Article Spotlight: Pitfalls of Hiring Internationally
Although recruiting IT personnel internationally is nothing new, some firms late to the game face unforeseen challenges. Kate Stacey writing for techadar.com, describes specific challenges in hiring internationally. A few are highlighted below.
Starting Too Late
According to the article, “The added complexities of recruiting international workers can make the hiring process a lengthy affair. Working across time zones can cause delays, as can the use of interpreters. Local processes such as verifying qualifications or contacting references may also work to longer timeframes than anticipated. Organizations can be caught short by failing to take these factors into account. Rushed hiring decisions can put you at risk of recruiting underqualified or otherwise unsuitable employees. This approach is counterproductive, leading to higher turnover rates and associated costs(opens in new tab). To avoid this situation, start your international recruitment process as soon as possible, allowing plenty of time for potential delays.”
Ignoring Compliance Issues
Stacey continues, “Organizations are usually adept at managing compliance issues in their native country. When recruiting internationally, you need to have the same level of understanding of the complex compliance landscape in various regions. This includes becoming familiar with local rules and regulations around:
- Leave entitlements
- Workplace health and safety
- Probation periods
While navigating a different system can be a complex task – especially if it involves a different language – it’s not an issue to ignore. If you’re hiring international workers, you must understand and comply with the relevant laws of the region where your workers are based. Failing to do so can result in large financial liabilities.”
Misclassifying International Workers
The article concludes, “When hiring international workers, you should be clear about their employment status. Often, this is a distinction between hiring international workers as contractors versus hiring them as employees. The definition of each of these terms varies from country to country…Some may try to classify an international employee as a contractor to work around tax liability or other compliance issues. This occasionally happens inadvertently as a result of misunderstanding the characterization. Either way, misclassification opens you up to liabilities(opens in new tab)…The law generally looks at the nature of the relationship between an organization and a worker to determine the worker’s status, rather than a label. If you hire an international worker on a contractual basis, yet the law determines the relationship to be one of employer-employee, it can result in significant financial and tax liabilities in the country where you’re located, and where the worker is based.
When recruiting internationally, obtain legal advice on how best to do so. By properly classifying workers from day one, you ensure their rights are respected, and avoid costly financial penalties.”
Although the outlook for local IT recruits remains fantastic, businesses may feel extraordinary pressure to ramp up hiring by looking internationally. As plentiful as international IT personnel can be, there are certain obstacles that remain.
If you are interested in learning more about getting the best IT talent in the Dallas metroplex, BCT specializes in recruiting IT talent in Dallas, Ft. Worth, and North Texas. So if you are looking for a rewarding career, contact us today.