Top-5 Best Employer of Record Companies for Effective IT Hiring in 2025

15 Sep 2025
17 Min
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Employer of Record (EOR) service providers are reshaping how companies hire in 2025. By acting as the official employer, an EOR vendor takes care of payroll, benefits, and compliance, enabling businesses to expand globally without opening local entities.

Cleveroad stands out among software development companies by offering EOR services tailored to IT hiring, combining deep tech expertise with one-to-one staffing support. This approach lets you grow engineering capacity faster while minimizing risks.

We’ll review the top EOR providers for 2025, share criteria for choosing the right partner, and outline how to build a cost-efficient global development team, as well as other necessary Employer of Record collaboration details.

The key takeaways of this guide include:

  • EOR services streamline global hiring by handling payroll, tax filings, compliance, and contracts, allowing companies to focus on building tech teams.
  • The top 5 Employer of Record companies in 2025 provide different strengths, from global coverage to transparent pricing.
  • Choosing the right EOR partner requires evaluating coverage, compliance expertise, onboarding efficiency, and flexibility to ensure smooth and cost-efficient global expansion.

What Is the Employer of Record?

An Employer of Record (EOR) is a service model that allows companies to hire international talent without establishing a local legal entity. The EOR provider acts as the legal employer, managing workers' contracts, payroll, taxes, benefits in the target country. Meanwhile, you retain full control over day-to-day responsibilities, project management, and performance oversight.

EOR vendors are particularly valuable for organizations expanding into multiple countries, as they eliminate the need to navigate complex employment regulations in each jurisdiction. A reliable EOR vendor provides centralized HR administration, ensures statutory compliance, and reduces risks related to misclassification or non-compliance with local tax and labor rules.

How the EOR model works in practice

According to the EOR model, the vendor becomes the legal employer of the worker, while you manage our operational role. Here’s how the process typically works:

Candidate sourcing

We provide a shortlist of pre-vetted developers from our talent pools in 150+ countries, covering different seniority levels and tech stacks. You can review CVs within days, conduct interviews, and select the best fit without wasting time on long recruitment cycles.

Selection

We provide a shortlist of pre-vetted developers from our talent pools in 150+ countries. Then, you review CVs, interview candidates, and choose the best fit for your needs.

Contract & setup

Our team drafts a locally compliant contract and handles payroll, taxes, and legal registrations.

HR & compliance

We manage onboarding and benefits for the developers working under the EOR model.

Work management

You direct the specialist’s daily work, while we remain the official Employer of Record.

This approach allows businesses to enter new markets quickly, onboard developers in days instead of months, and stay fully compliant with local employment law. For tech hiring in particular, partnering with an EOR vendor ensures that contracts cover critical aspects such as IP ownership, data protection, confidentiality, and so on. These aspects are essential for the success of software development projects, while strong online employer positioning (source: Taylor and Francis Online) further helps attract and retain top global talent under the EOR model.

Why you should invest in EOR

Expanding into new markets is challenging: legal compliance, payroll management, and entity setup often delay hiring and inflate costs. Partnering with an Employer of Record vendor solves these problems, enabling companies to scale quickly while staying fully compliant.

Below are the key reasons why investing in EOR services pays off:

  • Fast entry into new markets. Hire employees legally within days instead of waiting months to register a local entity.
  • Reduced compliance risks. EOR vendors manage labor laws, tax codes, and social regulations, protecting you from penalties and liabilities.
  • Streamlined payroll and benefits. A global EOR ensures timely, accurate salary payments and benefits administration across multiple countries.
  • Lower operational overhead. No need to open costly local offices, because top EOR companies let you expand lean, whether you’re a startup or a large enterprise.
  • Access to global talent. Build distributed teams quickly by hiring top-tier professionals anywhere without worrying about contracts or local bureaucracy.
  • End-to-end HR support. Many providers also manage onboarding, employee records, and compliance packages, ensuring smooth operations.

According to Velocity Global, companies using an EOR can get into markets up to 60% faster and save 30–50% in costs compared to doing it all on their own. Working with the right global employer of record lets you grow lean and scale smart, as well as hire with confidence and enter new markets faster.

At Cleveroad, we combine our expertise in custom software development with EOR-driven IT staffing, helping clients scale engineering capacity without legal or administrative overhead. For example, to scale development efficiently, our client, a UK digital healthcare company, partnered with Cleveroad for IT staff augmentation under an EOR model.

