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
Going through the administrative processes required to open a separate legal entity in Australia can be a time-consuming and complex procedure.
A PEO in Australia (Professional Employer Organization) is a global mobility partner that ensures total legal compliance assurance in a target market for all overseas employees. A PEO in Australia gives companies the local expertise needed global expansion. Hire and provide HR services for employees in as little as 48h with INS Global.
An Employer of Record in Australia is a third-party provider of employment outsourcing services that acts as an employer for tax and HR administrative purposes. INS Global’s EOR in Australia allows companies to securely and cost-effectively hire and manage employees overseas in less than 48 hours.
INS Global is your local partner for Australian PEO and HR outsourcing services. We have over 15 years of experience helping companies expand to more than 100 countries. With our expertise, you can save time and money and get to work in a matter of days.
To begin operations on your own in Australia, you would first have to understand the complex system of regulations required to set up and manage a new legal identity, then ensure complete legal compliance with every law relating to labor and tax.
Choosing to establish a new company in Australia would mean being liable for every aspect of that company being fully operational and totally compliant before getting started on making it successful. It can be costly, involving large teams and many headaches, from legally hiring your employees to establishing back-end processes like tax compliance. From start to finish, the time required to start a company in Australia could be as long as two months and can require several thousand dollars in fees in the first two years.
A knowledgeable PEO can do all of these things for you in a fraction of the time, allowing you to begin the tasks you need to complete to be successful from day one.
A PEO:
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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No need to worry about falling foul of any regulations. We take care of all compliance requirements.
Avoid all the typical costs associated with company incorporation and any potential fees or fines
We arrange all your HR needs allowing you to take care of the tasks that matter to your company’s success
Begin operations immediately and let us deal with the rest
Minimize your team and maximize your potential output by letting us take care of all the tasks that would typically go to an HR department
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.
We provide a simple setup process to get you started in Australia as quickly as possible.
When considering a partnership with a PEO in Australia, you will likely also hear the term EOR (Employer of Record). Typically, the two terms are largely interchangeable based on the kind of services they offer. The main difference between the two is the level of liability taken on by the PEO/EOR and the parties involved in the agreement.
In Australia both services are indistinct according to national regulations, but INS Global can offer any elements of both according to your requirements
Many regulations in Australia protect Employer-employee relations. In addition to the variations between the different states and territories, much of what relates to employment in Australian law is subject to constant change.
The most common piece of law dealing with employment in Australia is the Fair Work Act of 2009, which employers must follow to ensure fair work conditions for their employees. Australia ranks well by any law and employment conditions index, and a failure to follow these regulations can lead to serious penalties for an employer.
Australian law recognizes non-written contracts in most circumstances. Still, it is suggested to establish a formal written contract with employees to clarify expectations and reduce the risk of disagreement later on.
Typically, employees should have a workplace agreement that sets down the rights and responsibilities of all parties involved. This is also different to an agreement with a contractor.
As there is no standard form of workplace agreement, it’s essential to consider an agreement structure that will be acceptable to all parties involved.
Employees in Australia can work for a maximum of 38 hours per week. However, an employer can request that an employee works a reasonable amount of overtime hours in addition to this.
What is considered reasonable will be related to the industry, type of work, and workplace agreement. See here for a calculator
The exact rates of overtime pay will depend on the state that an employee is working in and other factors like the amount of overtime and type of work. Typically, however, overtime rates are1.5x standard pay for the first 2-3 hours of overtime.
Full Time employees in Australia are eligible for 4 weeks of annual leave. Part-time employees are eligible for the same amount scaled down proportionally to the weekly hours worked.
The notice period required and all details related to taking leave in Australia must be agreed upon by the employer and employee.
There are 7 days of nationally recognized annual public holidays, plus others recognized individually by each state and territory.
Employees are eligible for up to 10 days paid sick/ carer’s leave, plus 2 days of compassionate/ bereavement leave.
Employers are also expected to allow for volunteer or emergency leave when necessary. However, this is typically unpaid (except in the case of jury duty).
Often called maternity or paternity leave, parents in Australia having a baby or adopting are eligible for a period of paid leave and up to 12 months of unpaid parental leave.
The adoptive parent, birth mother, or primary caregiver of a newborn child may take up to 12 weeks of paid leave in one continuous block to care for the child.
Fathers may be eligible for 2 weeks of Dads and Partner Pay, paid by the government at national minimum wage.
The employee must have worked for the company for 12 months prior to taking paid parental leave.
Employers in Australia are expected to organize tax and payroll for their employees and register them for the national “Pay As You Go” tax structure, withholding a portion of their employees’ earned income to go towards this scheme.
Current tax rates are based on brackets and vary between 19-45% for income above AUD 18,200.
There is also a national 2% levy on earned income to fund the National Health Scheme
Employers are expected to give an amount equivalent to 10% of their employees’ earned income towards the national pension scheme.
As of January 2022, all earnings in Victoria, Australia, will also be subject to an additional Mental Health and Wellness surcharge. Similar surcharges may follow in other states and territories, so it is suggested that employers stay aware of any changes to tax laws.
Corporate tax is currently at 30% for income above AUD 50 million.
