What does Employer of Record (EOR) mean ?
Definition of Employer of Record (EOR):
An EOR is an entity that serves as employer for tax purposes while an employee performs work for an end-user hirer or a staffing firm or other business.
An Employer of Record handles all personnel functions, including payroll processing and funding; tax deposits and filing; and employment contracts and paperwork.
An employer of record also administers or provides benefits; terminates employment; and may perform background checks including drug screenings and handle worker performance issues.
In the US, the Employer of Record will also be responsible for maintaining a Certificate of Insurance, I-9, and E-Verify forms; unemployment insurance; and workers’ compensation.
