When you need to legally and compliantly employ an internationally remote worker, one of the first things you have to come to terms with are the local employee rights. Below is a guide to the employee rights in Portugal.
A guide to employee rights in the UK, which gives an overview of all the rights employees have, including general rights, protections, benefits and job security. It's an employer's responsibility to adhere to them, in order to be compliant.
When I first moved from running Italian payroll to being responsible for international payroll in multiple countries, I remember being surprised by how complex being compliant with many different regulations was. It was challenging to ensure employees’ net salaries were impacted consistently across different countries. This was particularly the case with benefits in kind (vs general benefits) as they are treated differently across the board.
Irrespective of where in the world it's done, payroll is the process and system by which a company pays its employees, pay period in and pay period out. It involves keeping employee financial records, calculating their paycheck taking wages, taxes, tax credits, allowances, and benefits-in-kind into consideration, and issuing those paychecks. Regardless of where the company or its employees are based, every employee must receive the accurate pay (and payslip) with all withholdings and deductions submitted to the local tax authorities. Here is what you need to understand about international payroll
In our last post, we covered one of Remote Work's tricky "Gotcha Moments": having remote workers as independent contractors instead of employees can cause many problems. The fact that many distributed companies still do it doesn't make it right. The repercussions of doing so can be grave and damaging in financial, reputational, strategic and ethical ways.
As many companies opt to operate remotely, they will need to comply with many rules and regulations. A 10-step guide how to be a compliant remote company.