International Employer of Record (EOR) services in Asia-Pacific: The best partners in 2026

International Employer of Record (EOR) services in Asia-Pacific: The best partners in 2026

An Employer of Record (EOR) enables foreign companies to legally hire employees across Asia-Pacific without establishing a local subsidiary. The EOR provider acts as the legal employer, preparing employment contracts that comply with local labour laws, managing payroll and social security contributions, and assuming full legal responsibility as the employer. Meanwhile, the client company retains control over the employee’s day-to-day activities.

Asia-Pacific presents a complex regulatory landscape, with employment requirements varying significantly between countries. These include Australia's Fair Work Act, China's local social security contributions (Shebao), India's state-specific tax and employment obligations (TDS, EPF), Japan's social insurance system (Shakai Hoken), and Vietnam's work permit requirements. Using an EOR can reduce the time required to hire an employee from six months to less than 15 days.



Who are the best Employer of Record (EOR) providers in Asia-Pacific?

For European SMEs and mid-sized companies looking to expand into Asia-Pacific, the following EOR providers stand out in their respective markets.

Listed alphabetically by country, they have been selected based on four key criteria: having their own registered legal entity in the country, managing employer-related legal risks, providing transparent pricing, and offering cross-cultural business support.

1. Australia: Expandys Australia

In Australia, employers must comply with the Fair Work Act, industry-specific employment standards (Modern Awards), Pay As You Go (PAYG) withholding obligations, compulsory superannuation contributions (12% and above), and state-specific workers' compensation insurance requirements.

With its own presence in Sydney, Expandys Australia acts as the legal employer for international companies wishing to hire locally without registering an Australian company (Pty Ltd).

Key strengths of Expandys Australia:

• Full legal compliance: Preparation of employment contracts in accordance with Australian labour law and accurate classification under the applicable Modern Awards.
• Payroll and HR administration: Preparation of payslips, Single Touch Payroll (STP) reporting to the Australian Taxation Office (ATO), and leave management.
• Seamless transition to a subsidiary: Support in moving from an EOR arrangement to establishing and managing an Australian subsidiary once business volumes justify a permanent local presence.



2. China: VVR International

In mainland China, foreign companies cannot directly employ local staff without having a registered local entity. Employees must be employed through an authorised local organisation responsible for reporting personal income tax, mandatory social insurance contributions (Shebao), and housing fund contributions. Applicable contribution rates vary between municipalities.

With more than 20 years of experience in China, VVR International provides EOR solutions tailored to the needs of European businesses.

Key strengths of VVR International:

• Legal employment arrangements for local and expatriate staff across China's main economic hubs.
• Comprehensive management of payroll, municipal social security contributions and employee expense claims.
• Operational advisory services and cross-cultural coordination with European headquarters.



3. India : Expandys India

Hiring employees in India requires navigating both federal regulations and state-specific requirements across jurisdictions such as Maharashtra, Karnataka, Delhi NCR and Tamil Nadu. These include Tax Deducted at Source (TDS), the Employees' Provident Fund (EPF), Employees' State Insurance (ESI), and Professional Tax.

Establishing an Indian subsidiary (Private Limited Company) generally takes between three and six months.

Through its offices in New Delhi, Expandys India enables foreign companies to recruit and employ local talent in India in less than two weeks.

Key strengths of Expandys India:

• A flexible alternative to company incorporation: Immediate hiring of sales professionals, engineers or procurement specialists without committing capital to a local corporate structure.
• Social security and tax compliance: Monthly calculation and payment of mandatory contributions, employee benefits administration and compliance with Indian labour legislation.
• Centralised coordination: A single point of contact familiar with European business standards, facilitating coordination between local teams and headquarters' HR management.



4. Japan : PMC Japan

Japan's employment market is characterised by extensive administrative formalities, strong employee protections and specific social insurance and tax reporting obligations, including Shakai Hoken, unemployment insurance and residence tax.

Based in Tokyo, PMC Japan supports foreign companies with EOR services and HR administration for their local teams.

Key strengths of PMC Japan:

• Preparation of employment contracts and internal employment regulations that comply with Japanese requirements.
• Thorough management of payroll and statutory social security and tax obligations.
• Support in French and English to facilitate reporting to headquarters.



5. Vietnam : Source of Asia

Vietnam is a major industrial and commercial hub in Southeast Asia. The country imposes strict requirements on the employment of both local staff and expatriates, including mandatory Vietnamese-language employment contracts, social security contributions, work permit procedures and temporary residence cards.

Based in Ho Chi Minh City, Source of Asia provides Employer of Record solutions that help international companies establish a presence in the Vietnamese market more quickly.

Key strengths of Source of Asia:

• Legally compliant EOR arrangements without establishing a Vietnamese legal entity.
• Comprehensive management of payroll, employment-related taxes and work permits.
• Integration with its recruitment and business development services across Southeast Asia.

Employer of Record (EOR) vs. Establishing a Subsidiary: Which is the best option in Asia-Pacific?

Working with an international partner such as Expandys Australia or Expandys India offers a key advantage: continuity of support throughout your market entry and expansion.

Companies can initially test a market through an EOR arrangement, limiting their legal exposure and avoiding the costs of establishing a local entity. Once revenue levels justify a permanent presence, they can transition to their own subsidiary without disrupting local operations.

FAQ: Frequently Asked Questions About Employer of Record Services in Asia-Pacific