Expanding a business globally is an enormous undertaking. Add the complexity of onboarding employees across multiple regions, and you’re likely to find yourself in a whirlpool of regulatory and operational hurdles.
One of the trickiest aspects of global expansion is finding the right talent that’s also adaptable to rapid technological change.
The 2025 Future of Jobs Report shows that 39% of current skill sets will either transform completely or lose relevance between 2025 and 2030. This becomes even trickier when each region comes with its own set of employment expectations and workplace norms.
Work-life balance is a top priority for European employees. Countries like Germany and France have legal requirements for paid leave, limited work hours, and a legal “right to disconnect” from work messages outside office hours.
On top of these, the average hiring times stretch to three weeks in France and up to 6 months in Germany, compared to faster US processes. Extended processes ensure compliance but can make securing talent challenging, especially for specialized roles.
So how can you create a smooth onboarding experience while respecting regional nuances?
The Rise of Professional Employer Organizations
Managing a global workforce comes with its own set of hurdles. As businesses expand, maintaining compliance, offering competitive benefits, and handling payroll efficiently becomes even more complex. To address these challenges, Professional Employer Organizations (PEOs) are gaining traction, especially among small and mid-sized businesses.
PEOs help streamline back-office operations, reduce administrative burdens, and provide access to benefits that might otherwise be out of reach for smaller companies. In fact, more than 200,000 businesses in the US rely on PEO services today.
According to recent data, 17% of employers with 10-99 employees use PEOs, leading to businesses that experience twice the growth rate compared to those that don’t.
However, PEOs can sometimes be too rigid for businesses looking for flexibility as they expand internationally.
So, what’s the solution? According to Remote, a global HR and payroll platform, businesses need a PEO that adapts to their needs. The specific advantages of a flexible PEO include (but aren’t limited to):
- Ensure compliance: Support for multi-state regulations to help manage compliance and reduce administrative burden.
- Enhanced employee experience: An intuitive platform for employees to access pay stubs, request time off, and manage benefits.
- Scalable growth: A technology-driven platform that grows with your business, eliminating the need for an in-house HR department.
Dealing With Administrative Setbacks
Managing payroll for an expanding company is already a nightmare. Add multiple countries with different currencies, tax systems, and labor regulations, and you’ve got a recipe for disaster. As employment legislation keeps changing, 67% of businesses worry about employee complaints tied to payroll screw-ups.
A recent study shows just how messy things can get. The biggest payroll mistakes include wrong wage calculations at 48%, late or missing payments at 38%, incorrect hours at 36%, and botched tax calculations at 27%. These aren’t just minor inconveniences – they can spark lawsuits and trash your company’s reputation.
Professional payroll services address these administrative bottlenecks head-on. Instead of wrestling with different systems across various regions, companies can handle everything through one provider. Look, automation is where payroll is heading anyway, so why not team up with the experts?
To put it simply: no more jumping between systems. You can handle payroll, benefits, time off, taxes, and HR data all from one streamlined dashboard, says Remote.
The Need for Localized Hiring
When expanding recruitment across borders, it’s vital to adapt every step of the hiring process, from job ads and contracts to onboarding, to the specific region. Using English alone often isn’t enough to engage local talent.
Did you know that 82% of job postings in the EU are written in the official language of the country where they’re posted, while only around 14% are in English? In France, almost 98% of job ads are in French, with just 1.66% in English. Similarly, Germany sees about 96% of its job listings in German, with only 3.38% in English.
Besides language, cultural fit is also a significant factor. Hiring processes need to reflect the values, norms, and expectations of the local workforce. A CNBC report found that 91% of workers have faced race, gender, or disability-related discrimination at their workplace. These stats reflect real barriers that can torpedo your recruitment efforts if you’re not careful about cultural sensitivity.
To successfully hire across borders, companies must ensure their approach aligns with each region’s language and culture.
Ensure your job descriptions, application processes, and contracts are available in the local language, helping candidates feel more engaged and reducing the risk of miscommunication.
Adapting to the local culture and employment laws is also equally important. Make sure you have a thorough understanding of regional sensitivities, from work-life balance expectations to specific employee rights as well. This knowledge is what helps companies build a connection with their potential hires.
Go Glocal for Global Success
Recruitment should speak the language of your talent, both literally and culturally. Adapting to regional norms, languages, and legal requirements improves hiring efficiency, reduces bias, and attracts top candidates. Localizing recruitment practices helps businesses build a more diverse and effective workforce, contributing to long-term success.