For example, in addition to PEO, Rippling can assist with tax and offer your workforce various employee learning modules.

Rippling EOR 1
Rippling Global PEO Services (Image: Rippling)

Key Features

Comprehensive HR In addition to its core PEO solution, Rippling can support your company with compliance, payroll processing, benefits administration, employee learning modules, and HR reporting. 
Policy Drafting Rippling’s platform enables clients to instantly generate crucial HR documents, such as remote work policies.
Integrations Rippling integrates with more HR and payment apps than any other Global PEO to ensure a streamlined HR solution. 

Pricing

All services The lowest-paid module begins at $7 per employee per month, with each add-on module increasing the price. Rippling does not set out the exact cost for each service (including Global PEO) on its website. 

Pros

Ease of Scaling Through its flexible, module-based system, each Rippling add-on can be chosen as needed through the online platform. 
Speed Rippling commits to “Running payroll in 90 seconds,” and user reviews consistently mention its speed as a payroll processor.
Workflow Automation Rippling integrates with the most popular HR, payroll, accounting, and payment apps, meaning users can trigger actions across the entire system. 
Analytics Through its integrated dataset, Rippling enables you to build any business report you request with just a few clicks.

Cons

Price Rippling can become more expensive as additional features are added to the service.
No Phone Support Rippling does not have a call center, meaning some users have found the support lacking. 

Unique Selling Point

Rippling’s major draw card as a Global PEO is the platform’s power through its various add-ons and integrations: Rippling gathers all employee information in one location and enables the company to manage global payroll, employees, and contractors from the one intuitive portal. 

Verdict

Alongside its Global PEO solution, Rippling integrates with all the HR and payment services a company might need. This means Rippling is our pick as the Best Global PEO for Integrations, in addition to its extensive add-ons

💡 To learn more about Rippling’s PEO solution, check out our Rippling 2024 review

Best Global PEO for Risk Management

7. Oyster HR

Oyster (also known as ‘Oyster HR’) is a Global PEO focused on customer experience. It provides PEO services in 180+ countries and a state-of-the-art employer portal for easy oversight of your international workforce. 

Oyster EOR
Oyster Global PEO (Image: Oyster)

Key Features

Global PEO/EOR Oyster provides Global PEO coverage in 180+ countries through a network of wholly-owned subsidiaries and vetted partners.
Add-Ons Besides Global PEO, Oyster can support your business with contractor management and multi-country payroll.

Pricing

Global PEO Prices start at $499 per employee per month.
Contractors $0 for the initial month, then $29 for each contractor.
Scale Custom pricing. 

Pros

Useful Tools Oyster provides various online tools, such as a contractor misclassification tool, a payroll calculator, and a benefits advisor.
 Reduced Legal Risk Oyster offers premium liability coverage, robust IP protection, and several insurance options, meaning Oyster provides strong risk protection for your company. 

Cons

Pricing With prices starting at $499 per employee, Oyster is more expensive than some other Global PEOs.
Visas Oyster does not advertise work visa support services. 

Unique Selling Point

Oyster strongly focuses on reducing legal risk for its clients. They offer Employment Practices Liability (EPL) coverage to support this and indemnify their clients against employee lawsuits. 

Verdict

For its emphasis on limiting risk for client companies, Oyster is our pick for the Best Global PEO for Risk Management

💡 Read more about what Oyster offers in our 2024 Oyster HR review

Best Global PEO App

8. Agile

Agile (also known as ‘Agile HRO’) is a global workforce platform incorporating Global PEO, payroll, global mobility, and more. Its leading product is ‘Agile Hero,’ an HR and PEO app for employers and employees. This enables seamless integration of your HR functions. 

Agile EOR
Agile HRO (Image: Agile)

Key Features

Global PEO Coverage Agile can hire and onboard employees for you in virtually any location.
Global Payroll For companies that need subsidiaries in-country, Agile also offers a payroll-only solution.
Global Mobility Agile can guide your company through the work visa process and significantly speed things up. 

Pricing

Global PEO Prices begin at $599 per employee per month.
Global Payroll Prices start at $499 monthly for up to five employees.
Visas By custom quote.

Pros

 Powerful App The Agile Hero app means employers and employees can easily manage their hiring and payroll. 
Market Advisory Agile can provide advice and even conduct market research so that you end up with the best expansion solution for you. 