We assembled a team of skilled developers who built a secure Telemedicine Appointment Management System with features like online consultations, prescription management, and patient record handling. Thanks to EOR cooperation, our client quickly hired healthcare-focused engineers abroad and released their platform fast, on budget, and within the planned timeframe.

Choose Cleveroad’s IT staff augmentation with EOR services to hire pre-vetted developers globally, speed up market entry, and cut expansion costs by up to 50%

Top 5 Best Employer of Record Companies for International Tech Recruitment in 2025

We’ve evaluated dozens of Employer of Record providers based on criteria such as global coverage, compliance expertise, technology integration, cost-effectiveness, and client reviews. Moreover, we’ve curated a list of the top 5 EOR companies for international tech recruitment in 2025 and validated with Global Hiring and HR Tech Advisor. Each of these providers offers robust solutions to help businesses hire and manage employees abroad efficiently.

Here is our final list of the best EOR companies for 2025:

  1. Cleveroad: Tailored EOR services with strong tech focus
  2. Rippling: All-in-one HR platform with integrated global EOR capabilities
  3. Remote: Comprehensive global employment platform
  4. Remofirst: Cost-effective EOR solution for startups and SMEs
  5. Papaya Global: Scalable global workforce management and payroll platform

Let’s take a closer look at each of these companies and what exactly they offer.

Cleveroad

  • Founded in: 2011
  • Core tech hubs: Estonia, Norway, the US, Poland, Ukraine
  • Website: cleveroad.com

Cleveroad is a globally recognized software development partner that also provides Employer of Record (EOR) services tailored for tech teams. Through our EOR services, Cleveroad enables clients to build and manage distributed development teams without setting up local entities. We handle the full scope of employment documentation, including NDAs and IP rights agreements, and take care of payroll, tax compliance, and benefits administration.

Our recruiters connect you with pre-vetted developers from a talent pool of 20,000+ specialists across such cost-efficient regions as Latin American and Central and Northern Europe. What is more, they cover roles from mobile and web engineers to DevOps, QA, and cloud experts. A dedicated account manager oversees onboarding, time-off tracking, and ongoing HR coordination, so your developers can focus on delivery while we manage all administrative and compliance tasks.

As one of the leading EOR service providers, Cleveroad combines technical expertise with reliable compliance support. We also provide transparent pricing under a single EOR contract and select junior, middle, or senior talent based on your actual needs, ensuring you get the right skills without overspending your own budget.

Cleveroad’s credibility and quality are reinforced by ISO 27001 and ISO 9001 certifications as well as AWS Select Tier Partner status, ensuring both security and scalability. Unlike traditional recruitment agencies, Cleveroad specializes in IT staffing within EOR frameworks. Our consistent performance has earned recognition from top B2B directories: including a Clutch Global Award in Spring 2025 and a 7th place in Clutch’s Top 1000 Companies for 2024. With a 4.9/5 Clutch rating, Cleveroad is a trusted EOR partner for organizations seeking to hire developers internationally, optimize costs, streamline processes, and launch projects with confidence.

Rippling

  • Founded in: 2017
  • Core tech hubs: San Francisco, USA
  • Website: rippling.com

Rippling is known for its all-in-one HR, IT, and finance platform, and it has emerged as a powerful Employer of Record provider for global hiring. The company’s platform enables organizations to onboard and manage employee and contractor profiles across multiple countries from a single dashboard. With Rippling, HR teams can handle everything from setting up new hires with laptops and software access to running multi-country payroll services and benefits administration. Through their Employer of Record services, the vendor lets businesses hire full-time international employees without needing local subsidiaries. The company takes care of generating locally compliant employment contracts, withholding taxes, and ensuring labor law compliance in each jurisdiction.

Moreover, Rippling integrates global EOR features into its broader HR service ecosystem. Companies that already use this company’s solutions for HR management can easily extend into international employment, keeping all employee data and processes in one place. For tech companies seeking a unified platform to manage both domestic and international teams, Rippling offers a compelling blend of convenience and compliance, functioning as a modern alternative to a traditional professional employer organization.

Remote

  • Founded in: 2019
  • Core tech hubs: San Francisco, USA; Lisbon, Portugal
  • Website: remote.com

Remote is one of the leading EOR vendors that enables companies to hire, pay, and manage talent in 180+ countries worldwide. Built as a fully remote-first company itself, Remote’s platform covers everything needed for global employment: it handles country-specific employment contracts, payroll in local currencies, tax withholdings, benefits management, and statutory compliance. This means a client can quickly onboard an engineer in Brazil or a designer in Japan through Remote. The platform will ensure each employee’s arrangement meets local labor laws and regulations.

