Onboarding Process
Onboarding is the process of hiring new employees for a company. International onboardings differ only in one way: someone is either relocating or moving to a foreign country for the company. This means that the new employee is not only starting a new job, but also going through a cultural shift.
International onboarding not only introduces the employee to the company, but also to the new culture or cultural change to a new city. There are ways to make this transition easier for the new employee and less overwhelming. The ultimate goal of onboarding is to reduce employee turnover and to forge an emotional bond between the employee and the company. When dealing with international onboardings, this is a simple task.
Enrolment process:
There are only two things required from the employer for an onboarding: the employee and the employment information. Zapeo will handle the rest.
Zapeo follows the following procedure:
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The client wishes to hire someone in a specific territory.
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We provide a platform for them to ask any questions or obtain any information they require before proceeding. When they are ready to proceed, we require the following from them: Employee Information, Employment Information, Package Information, Start Date, and Supporting Documents.
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After receiving the details, a draft of the contract will be shared with them for approval.
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We will send the contract to the employee for signature once it has been approved, and once signed, he or she will be onboarded.
Immigration: If immigration is required, the employee must be successfully registered and have a work permit before beginning work.
Benefits: If Zapeo needs to set up benefits, the employee will need to fill out forms and, in some cases, undergo medical tests.
In-Country Requirements: In some countries, the local team will require original paperwork or in-person signing; this should be factored in.
Check out our country guides for more information
How important is timing in the onboarding process?
Timing is critical in any onboarding process because it determines how quickly an employee can be set up in the company.
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If the company wants the employee to start within the same month, the onboarding must be received in order to process the payroll.
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It is critical to allow enough time before the start of employment for contract approval, contract drafting, contract signing, and, in some cases, contract submission to government bodies, because the payroll cannot run if there is no signed contract.
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A delay in registering for benefits, such as medical, can result in a 2-3 month delay.
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Some territories must have enough time to complete immigration (such as the Middle East).
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It is critical to have enough time to account for time zone differences.
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There should also be enough time to ensure that ,if the employee has a disagreement with the draft contract, the onboarding will still take place on time with amendments.
Consequences if there is not enough time:
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The start dates for onboarding will be pushed back.
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Benefits will be delayed.
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Payroll will be carried over to the following month.
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Unnecessary stress and strain on the client-employee relationship, resulting in friction.
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Time must also be considered when declaring taxes.
A list of do’s and don’ts for international onboarding
Do’s :
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Be certain whether the employee is an expat or a local; this will determine the start date in several territories because it depends on whether the employee needs to immigrate.
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Ensure that the employee is aware of the currency in which they will be paid; this will prevent any confusion on Zapeo’s end or any miscommunication for the employee.
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The layout of EOR must be completely understood by both the client and the employee. This will alleviate any potential employee confusion when they receive their contract and method of employment.
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Make it clear that the employee will be an employee, not an independent contractor.
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Inform Zapeo about the employee’s status so that any unexpected taxes are avoided. Tax simulations can be created so that the employee is properly prepared and there are no surprises.
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When beginning the onboarding process, have all of the onboarding information ready.
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The client should ensure that they inquire with the local team or provider about the requirements for an individual to work in-country.
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Check that the employee’s banking information corresponds to the currency in which they will be paid. If an employee is to be paid in USD, they must have a USD bank account.
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If the employee is still employed by another company, the client must ensure that the start date corresponds to the notice period required by the employee.
Don’ts:
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Avoid avoiding conversations with employees about how they will be employed and instead have them find out once the contract is sent to them.
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Make no attempt to get away with unrealistic deadlines. It takes time in some countries, such as Egypt, because it is signed in person rather than electronically.
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Do not leave everything up to the local partner – the client is still responsible for reviewing the employment contract and ensuring that all terms are included.
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Contracts should never be sent by the client, but by the local team or provider.
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Not all countries provide the same benefits; before making any promises about benefits, consult with the local team.
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In terms of drafting agreements, expectations must be managed; in some countries, contracts must be drafted by the government through a government portal.
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Because not all contracts will be in English, this expectation must also be managed.
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Don’t delay any communications with the employee/client. We need timely feedback on requests in order to process an onboarding as efficiently as possible.
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DO NOT MAKE PROMISES YOU CAN’T KEEP – Clients should always double-check benefits, contract terms, and salary ranges with the local team.
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Don’t instruct the employee to contact the local team or provider to discuss an increase in their remuneration; this is a clear operational element for which the client is always responsible.
Onboarding Payroll: How do payments work?
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Employees can be paid in either local currency or a limited range of currencies such as USD, EUR, GBP, and so on. It is determined by the location.
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When employees are paid through Zapeo, penny tests are used to ensure that the account information is correct.
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Zapeo will run the payroll in the currency in which the client has decided to provide the total compensation – the client will be invoiced in the currency in which the client wishes to pay.
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Employees are paid on time by the local team or Zapeo.
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If there are any payment issues, Zapeo will resolve them to the best of their ability.
Onboarding Payroll: Penny tests explained
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After receiving the employee’s banking information, the information is double-checked to ensure that it is correct, and a timeline for the employee’s receipt of funds is established.
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A payment of USD 5.00 ,in whichever local currency is intended, is then made to the bank account, and the employee must confirm receipt of funds.
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This timeline is then used to ensure that salaries are paid and distributed on time and that their banking information is correct.
*The value of the penny will be deducted from their salary.
Contact the Zapeo Team today for more information