Cons

Pricing From $599 per employee per month, and $499 minimum for global payroll, Agile is more expensive than some competitors.  

Unique Selling Point

The Agile Hero App means you can oversee PEO employees, as well as global payroll at any time. The app even has a ‘Corporate Immigration’ portal to help with work permit issues. 

Verdict

Agile is a market-leading Global PEO platform allowing you to hire, pay, and manage employee HR through one convenient app. 

Due to its user-friendly ‘Agile Hero’ app, Agile is the Best Global PEO App

Best Global PEO for Integrations

9. Velocity Global

Velocity Global prides itself on having a “people first” attitude and maintaining high customer service. They provide 24/7 customer support worldwide for both clients and co-employees. Clients are assigned an account manager who can match the time zones, languages, and cultures of both the client and the co-employees.

Velocity currently works in over 185 countries and offers comprehensive benefits packages globally.

Velocity Global PEO
Velocity Global EOR

Key Features

Global Coverage Velocity Global offers Global PEO services in 185+ countries and all 50 US states
Industry Knowledge  Velocity Global retains expertise in various industries, including tech, life sciences, nonprofit, and private equity.
Add-on Services Velocity Global provides additional client support, including contractor payment and visa assistance

Pricing

Global PEO Velocity Global offers no pricing information on its website for its Global PEO services.

Pros

✓ Industry-specific expertise Many Global PEOs lack knowledge of specific industries, whereas Velocity Global is deeply knowledgeable about the rules and regulations in various niches, including tech and finance.  
Strategic consulting  Velocity Global can advise on mergers, acquisitions, and divestiture to support businesses with more complex business expansion proposals. 

Cons

Pricing Velocity Global does not disclose its pricing on its website. Third-party reports claim that Velocity Global charges based on a percentage of payroll rather than a fixed monthly fee

The 'Wow' Factor

Velocity Global provides complete global expansion and hiring support with a customer-centric ‘white glove’ approach. Velocity Global is one of the few global EORs offering full US coverage — a substantial benefit for large US and international enterprises

Verdict

Velocity Global can support businesses hiring anywhere and advise them on broader business growth and investment issues. 

With a broad range of services supporting all global and local expansion aspects, Velocity Global is our pick as the Best Global PEO for Enterprise

💡 To learn more, check out our 2024 review of Velocity Global

Best Combined PEO and BPO

10. Mercans

Mercans is an international HR and business process outsourcing platform with various solutions to support business expansion and hiring worldwide. 

Mercans Global PEO
Mercans PEO and BPO Platform

Key Features

International Coverage Mercans provides PEO and payroll services in 160+ countries. 
Payroll-Only Solution  Mercans offers a payroll-only outsourcing solution for companies with a local entity or subsidiary. 
Native SaaS Platform Through HR Blizz and Mesaar, Mercans offers market-leading payroll and recruitment services. 

Pricing

Global PEO Available by custom quote.

Pros

Partnerships and Integrations Mercans has longstanding partnerships and HRIS integrations with Ceridian, SAP SuccessFactors, Workday, UKG, and Darwinbox.
Compliance and Cybersecurity Mercans has a range of certifications, including ISO20000, ISO27001, SOC 1, SOC 2, and OWASP ASVS 3.0. It also has geofencing for Russia’s and China’s infrastructure.

Cons

Pricing Mercans does not disclose its pricing on its website. 

The 'Wow' Factor

Mercans is one of the few global PEOs providing a full range of business process outsourcing (BPO) services, including: Business set-up and logistics, office space rental, banking setup, licensing, and front-office services (e.g., secretarial services, and customer relationships management (CRM)). 

Verdict

Mercans can support businesses with all their international expansion needs, including PEO, payroll, and business process outsourcing. 

For the breadth of its offerings, Mercans is our pick as the Best Combined Global PEO and BPO

PEO vs. Global PEO

A standard Professional Employer Organization (PEO) is a co-employer of staff that takes over the administrative and compliance elements of employment, leaving the “operational employer” to continue with day-to-day staff supervision.

Typical tasks taken on by a PEO include: 

  • Payroll processing. The PEO is responsible for payroll, covering payment of employee wages and salaries, tax withholding, and payroll taxes.  
  • Benefits administration. PEOs also provide insurance and employee benefits coverage, usually through a single third-party provider. Because PEOs employ thousands of staff on behalf of client businesses, they can obtain low premiums through their bulk purchasing power (a higher-risk pool). This allows smaller companies to purchase insurance packages that would otherwise only be available to larger employers.
  • Compliance. The PEO ensures that employees are hired on compliant contracts and, in general, compliance with all employment law obligations. 

