How to stay compliant

Employer-of-Record (EOR) in Algeria: Do You Need One?

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How to stay compliant

Employer-of-Record (EOR) in Algeria: Do You Need One?

So you want to hire someone in Algeria. Problem is, your company is located somewhere else. If you’ve done some research, you’ve probably been told you should be using an Employer-of-Record (EOR). Why? Well, if your company isn’t located in Algeria, using an EOR can help you bypass the traditional obstacles to hiring full-time employees.

But there’s a catch: EOR solutions in Algeria are expensive—usually at least $500 per month per employee—and can take time to set up. And because you’re complying with a different set of labor laws, logistics and benefits can end up costing you lots of time and money. While they will save you time from setting up your own Algeria entity, they’re rarely cheap or fast.

The good news? There’s another way to hire remote workers in Algeria, and it doesn’t involve forking out huge amounts of money for an EOR.

The solution: Hire your teammates in Algeria as contractors. If you’re hiring remotely and your teammates have autonomy, there’s a good chance you can make compliant contractor hires. You still have to use locally-compliant contracts, but the process is a lot easier, more affordable, and faster.

We built Thera to help you make contractor hires, in150+ countries (like Algeria). So you can hire the people you want on your team, without paying thousands for an EOR. You can get set up in a couple of clicks—and you’ll only pay $49 per contractor per month.

It’s just as easy as it sounds. No catch. Here’s what Thera looks like vs. an EOR in Algeria:

Everything you should know about using an EOR in Algeria

Are you considering hiring independent contractors in Algeria but unsure about the legal and regulatory requirements? You're not alone. In this post, we'll explore everything you should know about using an EOR (Employer of Record) in Algeria, including the legal and regulatory conditions specific to the country.

What is an EOR?

An EOR is a third-party company that acts as the employer of record for your independent contractors. The EOR takes care of all the administrative tasks, such as payroll, taxes, and compliance, so you can focus on your core business activities.

Legal and regulatory conditions in Algeria

Algeria has strict labor laws and regulations that employers must comply with. The Labor Code governs all aspects of employment, including working hours, wages, and benefits. Employers must also register with the National Social Security Fund (CNAS) and pay social security contributions for their employees.

Using an EOR in Algeria can help you navigate these regulations and ensure compliance. The EOR will handle all the administrative tasks, including registering with the CNAS and paying social security contributions on behalf of your independent contractors.

Why hiring independent contractors might be easier

While using an EOR can help you comply with the legal and regulatory conditions in Algeria, hiring independent contractors might be easier in some cases. Independent contractors are not considered employees under Algerian law, so you don't have to comply with the same labor laws and regulations.

However, it's important to note that the distinction between independent contractors and employees is not always clear-cut. Algerian courts have been known to reclassify independent contractors as employees if they find that the employer has too much control over their work.

What if I accidentally misclassify my contractors?

We’ve got two pieces of good news for you. For one, if you’re hiring remotely, it’s unlikely you’ll misclassify your contractors. Many of the things that qualify people as employees, such as company equipment and set working hours, don’t typically apply to remote work.

Still, it’s helpful to have the comfort of knowing you’re not at risk for misclassification. That’s why, at Thera, we’ve launched a Misclassification Guarantee: so you can hire contractors abroad, worry-free. Learn more about hiring with Thera below.

Hiring contractors? Thera can save you a ton of time

If you’re hiring contractors, you’re probably spending too much time on their payroll, contracts, and tax documents. Which is why we built Thera, which saves you 90% the time you spend on contractor paperwork each month.

With Thera, you can compliantly hire your contractors in 150+ countries, onboard them in minutes, and pay them all at once (in a click). It’s global contractor payroll, finally simplified.

Sound interesting? Click here to book a demo and see the platform firsthand

Run your global workforce on autopilot with Thera

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