We recently surveyed our internal employer of record (EOR) employees and took a sample from employees representing 20 client teams. One finding is that 100% of the respondents experienced the EOR services for the first time. This means most of our internal employees had initial exposure to the PEO/EOR model after joining Remunance. The blog is based on the survey’s findings.
Unsurprisingly, the size of EOR employees in India has increased rapidly. There are two reasons why the bullish trend of the Indian PEO market is likely to continue in the coming years. (1) A surge of overseas companies’ entry into the Indian market due to multiple business opportunities. (2) Rising awareness of Indian talent about several remote job opportunities through the PEO/EOR model.
However, it’s surprising that many EOR employees in India had never heard of the EOR model when they started looking for jobs in remote work environments. Most of these Indian professionals learned about the services when EOR companies connected them for job opportunities. Although the service model is new to Indian talent, this doesn’t dissuade them from accepting the job.
In this blog, we’ll explain the crucial factors that attract Indian professionals to the model despite having several concerns before becoming EOR employees. From the blog, you’ll learn how Indian talent looks at the EOR services and understand what motivates Indian professionals toward the services.
What attracts Indian talent to EORs?
Indian talents can’t readily accept remote jobs that are strange to them. The trust issue is the biggest challenge in remote work design. It’s a similar case when the Indian professionals encounter the EOR model for the first time. So, it’ll be challenging to hire EOR employees in India if you don’t understand their concerns or expectations. Nevertheless, many remote talents still find reasons for joining EORs. Let’s explore those reasons that encourage them to work with the EOR services despite having doubts and confusion about the services.
- Work opportunities with foreign companies: Indian talent values the opportunity to work with overseas companies and considers it a priority in the checklist of working with the EOR model. More than 34% of the respondents agreed with the same. Eagerness to explore different values, careers, and learning opportunities drives their interest in cross-border working experiences.
- Work-from-home policies: The rising acceptance of working remotely for employees plays a vital role in the corporate world, impacted by the COVID-19 pandemic. Many individuals accept the EOR model due to its work-from-home policies. Over 32% of the respondents valued work flexibility, work-life balance, less expense on travel, effective time management, and personalized workspace.
- Competitive pay scale: An advantage of a competitive pay scale is a significant factor in encouraging remote talent to embrace EORs. Working with foreign companies often results in a better salary package for remote talent when compared with their Indian peers. The respondents (19%) considered the importance of competitive remuneration while working with the EOR services.
- Taxation & legal compliance benefits: The eligibility for applying for loans or filling income tax returns (ITR) are other crucial factors that attract Indian talent to EORs. This is one pivotal reason why many contractors consider joining as EOR employees. Working with EOR can help them avoid taxation and legal compliance issues that showcase a comparative advantage over working as freelancers or contractors. Nearly 12% of the respondents supported EORs for compliance ease.
- Others: A mere 2% of the respondents stated that they landed at the EOR services due to some specific reasons. One vital factor highlighted was that their association with Remunance was due to migration/transfer from other countries.
How does Remunance build confidence in the remote talent of India?
Remunance’s efforts in building confidence in Indian professionals have shown positive results. The way that Remuance educates about the PEO/EOR model and explains the intricacies of the services seems easy to understand for many potential EOR employees. The talent acquisition team of Remunance briefly explains the EOR model and its working style to remote talent so that they have a clear understanding of the services before their interview. Moreover, the team focuses on building trust among skills by providing the correct information about job descriptions and clients.
It resonates with the survey’s result that Remunance successfully helped Indian professionals understand the EOR complexities and instill confidence among Indian talent to embrace EORs. Most respondents stated that Remunance’s briefing about the job and clients was informative and persuasive.
Observing the response, over 86% of the respondents agreed that Remuance was able to build confidence about the EOR model. As per the survey, 49.2% of the respondents strongly agreed while 36.9% somewhat agreed with the statement. Only 5% of the respondents disagreed while the rest 9% had no comment about it.
Despite showing positive results in many aspects, there is some room for improvement in Remunance’s briefing to clarify specific doubts or misconceptions among the group. When asked about the employees’ suggestions to improve the Remunance way of motivation, many focused on one theme that there should be regular and more employee engagement activities.
The effective operation of your team in India depends on how you address their concerns and motivate them to align with your company values and objectives. Once you understand what drives them to work with the EOR services, you can encourage, hire, and engage with them effectively.
Despite the EOR model being new to Indian professionals, they still accept it as they learn about the benefits of working with the model. So, Remunance always pursues to educate potential EOR employees when it connects with them for job opportunities.
Imparting the correct information is an effective way to motivate Indian remote employees and help build trust in working with the EOR services. Remunance believes that building trust with the EOR employees requires offering a simplified explanation of the model, effective engagement, and clear communication with the employees. This way, Remuance shapes a more informed and unified perspective for all employees about the EOR services.