The PEO business model originated in the United States in the early 1970s but has now become a model for hiring employees worldwide — global PEO solutions

The global PEO, also known as an ‘international PEO,’ is a comprehensive international employment partner, enabling businesses to swiftly and compliantly hire employees in any global location, eliminating the need to set up a foreign legal entity.

Global PEOs provide various services, such as compliant contract creation, international payroll, in-country compliance, and attendant legal liabilities, becoming the administrative employer for a company’s international hires. In doing so, they play a crucial role in global business expansion, as businesses can establish a presence and recruit personnel in foreign countries without the difficulties and limitations of creating a foreign entity.

Global PEO
How a Global PEO streamlines international hiring and employee management

These international PEO services are essential for businesses to manage their international employees effectively. Without them, companies risk compliance problems, fines, and even blacklisting in some instances.

The critical difference between a traditional/standard PEO and a global PEO is that a standard PEO is the co-employer rather than the Employer of Record. This means, for example, that the PEO usually has little responsibility and liability for employee income and payroll taxes. 

Global PEO vs International PEO

‘Global PEO’ and ‘International PEO’ are generally used interchangeably; however, sometimes an International PEO is used to refer to a country with narrower coverage than a global PEO: 

  • International PEOs work across borders but may only operate in some countries. For example, Remote and People2.0 advertise that they offer PEO/EOR services in less than 100 countries worldwide. Other international PEOs have a purely regional focus and do not operate internationally. This includes ‘EOR Middle East’ and ‘Africa HR,’ which only operate in their respective regions. 
  • Global PEOs operate in every country and territory in the world where it is legal and practical to do so. Truly global PEOs include Horizons, Deel, and Atlas, which operate in 160-185 countries

Whether you need an international PEO with limited coverage or a complete global PEO solution will depend on the number of countries you wish to operate in. 

What Does a Global PEO Do?

A global Professional Employer Organization (PEO) provides comprehensive HR solutions for companies, particularly those looking to expand internationally. While precise services differ by provider, here are the key things that a global PEO can do:

  • Employee hire: A global PEO can hire employees on behalf of a company, especially in regions where the company does not have a legal entity. This arrangement allows companies to expand their workforce globally without establishing a legal presence in each country.

  • Payroll processing and management: The global PEO manages international payroll for the employees it hires, ensuring tax compliance for all employees. This includes calculating taxes, handling withholdings, and issuing paychecks.

  • Benefits administration. Global PEOs administer employee benefits like health insurance, retirement plans, and other perks. Due to their considerable pooled resources, they can often provide more competitive benefits packages.

  • Tax, HR, and local compliance support: Navigating countries’ complex tax laws and employment regulations can be challenging. A global PEO provides expertise in these areas, ensuring legal compliance in each jurisdiction.

  • Employee Training and Development. Some global PEOs provide training and development programs, which can ensure that employees adapt well to the company’s culture and meet performance expectations.

  • Strategic HR Consulting. Beyond day-to-day HR tasks, a global PEO can offer strategic consulting to help businesses align their HR practices with their overall business objectives.

A global PEO acts as a one-stop shop for HR, payroll, and compliance needs, particularly for businesses looking to expand internationally without the burden of setting up separate HR departments in each country.

What Are the Benefits of Global PEO for a Global Workforce?

1. Hire globally in days, not months

Hiring globally can be time-consuming, challenging, and costly. Traditionally, hiring in most countries would require incorporating an entity there and registering it as an employer in that country. In most countries, this takes weeks or months. 

A global PEO already has entities or subcontracted entities in each of the countries it operates in. It has processes and tech in place to hire quickly and onboard new employees, often in as little as 48 hours. This time savings allows international enterprises to focus on core business. 

2. Save on global expansion costs

Expanding internationally can be extremely costly. There are considerable costs in setting up entities and registering them, but minimum capital requirements require companies to put up 80,000 dollars. 

A Global PEO eliminates the need to establish a subsidiary company in the country. Furthermore, as the global PEO takes care of core payroll and HR tasks, it eliminates the need to have a local HR department in each location. 

