Glossary
Employer of Record (EOR)
An employer of record (EOR) is a company that becomes the legal employer of your people, so you can hire in a country where you have no entity.
Reviewed by Teamed's in-house employment-law team·Last updated 17 September 2026
Also known as: global employment platform, international employer of record
What is Employer of Record (EOR)?
An employer of record (EOR) is a company that becomes the legal employer of your people, so you can hire in a country where you have no entity. An entity here means a company you have registered in that country.
You still choose who to hire and direct their day-to-day work. The EOR employs them on your behalf. It signs the employment contract, handles payroll, tax and benefits, and carries the employer's legal duties in that country. It does this through its own local entity or through a local partner.
Key facts
- Who counts as the employer in US tax law
- In US federal tax law, common law rules generally decide who counts as the employer. Paying a third party to run payroll does not by itself move those tax duties.Source: Internal Revenue Service· verified 2026-09-17
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What is an employer of record (EOR)?Last verified 2026-09-17