The mployee of Record (EOR) is a business model in which an outsourcing company is the official employer of employees who work for other companies. In Norway, a country with strict employment and payroll regulations, it is unclear whether the EOR model is popular. In this article we will discuss what an EOR is, how it works, what the benefits are and whether the model works in Norway.
What is Employee of Record and does it work in Norway?
Employee of Record (EOR) is a business model in which an outsourcing company is the official employer of employees who work for other companies. The outsourcing company is responsible for all employment formalities, including payment of wages and social security contributions.
The EOR service is becoming increasingly popular in Norway (https://meritu.no/employer-of-record-in-norway/), as the country has strict employment and wage laws that companies must comply with when employing workers. EOR comes to the fore as an alternative, providing companies with a solution to perceived employment difficulties.
Benefits of Employee of Record
Time and cost savings: Businesses using the Employee of Record model can save time and money as they do not have to worry about employment formalities such as recruitment, training or employee insurance.
Flexibility: The EOR model allows businesses to increase or decrease the number of employees as needed without having to worry about employment paperwork.
Legal security: The outsourcing company responsible for the EOR model is responsible for complying with employment and payroll regulations, allowing the company to avoid legal risks.
Access to specialists: the EOR model allows companies to more easily access specialists in various fields, without having to recruit them on a permanent basis.
Cost savings: Businesses using the EOR model can save on employment-related costs, such as social security contributions and employment compliance costs.
What is the market like in Norway, is it worth setting up a business there?
Norway is one of the richest countries in the world and its economy is strong and stable. The labour market there is good and the standard of living is high.
The industrial sector is an important component of Norway’s economy and the oil and gas industry, in particular, contributes significantly to its prosperity. Other important sectors include fishing, the timber industry, metallurgy and energy production.
Norway is also known for its cutting-edge technology and innovation, and the government seeks to support the development of these sectors.
When it comes to doing business in Norway, the regulations there are strict and quite complicated, but the country offers a good environment for business development. It is also worth bearing in mind that business prices and the cost of living are much higher there than in other European countries.