Security and data privacy are their priority, given the sensitive nature of HR data across borders. Founded by experienced entrepreneurs in 2019, Remote has quickly grown to a team of over 1000 employees and has attracted significant funding to expand its global presence. Whether you’re a startup hiring your first overseas developer or an enterprise building a distributed team across continents, Remote offers a reliable, one-stop solution to grow without geographic barriers.

Remofirst

  • Founded in: 2021
  • Core tech hubs: San Francisco, USA
  • Website: remofirst.com

Remofirst stands out among Employer of Record providers by offering services in 150+ countries. The company covers the full spectrum of global employment needs: they will hire a full-time employee on your behalf, manage employment contracts, run compliant payroll and benefits, and handle taxes and social contributions in each country. The EOR platform also supports contractor payments and global invoice management, giving companies flexibility in how they engage top talent worldwide.

As a remote-first company itself, Remofirst emphasizes a streamlined user experience. Clients report that the platform makes it easy to manage global teams, and that Remofirst’s team provides responsive support through every step of hiring overseas. By removing much of the complexity and cost traditionally associated with international expansion, Remofirst positions itself as a top EOR service that enables smaller tech companies to compete effectively on a global scale.

Papaya Global

  • Founded in: 2016
  • Core tech hubs: New York, USA; Tel Aviv, Israel
  • Website: papayaglobal.com

Papaya Global offers a comprehensive platform for international workforce management, combining EOR services with global payroll, HRIS, and analytics. Papaya allows companies to hire employees in over 160 countries while it handles all local employment administration. The platform consolidates global payroll data into a single dashboard, giving HR and finance teams real-time visibility into workforce costs and compliance status across the globe. Papaya also supports contractor management and integrates with popular HR software, making it easier to incorporate into your existing tech stack.

What makes Papaya Global stand out is its focus on automation and innovation in the HR space. The company has proprietary technology that streamlines data flows and reduces manual work in managing a distributed team. For organizations seeking a scalable and tech-driven EOR solution with advanced payroll capabilities, Papaya Global is one of the best in class.

The best EOR service providers to cooperate with

Each of these top EOR companies offers a unique mix of services and strengths to support global tech recruitment. With the help of a reliable EOR company, even smaller businesses can tap into global talent pools and build diverse, distributed teams to drive their success in 2025 and beyond. The right partner will enable you to manage your international team smoothly and focus on innovation and growth, rather than paperwork.

Looking for a trusted Employer of Record partner for IT hiring?

Our in-house recruiters help you hire top developers globally, while we handle contracts, onboarding, payroll, HR, and management

How to Choose the Best Employer of Record Provider: Tips to Consider

Selecting the right partner is critical for any company looking to expand internationally. Picking the top EOR provider is not only about cost, but about how well they align with your growth strategy. Whether you’re a startup or an enterprise, understanding what sets the best employer of record services apart can help you avoid risks and build a scalable hiring model.

The right EOR service provider will cover compliance, simplify HR processes, and give you the flexibility to adapt as your team grows. Below are the key factors to evaluate when you choose an EOR.

Global coverage

If you’re a company looking to grow quickly in new countries, prioritize Employer of Record services companies with broad international reach. Wide coverage minimizes the risk of being blocked by regional hiring restrictions and ensures you can expand seamlessly into both established and emerging markets. It also gives you flexibility to reallocate resources if you decide to pivot or explore opportunities in different regions.

Cleveroad provides Employer of Record services directly, offering proven hiring options in 150+ countries. This allows our clients to scale tech teams globally with full compliance and confidence. With a focus on IT staffing, Cleveroad ensures that developers sourced from Latin America and Central and Northern Europe are not only hired legally but also integrated quickly into your product roadmap.

Clear pricing

The best Employer of Record services clearly explain their pricing models with no hidden fees for onboarding, benefits, compliance, or payroll. This transparency is crucial when planning accurate long-term staffing budgets.

Cleveroad’s managers deliver detailed cost breakdowns for every engagement. Whether you hire a single developer or a full team, you’ll know exactly what the total cost will be before onboarding begins. Their flexible engagement model, combined with transparent pricing, helps companies of all sizes expand globally without overspending.

Legal compliance

Compliance is one of the main reasons for using an EOR service. A trustworthy vendor will track labor laws, tax codes, and benefit requirements across jurisdictions to minimize legal risks.

