Good question. Panther used to offer Employer-of-Record services. But we quickly realized that these normally cause more headaches than they solve. Because all EOR services are hamstrung by the work environment in the country they’re being used in, things like salary changes, hiring speed, and termination are often just too slow and complex for fast-paced companies. Global employment with EORs is never as simple as ‘just a few clicks’.
As a result, most companies hate their EOR providers––and for good reason.
So we’ve built a new model at Panther. Our product serves two groups:
The 90% of global hiring that’s facilitated through contractor agreements.
The current slice of EOR hiring that could be more easily done with contractor agreements.
Let’s look at both of those…
The 90% of global hiring that’s facilitated through contractor agreements: This is a massive market, and it’s underserved with poor & underbaked contractor solutions. At Panther, we’ve built a product that lets companies hire, pay, and manage their contractors in 150+ countries.
Companies can hire with locally-compliant contracts, pay everyone all at once, and they’ll soon be able to help their team sign up for benefits, like health insurance.
The EOR hires that could be contractors instead: Many companies feel that they need an EOR if they want to hire good full-time talent overseas. But, this is never as easy as it sounds; it’s expensive, and the lengthy process alone causes lots of top talent to lose interest.
Truth is, most companies could make some of their FTE hires overseas with our contractor solution. It’s much faster & far cheaper for companies themselves. And with the things we’re building, like stipends and benefits, it’s comparable to full-time employment for the talent themselves.
Wait… can you do that? Very often, yes. Misclassification risks aren’t nearly as big as you’re told. And if you do get hit with misclassification penalties, it’s usually just to cover the things they would’ve had to pay anyway if they used an EOR. No world-shattering fees.
To recap, Panther’s solution is the best way for companies to make most of their hires overseas. And we’re focusing on this solution rather than pushing forward with EOR, which we know to be overcomplicated and frustrating for almost everyone who uses it.