Table of contents
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Why Georgia
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Taxes in Georgia
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Public holidays in Georiga
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Paid Leaves
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Countries where we hire
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What is an EOR
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How EOR works
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Functions of EOR
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Employee recruitment services
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What is an EOR payroll
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Responsibilities of EOR
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Benefits of using an EOR
Why Georgia?
Right between Europe and Asia, Georgia has it all, and it's hard not to fall in love with Georgia. Already the first humans (outside of Africa) settled here, and they must have known why:
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A diversity of cultures,
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highly educated
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friendly population
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and very high standards of security.
Here are the reasons why we thought of Georgia as an ideal country for Gegidze’s base.
1. Over 90% of Georgia's population has at least secondary education. There are more than 50 higher education institutions and over 150 language centers in Georgia.
2. English is the primary foreign language taught and more than 15% of students are also choosing other European languages as their third language option.
3. Tbilisi is the vibrant, beating heart of Georgia and home to more than 75% of its cosmopolitan citizens.
4. High-speed broadband and mobile internet are available throughout the whole country.
There is a lot of young, skilled, and motivated talent around who is waiting to join an international venture.
Capital
Tbilisi
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Currency
Georgian Lari (₾, GEL)
Main Language
Georgian
Population
3,716,858 (est. 2020)
GDP Growth rate
5.0 (2019)
Easy of doing business
83.7
Payroll Frequency
Monthly
$
Cost of living index
28.05 (2021)
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Public Holidays in Georgia
1 Jan / Sun / New Year's Day
2 Jan / Mon / New Year Holiday
7 Jan / Sat / Orthodox Christmas Day
19 Jan / Thu / Orthodox Epiphany
3 Mar / Fri / Mother's Day
8 Mar / Wed / International Women's Day
9 Apr / Sun / Independence Restoration Day
14 Apr / Fri / Orthodox Good Friday
15 Apr / Sat / Orthodox Easter Saturday
16 Apr / Sun / Orthodox Easter Sunday
17 Apr / Mon / Orthodox Easter Monday
9 May / Tue / Victory Day
12 May / Fri / Saint Andrew the First Called Day
26 May / Fri / Independence Day
28 Aug / Mon / Saint Mary's Day
14 Oct / Sat / Svetitskhovloba
23 Nov / Thu / Saint George's Day
Paid leaves
Paid time off
Once an employee has completed 11 months of service with an employer, they are entitled to 24 days of paid leave annually, with a vacation benefit equivalent to one month’s salary paid three months before the annual leave.
Employees are also entitled to take 15 unpaid days off work every year.
Maternity leave
Female employees are entitled to 126 days paid pregnancy leave, or 143 in case of complications or if twins are delivered, with a pregnancy benefit equal to 100% of the normal daily wage (up to 1,000 Georgian lari or $318.98).
Post-pregnancy, mothers can take up to 604 days off work to care for newborns.
Public holidays
Georgia recognizes seventeen public holidays.
Sick leave
Employees will take up to 42 days of paid sick leave. An employee must procure a sickness card from a licensed practitioner in order to be paid.
Paternity leave
Paternity leave is enclosed in parental leave.
List of countries where we hire
Armenia
Austria
Azerbaijan
Bahrain
Belarus
Belgium
Bulgaria
China
Croatia
Cyprus
Czech Republic
Egypt
Estonia
Hong-Kong
Hungary
Iceland
India
Iran
Ireland
Israel
Italy
Japan
Kazakhstan
Korea
Kuwait
Latvia
Liechtenstein
Lithuania
Moldova
Netherlands
Norway
Poland
Portugal
Qatar
Romania
San Marino
Saudi Arabia
Serbia
Singapore
Slovakia
Slovenia
Spain
Sweden
Switzerland
Turkey
Turkmenistan
UK
Ukraine
United Arab Emirates
Uzbekistan
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What is an Employer of Record (EOR)?
An Employer of Record (EOR) is a third-party entity that manages onboarding and administrative tasks on behalf of your business. EORs enable you to hire internationally without having to establish a commodity in different countries
How an EOR does it?