Cleveroad handles employment documentation end-to-end: we prepare and manage contracts with tech specialists, draft NDAs to protect sensitive business data, and set up IP rights agreements to safeguard your product. Our team also ensures that every document complies with local labor laws and industry regulations: for example, GDPR for EU projects or HIPAA for healthcare solutions. With ISO 27001 certification and experience in regulated domains like FinTech and Healthcare, we help clients minimize risks and stay compliant across jurisdictions.

Customization and flexibility

One of the biggest advantages of working with an EOR partner is the ability to adapt your hiring model to current business needs. Instead of committing to fixed team sizes or unnecessary senior roles, you can scale your workforce up or down as projects evolve. This ensures you only pay for the expertise that truly adds value.

Cleveroad provides transparent pricing and flexible EOR engagement: you can hire a single developer or build a full cross-functional team under one contract, with clear cost breakdowns upfront. This approach allows companies from different domains to plan their budgets confidently, avoid hidden fees, and stay agile while expanding their global engineering capacity.

Onboarding effectiveness

Smooth onboarding is critical for both productivity and employee satisfaction. Reliable Employer of Record service companies ensure all necessary documents, benefits packages, and compliance checks are completed before the developer’s first day. It prevents delays, reduces early turnover risk, and gives new hires confidence in the company’s professionalism.

Cleveroad helps companies of all sizes streamline onboarding through a structured EOR framework. From drafting compliant contracts to managing equipment allocation, our specialists prepare developers for immediate integration into your projects. Thanks to this comprehensive EOR process, you can onboard developers quickly, accelerate delivery, and reduce administrative overhead.

One of our recent clients, Parthenon, turned to Cleveroad to quickly strengthen their engineering capacity without setting up a local entity. Thanks to our EOR model, we provided pre-vetted developer CVs within just a few days and ensured a smooth onboarding process. Our dedicated HR managers handled all compliance and payroll tasks, so the new specialists could start contributing to the project immediately. This efficient approach helped the client scale their team fast and focus entirely on product delivery.

Watch Sarah Timm’s review on Staff Augmentation services delivered by Cleveroad:

Ongoing customer support

When evaluating who offers the best Employer of Record solution, don’t overlook support. Strong, reliable assistance is what determines whether global hiring runs smoothly or becomes a source of frustration. That’s why a reputable EOR provider must offer responsive and knowledgeable support. Quick access to HR experts who understand both local laws and international operations can prevent small issues from escalating into major risks.

Our experts assign you a dedicated account manager and HR coordinator who oversee the full employment lifecycle. They handle payroll coordination, time-off tracking, and compliance monitoring, ensuring accurate and timely processes in line with local regulations. By combining local expertise with international experience, Cleveroad demonstrates who offers the best Employer of Record solution for tech-driven companies scaling across borders.

Sticking with these key points, you’ll be able to confidently pick one of the best EOR providers to hire and manage your global team. With Cleveroad’s mix of EOR services and custom software staffing, you’re getting a smart, strategic edge to expand into new regions and succeed globally.

Points to check when choose EOR company

How Much Does It Cost to Collaborate with EOR Vendors?

Expanding abroad with the help of the Employer of Record companies is far more cost-effective than setting up local subsidiaries. Instead of building an internal team to handle recruitment, contracts, payroll, and compliance, you can engage an EOR that already provides all these services as part of their offering. With one EOR vendor covering benefits, payroll, compliance, and HR administration, you avoid hiring separate in-house specialists for each task and instead pay a fixed monthly fee, making global expansion far more predictable and cost-efficient.

Most EOR vendors use a straightforward pricing structure, usually a monthly fee per employee. Costs vary depending on the country, the complexity of the contracts, and the services included. For smaller businesses, using an Employer of Record can reduce market entry costs by 30–50% compared to setting up a local legal entity on their own. For larger organizations, partnering with an employer of record enables rapid scaling across multiple regions worldwide while reducing legal risks and minimizing operational overhead.

To give you an idea of the market, below is a breakdown of average EOR service pricing. These figures represent typical industry ranges and may vary by provider.

EOR service componentAverage cost range (per employee/month)Notes

Flat EOR service fee

$300 – $1,000+

Covers contracts, payroll, compliance, and HR administration

Benefits & insurance packages

$50 – $250+

Health, retirement, and other employee benefits (country-dependent)

Contractor management

$50 – $150+

Invoicing, payment processing, tax compliance for contractors

Visa & work permit assistance

$1,000 – $5,000+ (one-time)

Depending on country complexity

Onboarding & offboarding fees

$100 – $300+

Some vendors charge per onboarding process

At Cleveroad, we combine transparent pricing with deep IT staffing expertise. Unlike generic vendors, we focus on sourcing developers from cost-efficient hubs in Latin America and Central and Northern Europe, where average rates start at $50–$80 per hour. This ensures you not only save on EOR overhead but also access experienced tech talent faster.