Finally, the global PEO saves companies money through its access to more cost-effective benefits packages through bulk-purchasing power. This means that professionals in a small business can receive ‘big business’/Fortune 5000-level benefits. 

3. They ensure compliance with foreign labor and tax laws

Labor laws, tax laws, and insurance and hiring regulations can vary widely in different nations. Even the basis for those laws may stem from a legal tradition utterly alien to the home office management and its legal advisors.

Working with a global PEO will save tremendous time and money in ensuring global legal compliance because it provides a local partner with extensive expertise and experience in that terrain. Problems can be solved much more quickly if the home office management does not have to learn the specific ins and outs of the legal environment in a foreign labor market.

Not only is the global PEO responsible for local employment compliance, but they are also liable. This means, for example, that the global PEO takes on the risk of employee misclassification and associated back taxes and fines. 

4. They hire top talent anywhere in the world

Twenty years ago, globalization was still mainly helpful to manufacturers, the resource extraction industry, and large consumer goods producers. Today, especially after the leaps that have been made in remote work technology since the coronavirus pandemic, this is not the case. Global staff can now be hired for nearly any skilled position; engineers, programmers, PR, content production, design, and many more capabilities can be directly sourced from a global talent pool. Businesses can hire the best talent using a global PEO, even if team members are all based in different countries. Many global PEOs also offer immigration and visa services if any staff needs to transfer locations. 

How to Select the Right Global PEO for Your Business

Selecting the right Global PEO requires evaluating services and expertise and comparing pricing and contract terms. 

By carefully considering these factors, businesses can decide which global PEO best fits their international expansion and recruitment needs

1. Evaluating Global PEO Services and Expertise

Businesses must consider the breadth of provided services when choosing a global PEO. These include international hiring and payments outsourcing, talent acquisition, HR management, benefits administration, payroll management, employee administration tasks like tax and compliance, and regional expertise.

By evaluating the services and expertise offered by Global PEOs, businesses can ensure that they choose a provider that aligns with their specific needs and requirements. This will allow them to navigate the complexities of international expansion and recruitment successfully.

2. Comparing Pricing and Contract Terms

Comparing pricing and contract terms is crucial for businesses to find the best global PEO that offers the most value for their investment. The pricing among global PEOs may differ depending on the services provided, the number of employees, and the company’s requirements. Some PEOs may use a percentage-based pricing model, where the fee is calculated as a percentage of the employee’s salary, while others have fixed price per-employee pricing

When selecting a global PEO, businesses should also consider the contract terms set out in the infographic below:

Global PEO important contract terms

By comparing pricing and contract terms, businesses can ensure they choose a global PEO that offers the best value for their investment and aligns with their international expansion goals. 

Global PEOs — The Best Way to Hire a Remote Workforce

A Global PEO is a fast and cost-efficient option for any company hiring globally. Using a Global PEO saves time and money and ensures full compliance with labor laws and regulations in the country of hire. 

I assessed 64 global PEOs, rating each provider on a score out of 10. My pick for the top 10 global PEOs in 2024 are Horizons, Remote, Deel, IPS, Atlas, Oyster, Agile, Velocity Global and Mercans

Frequently Asked Questions

A Professional Employer Organization (PEO) is a firm that provides comprehensive human resources solutions to businesses, such as payroll, benefits administration, and compliance with labor laws. It allows companies to outsource these complex and time-consuming tasks, enabling them to focus more on their core business activities.

A global PEO is a Professional Employer Organization that serves as a co-employer for staff in many countries worldwide. They provide the same services as a regional or national PEO, such as onboarding, benefits packages and administration, employee tax reporting, and record keeping.

A global PEO owns and contracts with legal employers of record worldwide. Through these entities, they can hire and onboard new employees, report taxes, and administer benefits in compliance with local regulations. As employers of record, they also assume liability for these global employees. Global PEOs usually provide regional experts to advise clients and online platforms to provide data on the multinational workforce compliance documentation.

Global PEOs may offer additional HR and payroll services for international companies, such as immigration assistance, legal advice, HR software integration, and international insurance.

What is Global PEO?

Global PEO, also known as Global Professional Employer Organization, is a service that allows companies to expand their operations into foreign countries without establishing a legal entity. It provides a comprehensive solution for international employment, including HR management, payroll administration, compliance with local labor laws, and employee benefits.

What are the benefits of using Global PEO services?

