What is a Global Employer of Record (EOR)? A Global Employer of Record (EOR) is a third-party company that legally employs workers on your behalf in countries where you do not have a registered business entity. The EOR signs the employment contract, runs payroll, withholds taxes and social contributions, administers statutory benefits, and carries compliance liability under local labor law. Your company keeps full control of the employee’s day-to-day work, performance, and IP — without spending the estimated USD 20,000 to USD 80,000 and three to six months it typically takes to set up a foreign subsidiary.