Why Choose Cleveroad for EOR Cooperation

Cleveroad is a software development company and Employer of Record service provider with headquarters in Estonia and R&D centers across Central and Northern Europe. Since 2011, we’ve been helping businesses of different scales, from startups to Nasdaq-listed enterprises, access global tech talent quickly and legally through EOR-driven IT staff augmentation services.

We work with a vetted talent pool of 20,000+ specialists across Latin America and Central and Northern Europe. Our clients get access to developers of all seniority levels: junior, middle, and senior. In addition, we can provide niche experts in mobile and web engineering, DevOps, QA, UI/UX, and cloud solutions. By engaging Cleveroad as your EOR partner, you gain only compliant hiring for ready-to-deploy IT professionals who can join your projects in days.

These are key benefits you’ll receive during cooperation with us:

  • We offer flexible collaboration formats under EOR contracts (e.g., IT Staff Augmentation, Dedicated Team Services, Project-Based model), allowing you to scale up or down depending on your needs.
  • You can hire one engineer or build a cross-functional team under a single EOR contract. We manage legal employment, payroll, and HR tasks, while you retain full control of day-to-day work.
  • We provide a personal account manager and HR coordinator who handle recruitment, onboarding, payroll coordination, and time-off tracking, ensuring smooth cooperation in every EOR contract.
  • Helping clients benefit from cost-efficient development rates ($50–$80/h) while maintaining consistently high quality and reliability

We’d like to prove our expertise in IT staff augmentation under EOR contracts by sharing a few recent cases from our portfolio with you:

  • Penneo (Denmark): DevOps staff augmentation for a Nasdaq-listed company. We built a distributed DevOps team under EOR contracts, ensuring full compliance and seamless integration with the client’s workflows.
  • Video-on-Demand platform development (Europe): Hired full-stack developers via EOR to support product development without setting up a local entity. We managed payroll and onboarding, reducing risks and saving time.
  • Telemedicine platform (UK): Provided healthcare-focused engineers from our Central and Northern Europe pool under EOR agreements to build a secure appointment management system.
  • Piceasoft (Finland): Assembled a dedicated development team under our EOR model to enhance mobile solutions for device lifecycle management. We provided quick access to skilled engineers, handled all compliance and HR tasks, and ensured smooth, seamless integration with the client’s in-house processes and workflows.

With Cleveroad, you don’t just get a vendor that provides employer of record services, but gain a strategic partner who helps you hire top talent globally, reduce legal risks, and expand your development capacity with confidence.

Scale your development team with a trusted EOR partner

Cleveroad’s EOR specialists and IT recruiters will connect you with top talent across a wide range of countries, while handling all HR and payroll tasks

Frequently Asked Questions
What is EOR?

An Employer of Record (EOR) is a service model that allows companies to hire international talent without establishing a local legal entity. The EOR acts as the legal employer of record, managing employment contracts, payroll, taxes, benefits, and compliance with labor laws in the target country. Meanwhile, you retain full control over day-to-day responsibilities, project management, and performance oversight.

What are the best EOR companies in 2025?

Some of the best EOR companies in 2025 include:

  • Cleveroad
  • Rippling
  • Remote
  • Remofirst
  • Papaya Global

For example, Papaya Global is an EOR that combines HR services and global payroll with automation, while Cleveroad focuses on IT staffing where the EOR manages contracts, compliance, and payroll for tech specialists. These providers help smaller companies and enterprises alike find the best talent through services across 150+ countries, offering a wide range of services to simplify international hiring.

Who offers the best Employer of Record solution?

The answer depends on what you expect from your EOR partner: the benefits of using an employer include faster market entry, reduced compliance risks, and streamlined HR management. Among the top EOR companies, Cleveroad stands out because it not only ensures legal employment and payroll but also provides access to a vetted talent pool of 20,000+ tech specialists. This combination of compliance and IT staffing expertise makes Cleveroad a strong choice for businesses seeking a reliable employer of record solution.

How do I choose the right EOR provider for my business?

To choose the right EOR provider, start by evaluating their global coverage, compliance expertise, and ability to handle HR and payroll services in your target countries. Look for transparent pricing, flexible engagement models, and proven experience in your industry to ensure smooth scaling. Partnering with a reputable EOR like Cleveroad also gives you access to pre-vetted tech talent, making it easier to expand your development capacity quickly and securely.

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