By Andrew Lindquist, Partner, GoGlobal
Remote work surged during the pandemic era out of necessity and is likely here to stay for a large segment of the global workforce. However, despite the convenience and powerful results of remote work, many employers are now pushing for a return to the traditional office environment. As a result, more workers are returning to office workspaces , whether by choice or mandate.
But what about workers hired through an Employer of Record (EOR) service provider? Are they forever destined to work remotely? The short answer is no, as many are already reporting to a company office space.
For instance, GoGlobal has a global contract with iWG – the parent company of Regus, Spaces and other shared office companies. Thanks to this partnership, we’re now able to offer office space solutions to client workers in almost any location we provide direct services. With this arrangement, GoGlobal is empowering clients to bring their EOR employees back to physical office spaces if they wish.
What to consider before bringing EOR employees back to an office workspace?
Worker location: One of the most important considerations when investing in an office workspace for EOR employees is the location of the worker and the prevalence of remote work vs. in-person work, as this varies around the world. In some countries, such as Poland, new frameworks have been developed that regulate remote work, hybrid work and in-person work in different ways.
Contractual stipulations: Companies must review their contracts with their EOR service provider to identify stipulations regarding remote work that may need to be updated. For example, if a contract was originally written for remote work, there may be allowances and insurance premiums based on remote work. These may need to be updated to reflect the change to an office workspace. .
Business and equipment needs: Companies should carefully consider their business and equipment needs before investing in a company office space. If in-person teamwork is important for your EOR employees , then investing in a shared company office space that facilitates collaboration may be beneficial. Similarly, if a sales manager, for example, needs a flexible office space to host meetings and presentations, then designated meeting spaces with the necessary technology will be key.
Permanent establishment risks: Companies must take necessary steps to avoid creating a permanent establishment, which can result in tax and regulatory compliance requirements. Investing in an office workspace directly tied to your company may trigger permanent establishment, so it’s important to work with an EOR service provider to mitigate this risk.
Don’t do it alone: EOR service providers, like GoGlobal, can help identify high-quality shared and flexible office spaces in locations around the world. Additionally, investing in office space solutions can be paired with an EOR contract, ensuring all necessary steps are taken to avoid permanent establishment risks and maintain all the benefits of EOR hiring.
As the debate on remote work continues, what does the future hold? Will more companies hiring through an EOR service provider choose to invest in company office spaces?
While multiple factors come into play – such as the worker’s location, contractual stipulations and operational requirements – we expect there to be a greater balance between remote, hybrid and in-person work in upcoming years.
If you’re thinking of an office space solution for your EOR employees you should consult GoGlobal or your provider to set it up. For an individual, working in a shared service office may be a welcome relief. Many of us have experienced the stresses of working from home, even if only temporarily. Having a designated office workspace to walk into can help redirect focus and increase productivity, allowing individuals to separate work from potential home distractions.
Don’t hesitate to reach out to GoGlobal if your EOR employees require office space solutions, as we’re happy to provide our expertise on this next step in your global expansion.
Contact us to discuss your physical office space needs.
What do direct services mean?
GoGlobal operates directly in more than 70 countries across the globe, which implies that it is the legal employer in that particular country rather than a third-party provider.
In each country, GoGlobal has dedicated HR representatives who help with onboarding the worker, provide ongoing support to both clients and workers, ensure compliance with local regulations and manage complex labor issues.
Unlike other service providers, who may have a limited presence and rely on third parties to employ workers, GoGlobal has the local expertise to handle nuanced employment matters in each country.
Contact us to discuss office space solutions for client workers in almost any location where we provide direct services.