EORs have legal institutions in the countries available for their recruitment services. It means companies collaborating with EORs can diminish risks by hiring international workers because EORs control legal compliance in those countries. Essentially, they act as external HR departments as they shoulder the burden of legal compliance for employment internationally.
Functions of Employer of Record
A global employer of record (EOR) is a third-party service that enables small, medium, and enterprise-level businesses to outsource recruitment and employee management activities. It can handle everything from legal compliance to payroll processing for your employees working in different countries.
The Employer of Record's primary services covers employee onboarding, payroll, health insurance, tax filing, commissions, and other employee pros for your enterprise.
Employee of Records can also appreciably aid in your company's global expansion. With their assistance, you can hire international candidates seamlessly. In addition, their legal presence in other countries makes compliance easy while employing overseas employees.
Employee recruitment services
Employer of record services allows companies without local legal entities to employ workers legally in other countries. These services mostly fall under the functions of human resources and legal teams, including payroll, benefits, taxes, stock options, and compliance
Another employer of record services may include advisory services for companies looking to expand their teams into new markets. For example, an EOR may offer advice on integrating remote workers or creating a global compensation plan.
Employee of record services typically does not involve "co-employment," an arrangement in which two companies employ the same person simultaneously. The EOR is the only employer on paper in the country where the employee works. In practice, however, the EOR is not involved in the employee's day-to-day life beyond HR functions like payroll and benefits administration.
What is an EOR in payroll?
The EOR processes the payroll of all workers in line with the legal requirements in that jurisdiction. It includes necessary managing deductions, garnishments, expense reimbursements, and leave entitlements.
The payment method and the cycle will follow legal obligations, local customs, and the wishes of the client company.
What are the responsibilities of an employer of record (EOR)?
As mentioned above, EORs handle human resources tasks, payroll, tax and legal matters, and benefits for your workers in other countries. Those responsibilities can differ from agency to agency, as can how your EOR may handle these duties on your behalf. The most common faults of an EOR include:
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Paying your team members in local currencies
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Administering workers' benefit packages
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Making contributions to government programs
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Onboarding new employees
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With holding taxes
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Filing tax forms
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Maintaining compliance with evolving local labor laws.
Benefits of using an EOR
Collaborating with Employer of Record vendors is a commonplace practice for global companies. Reaching out to an agency that can mediate between a business in a different country and the local government helps companies mitigate risks, reduce costs, and boost team efficiency
We listed the most significant benefits of hiring an employer of record below:
Remove global market entry barriers. Though building teams abroad has many benefits, many business owners are wary of looking for talent abroad because of the challenges of registering a business institution abroad.
In some countries, waiting for the embassy's approval to start a business abroad can take several weeks or even months.
An EOR is an officially registered agency with a legal right to hire and pay professionals. Therefore, hiring an EOR vendor lets business owners start looking for talent abroad and working on projects immediately without trying to cut the red tape.
Comply with local laws
Many cases of expensive lawsuits caused by not knowing local trade and labor laws are shared among international businesses.
To avoid such issues and manage teams in a legally-compliant way, business owners rely on employers of record. EU agencies have a firm grasp of labor and business legislation. They'll ensure that all the processes within the company are compliant.
Reduce the fees of setting up a global office
Opening an office abroad is too costly. Building a team abroad from scratch costs business owners an arm and a leg.
Hiring an EOR enables business owners to save up on hiring financial, HR, and legal consulting companies. In addition, the flexibility of EOR agencies gives room for exploring new markets. Besides, it streamlines losing global offices if the collaboration doesn't live up to the company's expectations without worrying about upkeep and HQ termination costs.
Save time
Keeping track of paperwork, running payroll, administering benefits, and terminating employee contracts takes much time. As a result, business owners do not spend enough time on the company's core activities, juggling dozens of management tasks independently.
Having a reliable agency like Gegidze, which takes care of formalities, saves your managers' time.
Diminish risks
Hiring an EOR allows business owners to shift the burden of responsibility off the organization and onto a vendor. The history employer is featured in the official documentation, drafting agreements, and paying taxes. Thus, the organization will be the one to take the fall should something go wrong.
