Testimonial
Manuel Ramos
TERAO ASIA
Managing Director
We think INS Global is a good solution about starting business in new and complex markets. Understanding the market doesn’t mean you need to set up a company immediately.
5/5
When you are looking to expand into the Macau market, knowing the best way to make an entrance can be difficult. Complex and unfamiliar local regulations are often problematic for foreign companies, and the support offered by potential local partners is not always advantageous.
For companies wishing to hire and manage crucial HR functions in overseas target markets in as little as 48 hours, a EOR (Employer of Record) in Macau offers a simple and secure path to total global mobility. INS Global offers a EOR service combining expertise and experience for internationally expanding companies.
As a third-party organization that takes on the responsibilities of an employer, an Employer of Record (EOR) in Macau provides companies with a cost-effective and simple solution for the complications of overseas hiring and employee management. INS Global offers EOR services for companies looking to streamline the complexities of global mobility.
INS Global offers a EOR solution that can be your key to a successful market entry. With over 15 years of experience helping companies expand to over 80 countries, INS Global has the skills and tools you need to succeed.
A EOR service provider will understand every aspect of local labor laws and regulations. This means you can operate in Macau while feeling completely secure.
Establishing a new company in a foreign market can potentially take months of effort. Forming a EOR agreement means your employees can be operating in the target market in 4-5 days.
Every process involved in setting up a new company requires your effort and attention, meaning less time spent on the tasks that matter to your company’s success. A EOR manages everything you need to operate in Macau without needing your constant consideration.
Company incorporation requires months of work and fees, and joint ventures may lead to serious legal and financial problems if your partner’s priorities change. A EOR service provider gives you all the support you need for one simple monthly fee.
The steps to open a new company in Macau are lengthy and complicated, requiring a presence and legal expertise in the area. A EOR offers a way for companies to operate while avoiding the processes required to set up a new legal entity.
A EOR:
The Advantage in Figures
| PEO/EOR | Company Incorporation | ||
|---|---|---|---|
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Price |
80% Less Expensive |
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Market Entry |
2-5 Days |
6 Months |
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Employee Turnover |
Decrease by 14% |
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Recommendation |
98% of the Current PEO Clients |
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Administrative Fees |
Saves an Average of $450 |
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Costly Payroll and Compliance Fines |
Help Avoid |
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Company Growth Rate |
7 – 9% |
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ROI |
27% |
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Closed During Pandemic |
-58% |
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Manuel Ramos
TERAO ASIA
Managing Director
We think INS Global is a good solution about starting business in new and complex markets. Understanding the market doesn’t mean you need to set up a company immediately.
INS Global offers a simple 4 step solution to establishing a EOR agreement:
When considering a PEO, you are likely to hear about Employer Of Records. The two types of service differ in how they relate to you and your employee, but ultimately, they are very similar.
Typically:
While in some countries, there may be more of a distinction made between PEOs and EORs, INS Global’s EOR solution in Macau offers the benefits of both.
Macau doesn’t require contracts with residents to be written; however, for non-residents, employment contracts must be both written and fixed term.
It is still always suggested to have a written work agreement with all employees to avoid potential problems later.
Macau’s work agreements must reach basic minimum benefit amounts offered within the Macau SAR or be considered void. This includes the MOP 32 per hour minimum wage introduced in 2020.
A workweek in Macau is limited to 48 hours, typically spread out as 8 hours per day in a 6-day week. However, the daily limit may be increased to 12 hours so long as the 48-hour weekly limit is respected.
Overtime is calculated as 20% over standard salary, and overtime hours can be agreed upon by mutual consent. There are exceptions to this where an employer can require employees to work up to 12 or 16 extra hours of paid overtime (at 50% over standard salary) in the event of an emergency.
Macau employees are eligible for a minimum of 10 days of national holidays. Many of these holidays are based on a lunar calendar, so they change annually. Employers are expected to ensure time off or make alternative arrangements for these days, so it is essential to check regularly for updates.
In addition to public holidays, employees in Macau must have a minimum of 6 days statutory leave (including annual leave, sick leave, etc.) per calendar year after the first year of service.
Since 2020, maternity leave has been increased to 70 days for the birth of a new child. This starts from the date of an employee’s confinement, and the employee must have worked for the company for a year previously. During this period, the employee must be given basic remuneration.
Male employees are eligible for 5 days of paid paternity leave upon the birth of a new child.
Employers are expected to organize resident long-term employee payments to Macau’s Social Security Fund, which covers pension, disability, unemployment, and other social security payments. This contribution is MOP 30 per month from the employee and MOP 60 per month from the employer.
Employers are also expected to pay MOP 200 per quarter for each non-resident employee as a “recruitment fee.”