By utilizing Global PEO services, businesses can access global talent pools, enter new markets quickly, and reduce the administrative burden of managing international employees. It also helps ensure compliance with local employment regulations, mitigates legal risks, and provides scalability and flexibility for global workforce management.

How does Global PEO handle payroll and taxes for international employees?

Global PEO takes care of payroll processing, tax calculations, and compliance with local tax laws in the countries where the employees are based. It ensures that proper withholdings are made, local taxes are paid, and statutory contributions are managed. This allows businesses to focus on their core operations while ensuring accurate and timely payroll administration for their international workforce.

What is Global PEO?

Global PEO, also known as Global Professional Employer Organization, is a service that allows companies to expand their operations into foreign countries without establishing a legal entity. It provides a comprehensive solution for international employment, including HR management, payroll administration, compliance with local labor laws, and employee benefits.

What are the benefits of using Global PEO services?

By utilizing Global PEO services, businesses can access global talent pools, enter new markets quickly, and reduce the administrative burden of managing international employees. It also helps ensure compliance with local employment regulations, mitigates legal risks, and provides scalability and flexibility for global workforce management.

How does Global PEO handle payroll and taxes for international employees?

Global PEO takes care of payroll processing, tax calculations, and compliance with local tax laws in the countries where the employees are based. It ensures that proper withholdings are made, local taxes are paid, and statutory contributions are managed. This allows businesses to focus on their core operations while ensuring accurate and timely payroll administration for their international workforce.

What is Global PEO?

Global PEO, also known as Global Professional Employer Organization, is a service that allows companies to expand their operations into foreign countries without establishing a legal entity. It provides a comprehensive solution for international employment, including HR management, payroll administration, compliance with local labor laws, and employee benefits.

What are the benefits of using Global PEO services?

By utilizing Global PEO services, businesses can access global talent pools, enter new markets quickly, and reduce the administrative burden of managing international employees. It also helps ensure compliance with local employment regulations, mitigates legal risks, and provides scalability and flexibility for global workforce management.

How does Global PEO handle payroll and taxes for international employees?

Global PEO takes care of payroll processing, tax calculations, and compliance with local tax laws in the countries where the employees are based. It ensures that proper withholdings are made, local taxes are paid, and statutory contributions are managed. This allows businesses to focus on their core operations while ensuring accurate and timely payroll administration for their international workforce.

What is Global PEO?

Global PEO, also known as Global Professional Employer Organization, is a service that allows companies to expand their operations into foreign countries without establishing a legal entity. It provides a comprehensive solution for international employment, including HR management, payroll administration, compliance with local labor laws, and employee benefits.

What are the benefits of using Global PEO services?

By utilizing Global PEO services, businesses can access global talent pools, enter new markets quickly, and reduce the administrative burden of managing international employees. It also helps ensure compliance with local employment regulations, mitigates legal risks, and provides scalability and flexibility for global workforce management.

How does Global PEO handle payroll and taxes for international employees?

Global PEO takes care of payroll processing, tax calculations, and compliance with local tax laws in the countries where the employees are based. It ensures that proper withholdings are made, local taxes are paid, and statutory contributions are managed. This allows businesses to focus on their core operations while ensuring accurate and timely payroll administration for their international workforce.

What is Global PEO?

Global PEO, also known as Global Professional Employer Organization, is a service that allows companies to expand their operations into foreign countries without establishing a legal entity. It provides a comprehensive solution for international employment, including HR management, payroll administration, compliance with local labor laws, and employee benefits.

What are the benefits of using Global PEO services?

By utilizing Global PEO services, businesses can access global talent pools, enter new markets quickly, and reduce the administrative burden of managing international employees. It also helps ensure compliance with local employment regulations, mitigates legal risks, and provides scalability and flexibility for global workforce management.

How does Global PEO handle payroll and taxes for international employees?

Global PEO takes care of payroll processing, tax calculations, and compliance with local tax laws in the countries where the employees are based. It ensures that proper withholdings are made, local taxes are paid, and statutory contributions are managed. This allows businesses to focus on their core operations while ensuring accurate and timely payroll administration for their international workforce.

Article By
Managing Editor
Milly is an international lawyer and tech entrepreneur who has advised companies on expanding globally for over 5 years. She is an advocate of remote hiring and regularly consults on future of work matters. Milly founded RemotePad to help employers learn more about building and growing international teams.

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