Businesses may consider utilizing PEO services in Latin America to support their business continuity planning. Like many countries, Latin American governments are currently placing restrictions on travel and commercial activity as part of their measures to counter the spread of coronavirus, or COVID-19.
Economies worldwide – and the businesses within them – are experiencing varying effects on their commercial activity from these restrictions. The short and medium-term future for businesses may be uncertain during this time. Multinational businesses or business owners that require a degree of travel to conduct business may feel particularly affected and struggle to continue commercial operations overseas.
In this situation, a Professional Employer Organization (PEO) may be able to complement business operations by supporting companies’ staffing needs abroad.
We explain how using PEO services in Latin America as part of your business continuity plan can help overcome times of economic uncertainty.
Continue your business overseas with a PEO service provider in Latin America
Many Latin American countries have decided to impose an entry ban for foreigners to counter the spread of coronavirus or COVID-19.
Additionally, many airlines have canceled their flights and therefore support the announced travel restrictions worldwide. As examples serve the USA, Colombia, European countries, Turkey, and others.
These recently announced regulations put international companies to the test. International travel is complicated or not possible, offices must close in many countries, and companies may struggle to continue operating.
Through a co-employment model, a PEO provider in Latin America will hire staff on behalf of another company, comply with all local employment obligations and support the staff member as they conduct operations for the hiring company.
The advantage of working with a PEO in Latin America lies in reduced bureaucracy for the hiring company, which can be very time-consuming and costly. Furthermore, small and mid-size enterprises operating internationally can benefit from a PEO’s relative size, by enabling their outsourced staff member’s access to certain company benefits, such as health, life and dental insurance.
PEO service providers in Latin America enable easier market entry and exit, bypassing the need for company incorporation and supporting small-scale expansions. They more easily find top talent for businesses, as they have sound knowledge of the labor markets abroad, easing the burden on companies to navigate this themselves.
Engaging with a PEO to hire your staff abroad negates the need to travel or potentially exit the market as a result of current restrictions on commercial activity and people movement.
How to engage with a PEO to hire local sales staff to continue operations
Making PEO services in Latin America part of your business continuity plan can be the key to success in times of economic uncertainty. A PEO can be valuable for multinational businesses to stay afloat.
Decide whether your company should seek out a Professional Employer Organization (PEO) in Latin America:
- Is your company struggling with human resources-related needs due to its size, expansion activities, or current travel restrictions?
- Is your company experiencing compliance-related issues?
- Do you need help supporting your employees overseas?
When engaging with a PEO, it is very important to find the right one for your company. A checklist can help to find the matching PEO company for your business:
- Does the PEO company cover all countries I am operating in?
- Do they have experience finding talent within those countries?
- Do they speak a language that you understand?
- Can they meet your human resource and/or expansion needs?
Contact Biz Latin Hub to utilize PEO services in Latin America
Hiring staff through a PEO in Latin America as part of your business continuity plan in times of economic uncertainty can help you to continue operating internationally.
Our multilingual team of local lawyers, expert accountants and payroll managers can help you run your international business successfully. We provide you with tailor-made PEO services, such as recruitment and hiring, payroll management, vis procedures, accounting and taxations, legal services, market analysis and others. Our vast experiences and commitment to service in Latin American countries, Australia and New Zealand can ensure that your company is supported in its activities.
Get in touch with us to continue your operations.
Learn more about our team and expert authors.