Acumen International is a global PEO/EOR company that supports international businesses with HR solutions for hiring, payroll, benefits, taxation and more in 190 countries around the world. Acumen’s global employment services offer a one-stop-shop, providing a single solution designed to meet our clients’ multi-site global hiring and onboarding needs.
When a global client contacted us with an urgent need to quickly hire employees in four countries, Acumen was ready to meet the challenge with our Express Global Employment Solution.
Our Client
Our client is an IT company headquartered in the US. They were looking for a solution that could help them quickly onboard four qualified local professionals in four countries – Poland, Romania, Bulgaria and Tunisia (unexpectedly) – where they did not have their own legal business entities. They were also looking for a long-term partner who could support their future HR needs and help them navigate numerous labor laws and regulations in multiple countries as they expand globally.The Challenge
Our client needed to quickly recruit and hire four qualified on-site technicians who could support the company’s client’s in-country technical operations. The client’s representatives had no previous experience with global PEO services, and requested step-by-step explanations while setting very tight deadlines. Recruitment is not a key service of Acumen International, but our flexible business model and vast global HR expertise enables us to provide specialty services for our clients upon request. Worth noting that the client was considering several vendors, and Acumen International among them. In addition to quick and smooth onboarding and employment of their candidates, the client needed consulting services regarding Transfer of Undertakings Protection of Employment (TUPE) regulations in the EU and other countries. Failure to conform to TUPE guidelines can result in serious repercussions for global businesses. The client needed more information about the labor laws in the four countries where they were hiring, and about laws in other countries where they were considering future expansion. They would eventually require multi-site global employment services as the company expands into new markets.Acumen’s Solution
The client company initially intended to sign indefinite employment agreements with employees in all four countries. Our sales team advised them of the risks associated with termination of permanent employees, and persuaded them to opt for fixed-term contracts with clearly defined termination dates. The agreements should also include a clause for potential contract renewal. However, after intensive perusal of local labor laws by our team, indefinite agreements turned out to be the better option in two of the countries.The Results
- Tunisia: In Tunisia, the client had to terminate an employee immediately after onboarding and hire a new candidate. Which made them see the afore-mentioned risks of indefinite employment with their own eyes. Acumen’s expert team was able to provide step-by-step advice to help the client negotiate a mutual agreement with the terminated employee, to avoid having to provide a 30-day written notice of termination mandated by the Labor Code of Tunisia. We were also able to sign a backdated fixed-term contract with the replacement employee.
- Romania: Indefinite (open-ended) employment agreements are the rule under Romanian law. The country’s Labor Code allows for fixed-term employment contracts only under certain conditions, and the contract’s duration must be clearly designated. Fixed-term contracts, including extensions, cannot exceed 36 months, after which time they become indefinite. Acumen dug deep into the project details to determine the pros and cons of indefinite vs fixed-term agreements in Romania and presented them to the client, along with our recommendation. The flexibility of a fixed-term contract made it the best choice in this case, and after reviewing our findings, the client agreed.
- Poland and Bulgaria: After weighing the pros and cons, the client eventually signed indefinite agreements with their new hires in both Poland and Bulgaria, all the four above countries in just slightly over a business week.
Acumen International provided:
- Detailed information about local labor laws, pros and cons of agreement options, as well as information on paid leave and other employment details.
- With our Express Global Employment solution, we prepared all mandatory documents just within a few days time, tailoring our approach to meet extremely tight deadlines. Our multi-tasking skills were challenged, but our team sailed through with flying colors.
- Employees were onboarded and ready to work in a matter of days.
- We facilitated the provision of additional benefits, including laptops for the new employees, with full protection of IP rights.
- Full GDPR compliance was achieved in all four EU countries.
- Consultation services for TUPE compliance were provided for the countries where it applies.