Australian EOR services are priced as a portion of a co-employed worker’s salary. All HR operations required on behalf of the employee are covered by this fee, which is paid as part of the payroll process.
If you work with a local EOR, you can hire people in Australia safely and lawfully without the need for a local corporate structure. EOR services offer a fully compliant way to hire or transfer individuals to Australia with all benefits and protections.
In Australia, employers must provide their workers with total protection and a range of mandatory benefits. EOR services give businesses everything they need to effectively manage their duties in Australia while guaranteeing that employment agreements and administrative procedures comply with every necessary law.
You can join the new market for a single monthly charge without needing to construct a local organization in Australia.
In Australia, independent contractors can receive employee benefits and retain total control over their work and work procedures by entering into an EOR agreement to perform work for their clients. This allows your business to connect with a variety of nearby contractors and use our EOR to take care of contractor classification and payment compliance assurance.
The services of our recruitment agency in Australia can offer top-notch hiring services while carefully adhering to hiring best practices thanks to our extensive recruitment networks and diversified local resources. Our recruiting specialists can find the best local or international talent for you because they are thoroughly versed in all local requirements and rules as well as hiring best practices.
What’s more, once the right team members have been found and hired, they can be effortlessly integrated into your existing organization through our local EOR services.
You can find the best international talent in Australia and beyond with the help of INS Global’s Australian recruitment agency solution and compliance guarantor. Our experts employ professional hiring strategies that account for all regional or local variations in employment norms.
Without minimum or maximum service requirements, INS Global offers you the scalability to expand into more than 100 countries while hiring as many or as few team members as your projects demand.
Reacting swiftly to constantly changing worldwide marketplaces may be necessary for your global expansion. That’s why we don’t put any restrictions on your recruitment needs.
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The direct and indirect costs of working in Australia include things like payroll taxes, hiring fees, and signing bonuses, to name a few. On the other hand, all of this might be managed for a single charge by an EOR or PEO service.
Working in Australia may also require less obvious costs, including incentive programs, moving expat employees, and other expenses related to establishing local institutions. Having the right local information also helps to reduce unnecessary spending.
You can eliminate the necessity for a local physical site, which could be required as part of company opening procedures, by utilizing global EOR services.
Following national labor legislation, certain employment perks or obligations may vary between Australians and foreign nationals. In these scenarios, INS Global can offer both groups of workers total compliance assurance and promptly adapt to changes in local or global regulations.
EOR and PEO solutions can help businesses of all sizes, from small start-ups to massive multinational corporations, to succeed more quickly in a new market. Thanks to cutting-edge employment outsourcing technologies, employing local or foreign personnel effectively and securely is simple.
Our services can even replace internal HR duties while offering quick ways to expand to accommodate more workers’ requirements.
The legal expertise offered by PEO and EOR services may be particularly advantageous to businesses in various industries that lack structures or established networks in Australia (or seek to avoid cost-scaling difficulties).
You can hire contractors through certified local organizations, umbrella companies, or staffing agency services in Australia in addition to using local PEO services in Australia or an EOR in Australia. Using contractors securely and effectively without worrying about misclassification is another benefit of outsourcing the necessity to engage and pay contractors in Australia.
As an employer, you must ensure that Australian contractors are fairly compensated, even though you are not required to offer employee benefits or protections.
There aren‘t specific rules on when a company must pay its employees in Australia, but typically payroll takes place every week, fortnight, or month.
As of July 2023, the minimum wage in Australia is AUD23.23 per hour or AUD882.80 per 38-hour week.
There are many different work visas available in Australia, with a full list being available on the Australian government‘s website here.
Employers in Australia must manage and withhold tax and social security benefits for their employees as part of the regular payroll process. This also includes employer contributions to each employee‘s social security fund, which encompass Superannuation and Retirement Taxation (the equivalent of 11% of the employee‘s salary), Work Coverage (based on the chosen work insurance plan), and the Fringe Benefits Tax (47% of the value of all non-cash fringe benefits provided to workers).
In addition to providing a safe working environment with regular and accurate payment, employers in Australia must give their employees pension contributions, paid leave for public holidays, sickness, annual vacation, and parental leave, plus long service leave for employees with more than 5 to 10 years of service. Employers are also required to offer flexible working arrangements if necessary.
In general, it‘s considered best practice to have the full consent of an employee in Australia before making amendments to their contract to avoid legal problems. These amendments must be made in writing, and employers can terminate an employee if agreements cannot be reached.
Most public healthcare services in Australia are free for users or may include small additional costs. The healthcare system is funded through taxes.
In addition to this, the private healthcare system allows for private healthcare plans or services paid for by the user or through additional private health insurance.
Employees in Australia must be given a notice period before termination. Notice periods depend on the employee’s length of service:
Payments must be made to employees only in the case of redundancy if there is no evidence of serious misconduct. This payment is tax free. Redundancy payments are:
Since the Fair Work Act of 2009, Fair Work Inspectors (FWI) have overseen compliance with national labour laws.
There are 7 national public holidays in Australia on which employees are eligible for paid leave. If the public holiday falls on a typical rest day, then the next working day should be provided as leave in lieu. Additionally, each state or territory may have its own public holidays.
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