Employers and employees (residents and non-residents) share the cost of Macau’s universal Health Care Fund, which amounts to around 5% of an employee’s monthly salary.
Corporate tax in Macau is a maximum of 12%, one of the lowest in the world.
Payroll, contract management, and guaranteeing tax compliance are just a few of the important HR responsibilities that a credible Macau PEO or EOR may handle for a monthly charge based on a proportion of the co-employed employees’ salary.
You may move employees or hire new ones in Macau legally, safely, and practically by working with an EOR. Using this technique, outsourcing may be done lawfully for both short-term and long-term projects.
When an employee is managed by an EOR, they may benefit from a number of services, such as full legal protection, local understanding of all employer responsibilities, timely and accurate payment, improved employee benefits, and more.
While maintaining complete control over their work process, contractors who interact with clients through an EOR or PEO have access to many of the same perks and protections as regular workers.
Yes, an EOR gives you protection no matter where you travel while accounting for any and all changes in local or regional employment regulations.
With certain PEO organizations, there may be a minimum or maximum number of employees you may hire. However, you are free to co-employ as many employees as your global strategy requires with INS Global.
In addition to wages and any payments made to recruiting agencies or experts, payroll expenses must also take into account indirect or additional expenditures like social insurance contributions, bonuses, or incentives.
Even though signing incentives are optional, they must be considered when estimating recruiting costs abroad.
Employees of a corporation with a branch in Macau should be free to choose between a real workspace and a home office to provide the most competitive package to potential candidates.
In order to assist you in finding the ideal new team members in Macau, members of our recruitment team have access to professional networks, in-depth knowledge of offline and online business resources, experience with following the region’s best practices, and more.
INS Global uses the most up-to-date hiring technologies and sector-specific expertise to help you locate the top candidates from Macau natives and foreign residents. When we hire workers on your behalf, we take into account all variations in local customs and laws to prevent any potential issues.
Businesses of all sizes, from SMEs to multinational organizations, should consider employing an EOR when searching for a quick, easy, and secure solution to enter the Macanese market.
With our legal expertise being suited for anybody who either lacks their own internal structures or wishes to prevent corporate bloat while expanding, INS Global offers vital PEO or global Employer of Record services to firms in a variety of sectors.
Employing independent contractors is possible both directly and through a middleman, such as a staffing agency or an umbrella business. Through networking, job boards, social media, trade organizations, and other means, you might be able to find the finest contractors to meet your demands.
Typically, independent contractors carry out their job as independent contractors or as owners of small firms through which they can issue bills to customers. They should then be hired through a contractor work agreement rather than an employment agreement.
An independent contractor could be asked for a resume, portfolio, references, and perhaps a signed NDA before beginning. However, depending on your demands, the hiring process could be different. References from a contractor should be extensively reviewed to confirm the level of service they offer.
Payroll in Macau is generally organized every month but may be done weekly according to preference, with a 13th-month bonus around Chinese New Year.
In 2023, the minimum wage is MOP6,656 per month or MOP32 per hour, depending on how a worker is paid.
Non-residents seeking to live and work in Macau should apply for a work permit (known as a Non-Resident Worker’s Card and generally granted for 1 to 2 years). This is done by the company that offers an official employment contract to the applicant.
Companies should deduct amounts for tax and social security at source. Individual income taxes vary according to income but are generally levied on all income earned in Macau.
All resident workers also pay MOP90 per month in social security contributions (2/3rds of which is contributed by the employer). This social security payment is not mandatory for foreign employees, but companies must then pay an additional monthly MOP200 foreign employee tax.
Social security contributions give employees access to the usual forms of employee benefits in Macau like sick leave, parental leave, and annual leave, as well as other typical benefits like pension and healthcare.
For workers with a written contract in Macau, all changes or amendments should be made in writing with the signed consent of both the employer and the employee.
Both resident and foreign workers in Macau have free access to public health services. Healthcare is comparable in level to Hong Kong (with some patients being transferred to Hong Kong for larger matters), but international companies are still recommended to offer private medical insurance plans to their employees to gain access to the private healthcare options available in Macau.
Notice periods and severance pay details are typically determined by negotiation in Macau. Mandatory minimum notice periods are 15 days for an employer or 7 days for an employee, or in cases of termination with just cause no notice period is required.
Workers eligible for severance pay must receive the equivalent of between 7-20 days of standard salary according to a number of factors including seniority.
The Labor Affairs Bureau oversees employment regulations and employee protections in Macau.
Macau has 20 public holidays, split between 10 mandatory and 10 non-mandatory holidays with employees who work on mandatory holidays eligible for increased pay or time off.
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