Israeli businesses that are interested in expanding their business activities to the US are facing many obstacles. One of the main challenges derives from the question – whether or not to set up a human resource department in the target country.
Operating a human resources department in a foreign country can cause complicated bureaucracy and often is a high investment for the company.
As a result, questions arise regarding method of recruitment and employment of personnel, as an alternative to direct employment and to the need to set up a dedicated human resources department.
Payroll service is an alternative that overcomes the obstacles that stem from operating a human resources department in the USA, and therefore – it is important to be familiar with this method of employment.
Adecco Israel is a business project management company, that provides payroll services to its clients in 66 countries around the world!
What is employment through the payroll method? What are the advantages of the payroll service?
Read the following article to find the answers to these questions!
What is employment through the payroll method?
Payroll is an employment method that incorporates direct employment and outsourcing. It is an intermediate method that balances between the two. On the one hand, when using outsourcing, the company transfers the implementation of a certain project to an external agent, from start to finish.
On the other hand, in direct employment the company does everything on its own – starting from recruitment and employment and ending with a fully accomplished project.
The distribution of responsibility in the payroll method is done between the company and the payroll company. It leads to a separation between the professional aspect and the administrative – operative aspect.
In this method, the client company is responsible for the sorting, locating and recruitment process for the personnel, and will later be in charge only of the professional aspect.
Following the recruitment step, the payroll company enters the scene, and takes care of all the administrative aspects, including salary payments, administrating social benefits required by the law, vacation days, health insurance, and more.
The payroll method allows the company to optimize the professional aspect of their activity, by running the recruitment process and choosing the ideal personnel, and afterwards running the professional aspect of the job, in a way that ensures meeting the standards of the company, while reducing the involvement with administrative and bureaucratic issues.
What are the advantages of the payroll method?
By using the payroll method, companies are spared the need to get into the thick of things with regards to hiring employees, at the local level and at the global level.
It is especially true when it comes to payroll in the USA, where there are many differences between the different cities and states. The company is not required to know the local laws in every state in the United States in which they operate, since everything is maintained by the payroll company.
Another advantage is that the company is not limited to a small supply of employees, since the American labor market is so much bigger than the Israeli labor market!
The client company is completely independent in terms of being able to manage the employees as it sees fit, in a way that enables full control over the products of the work, while still enjoying the benefits of this method.
This way, the client company can save valuable time and many resources, optimize its business activity, and promote its success.
How does the payroll service work in the USA, through Adecco Israel?
The payroll service of Adecco starts with the company locating the personnel they need according to their desired criteria. Afterwards, the company conducts the sorting and recruitment process for the candidates.
The advantage of the payroll method is that the company does not need to take irrelevant considerations into account while sorting the candidates. For example, the company does not need to address the bureaucracy involved with employment conditions that are required where the candidates it wants to hire are located.
Through Adecco Israel’s payroll services, the client company can operate the professional aspect alone, and focus on the core of its activities and expertise.
When the employment step officially starts, Adecco Israel, a company that specializes in managing its clients’ business solutions, including payroll, comes into the picture.
From the moment the employer and the employee reach an agreement regarding the basic terms of employment, including the job definition, salary, etc., Adecco starts managing all of the administrative aspects that are related to the employee, while the company only deals with the professional management aspect.
The payroll method enables Israeli companies that operate in the USA to maintain maximum flexibility, while promising qualified employees and sparing the need to get involved with administrational issues.
Adecco takes care of employees’ salaries, dealing with authorities, pensions and so on, whilst the employing company only needs to handle the professional aspect, without having to have an in-depth familiarity with the laws of the country.
Adecco Israel payroll services are an ideal solution for Israeli companies that are interested in operating their business in the USA without having to establish a human resources department in the target state. Adecco Israel specializes in business solutions and offers a wide range of services to its clients in 66 countries around the world.
Adecco Israel provides its clients with global recruitment and placement services, outsourcing services, payroll services, comprehensive financial management, CFO consulting services and various services tailored to the client company’s needs – all without being required to have a legal entity abroad.
Adecco assists its Israeli clients that operate in the United States, or in any other country around the world, with any matter relating to regulations and management on the ground. In addition, Adecco assists job seekers in the US and takes care of their needs and rights.
Contact us, and we would be happy to help your company reach great success in the USA!