The Lure of Emerging Market Countries
Nowadays emerging markets are pushing global growth carving out new upside possibilities for global businesses. According to forecasts, they will account for more than 60 percent of global GDP growth by 2016 and grow two or three times faster than the developed nations. No wonder, these promising opportunities are greatly appreciated by the investors from developed market countries.
Beyond the imperative need to grow, companies have other solid reasons to enter the emerging market countries. Industries such as automotive, healthcare and pharmaceuticals or FMCG pursue volume potential while for service companies in industries like finance or logistics presence in the new or emerging markets is essential to providing full service to their clients, wherever they go.
Your PEO Provider’s Unique Geographic Presence Can Become Your Company’s Revenue-Generating Strength
When it comes to Professional Employer Organization (PEO) services, especially if the project covers a range of developing countries, having solutions provisioned in each desired country may be time-consuming and difficult. Finding independent local PEO providers may take long enough. Besides, each of them ensures different level of commitment and compliance.
Regardless of how far globalization has come, stark differences in local labour rules in new and emerging markets in the former Soviet Union, Eastern and South-Eastern Europe plus Central Asia are still evident. Governments may pursue different goals when constantly shifting employment laws and regulations in the countries concerned. However, changes of this type may render your contracts null and void or cause incorrect tax payments exposing your company to significant compliance penalties. You also need to realize that the more countries your project or your client’s project includes, the more complex your operations will get. So, processing multinational payrolls, paying employees on time, managing expense reporting and complying with local regulations on your own can sooner or later spiral out of your control. In this case, it is sure to leave room for error.
Moreover, negotiating and preparing separate agreements for each separate country may take a while, especially if the provider does not have any templates prepared beforehand. Every country has its different labour laws and specific regulatory control, so it is crucial for your company to find an experienced partner with years of in-country knowledge and experience.
You certainly can try doing global payroll by yourself. However, there is a far better alternative.
Acumen International, which is a single regional PEO and payroll solutions provider in 33 countries in the aforementioned region, offers you a unique turnkey solution with one point of contact involved and a single agreement signed. As it is concluded between your company and our UK – based legal entity, the contract is, therefore, governed by the trustworthy UK legislation. Our company can become your sub-contractor for the specific countries or have a direct agreement with your client company and a commission agreement with your company. Whatever option you choose, entrusting us with your project enables you to focus on your core competencies yet replicating your business infrastructure in dispersed countries throughout our region. Moreover, we let your company always be on the lookout for the upcoming labour laws changes.
By contrast, separate agreements governed by complex local legislations will be required for each separate country in case you cooperate with any other provider.
A Turnkey Solution with One Point of Contact Involved and a Single Agreement Signed
Regardless of the number of countries, Acumen International provides you with turnkey employment and payroll solutions in all 33 countries in our region. With a single dedicated PEO provider, you get flexibility to respond to the various employment rules and regulations in each separate market and instantly benefit from outsourcing numerous in-country employment responsibilities such as payroll preparation, income tax reporting, employee compensation, etc. All work is done for you and instead of you. All is completed in line with the local labour laws and ensuring that your remote workforce is paid correctly on time.