How to Hire Remote International Employees
If you’re worried about competing with big corporations for international hires, remote work is how you can level the playing field. Across the globe, people strongly prefer fully remote work, but only about a third of workers work remotely.
Despite this preference for flexibility, there’s been a steady rise in return-to-office mandates; 87% of global employers want people to work from the office at least some of the time, and 33% have introduced mandatory attendance.
As you look into expanding your recruitment net, here’s some top insights for why you should consider remote work, plus the process, benefits, and challenges of hiring international employees.
Key Takeaways of Hiring International Employees
- If you’re struggling to find the right candidates, looking internationally helps you cast a wider net.
- Diverse teams are more productive and engaged than homogenous groups.
- Hiring an international employee works much the same way as it does for a local one. However, there are some additional compliance considerations.
Why You Need to Consider Remote Work When Hiring Internationally
Unless you’re planning on having satellite offices, you’ll need to think about how to hire, onboard, and manage your international employees remotely.
While COVID-19 forced many businesses to adapt to remote work, 80% of organizations still offer remote and hybrid models today, and for good reason. The option for remote and hybrid working improve retention by at least 35% and helps boost employee satisfaction.
Benefits of Hiring International Employees
Expand into New Markets
While the role you’re hiring for won’t require the person to be in the same building or country as you, there are some benefits to having boots on the ground—even if they are thousands of miles away.
International employees can play an important role in developing business in new markets. If language or cultural barriers are a concern, having employees in the region who are bilingual can be an invaluable asset.
Hire Worldwide Talent
71% of CEOs say talent shortages are the top external challenge to their business, so hiring remote international workers can help you fill that shortage. You’re opening yourself up to a much larger talent pool.
Widening your search means you’ll reach out to more skilled, experienced, and qualified candidates.
Bolster Your Team
Similarly, if you’re struggling to hire enough workers because you’re isolated geographically or specific skills aren’t common where you are, hiring remote international workers can help.
Plus, if you service different global regions, you’ll also be able to provide more coverage by hiring people in overlapping time zones.
Boost Diversity, Equity, and Inclusion (DEI)
Companies that encourage diversity, whether that’s age, gender, or ethnicity, outperform companies that don’t. In other words, a workplace that has a wider range of people is more likely to have a flexible, robust, experienced team.
Hiring overseas employees opens up your workplace to even more innovative thinking and problem-solving you might otherwise miss out on.
What to Consider When Hiring Remote Employees
While hiring remote employees comes with a range of benefits, there may be some short-term bumps in the road. Despite the additional work, don’t be put off. Instead, think of this as an investment into your business.
Global Payroll Solutions
Payroll can be a complicated issue even if your employees live in the same state, so having to send money around the world can be a minefield. With local laws, taxes, and more to consider, partnering with a global payroll service can help take away the complexities of paying your international employees.
International Compensation Benchmarking
A similar issue to payroll is the question of how much you compensate your international staff. You could pay them the same rate you pay your US-based employees, but that may be way under or over what they would expect in their nation.
Likewise, benefits and time off expectations can also differ. You’ll need to do your research to understand what’s fair and competitive in different regions.
International Employment Laws
If you hire international employees, you’ll need to work out what your legal relationship will be with your new hires.
Options include:
- Setting up a business in the country to hire locals full-time
- Hire international workers as contractors
- Go through a local business or other third party
The first option gives you the most autonomy and access to local talent, though it’s more complicated and expensive, as you’ll have to go through the legal process of registering as an employer in a different country (or multiple countries).
The second two are more straightforward, but your new hires won’t be as connected to your culture or business goals.
Regardless of their classification, you’ll also want to make sure you’re staying compliant at each step of the hiring journey. For example:
- What candidate data can you collect and what are the rules around sharing or storing that data?
- What should you say in an offer letter? Is it the same or different as an employment contract?
- Speaking of which, what do you need to include in an employment contract?
- If you use AI, are there any restrictions for using it in the recruiting and interviewing processes?
Another consideration is the economic climate in the country itself and whether establishing business ties is safe for your company. Here are some resources to consult:
- The Financial Action Task Force (FATF)’s high-risk and monitored jurisdiction lists: The FATF is a global watchdog for financial crimes, such as money laundering and terrorist financing.
- The US Treasury’s Office of Foreign Assets Control (OFAC) list of sanction programs: While the US doesn’t ban any particular country, check their sanction programs before making offers to or going into business with anyone overseas.
How to Hire International Employees
Hiring an international employee works much the same way as it does hiring a local one. We’ve broken down the process, so you can begin hiring international employees as soon as you’re ready.
Create Candidate Profiles
Like any new hire, a good place to start is by creating a candidate profile or a job description for the role in mind. If you’re looking to hire internationally, consider your word choices.
Using phrases or words that are culturally relevant to the US may be misunderstood by international applicants. Instead, focus on simple, clear descriptions with the job requirements clearly listed.
Identify Target Regions to Hire International Employees
If you’re happy to employ candidates from any nation, this may not apply to you, but if you’re looking for employees from specific regions or countries, now is the time to decide.
Consider the bigger picture here: do you want candidates that can speak certain languages or have footholds in specific countries?
For example, if you do a lot of business in Canada, could it be beneficial to hire someone from a Francophone nation? Try to make the most of your options when hiring remote workers.
Prepare for International Legal Compliance
If you’ve decided on a specific country or region, start preparing for the legal compliance. This could mean investigating taxes and employment law or speaking with a professional business advisor in the area.
Getting a head start will mean a smoother onboarding process further down the line.
Conduct Virtual Interviews
Unless you have the budget to fly to interview candidates in person or vice versa, your best approach is to conduct video interviews.
Here are some pointers for planning these interviews:
- Don’t forget time zone differences! Make sure you check before setting a time.
- If holding live interviews isn’t practical, send them pre-recorded questions.
- Make sure they have access to a stable internet connection for the call.
- Steer clear of idioms or specific jargon.
To make sure they’re prepared, send them our video interview tips for candidates.
Keep in Close Communication with Your Top Candidates
Candidates want to know they’re your top priority no matter where they’re from. When asked about the hiring process:
- 52% of UK candidates agree that prompt communication is a must.
- 54% of candidates in France and Germany stress the importance of human connections.
Be flexible with your communication channels—offer email, video calls, and instant messaging to fit different preferences and time zones.
What Happens Next? Resources for Onboarding International Employees
Once you’ve offered a candidate the role (and if they’ve accepted it), it’s time to get them up and running! Luckily, we have a wealth of resources you can use to create the best onboarding experience for your new, remote team members.
- Best Practices for Onboarding Remote Employees
- 8 Virtual Onboarding Best Practices You Need to Know
- How to Create Engaging Onboarding Videos and Boost Retention
- 10 Powerful Onboarding Process Examples You Need to Try (Including Remote)