Employing non-U.S. citizens overseas can present a range of concerns and issues from tax and compensations issues to safety concerns. Whether the project requires an employee to perform research assistance, educational instruction, or simply casual labor, in most countries you will have to comply with specific tax and labor laws. Compliance with local taxation and reporting procedures, in addition to providing payroll services, is complicated and often requires significant local infrastructure.
Lack of planning and consultation can result in tax penalties and fines as well as other avoidable costs. Consult with your campus counsel that appropriate protections are in place prior to starting any project that may require hiring abroad.
The following resources are provided with permission from Donald C. Dowling, Jr. and present an overview of international operations issues:
- How to Structure Overseas Independent Contractors
- How to Engage a “Floating Employee” to Work Remotely from a Country Where the Employer Is Not Licensed to Conduct Business or Issue Payroll
- How to Structure Global Mobility Assignments, Expatriate Postings and Cross-Border Secondments
- How to Determine Which Jurisdiction’s Employment Laws Reach Border-Crossing Staff
- How to Conduct Internal Investigations Outside the United States
- How to Craft a Global “Code of Conduct”— Internal Code of Business Ethics or Supply Chain Labor Code
- How To Conduct a Global Human Resources or Labor Compliance Audit—Including Cross-Border Employment Due Diligence
- How to Craft a Severance Release for an Overseas Employee or Expatriate