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How to pay your employees when they are working from anywhere in the world?

This growing trend in global talent has fueled the growth of payment platforms.

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This article was translated from our Spanish edition. Opinions expressed by Entrepreneur contributors are their own.

Depositphotos.com

Talent is global. We knew this prior to the pandemic , but today the facilities for hiring personnel in any destination in the world have expanded and companies have already realized that it does not matter how close the person lives, but how productive and related to the organization they are. At the same time, in Latin America, professionals tend to seek to be able to work abroad, as they try to protect their income in a currency that is harder than that of their country of origin. But, here comes a new challenge: how to pay this great mass of employees or hired so dispersed by the planet?

To get an idea of how the interest of Latin Americans to export their services is growing, a recent survey carried out by an employment portal (according to Bumeran) registered that 94% of users are interested in working for a company in another country. Only 6% of those surveyed in the region said they were not attracted to this type of job offer.

Even in the same survey, 36% of companies recognized that they would hire talents who live in other countries, and the same proportion assured that they would not be bothered if their current employees travel and settle in another destination.

The problem is that this diversifies the payment methods of the company, being a time of extreme occupation when it is the days of salary settlement or payment to suppliers. Not to mention that it increases the possibility of errors, which generates friction between employees and the company.

from here and there

At the same time, especially in the IT and business consulting industry, the number of freelance workers is growing. This is because their profession is among the most demanded and working for several clients is more profitable than having a single employee. In these cases the complexity is the reverse: how do they manage to unify so many sources of income? Which, in addition, surely come from different destinations.

To understand the magnitude of this trend, the Workana platform, specialized in uniting freelancers with contracting companies, assured that since the beginning of the pandemic, the registry of professionals offering services through it has increased by 42%, only in Latin America.

In this scenario, Mexico increased by 12% in the number of workers who choose to be independent and open up to a market without borders. On average, in our country, each year about five thousand new accounts are created within the platform. In addition, it is good to know that, although this modality is extremely natural for those under 30 years of age, there are already many professionals over 40 who are also beginning to embrace it.

For these freelancers, the more sources of income, the better. These are possibilities for improvement, an opportunity to obtain a higher remuneration and thus go up the monthly income floor. Managing these payments is essential for those who are independent.

Mexico increased 12% in the number of workers who choose to be independent / Image: Depositphotos.com

Solutions

This growing trend in global talent has fueled the growth of payment platforms. The above, because companies need solutions for complex payment scenarios. In contrast, traditional banking is at a disadvantage compared to fintech companies in the development of products that respond to this new need.

For companies, it is necessary to speed up the payment process, to also give each employee or supplier a solution that adapts without problems to the legislation or restrictions that may exist in their country. We know that in Latin America the rules for the transfer of shipments are usually very complex or diverse between one country and another. Therefore, having a partner such as the Colombian platform OnTop, the German Lano, among others at a global level, that helps the employer pay their collaborators no matter where they are, safely facilitates these practices.

So for B2B payments it is necessary to broaden the focus, because, ultimately, this is an added value that adds to the employer brand. In addition, of course, the Human Resources department will appreciate the incorporation of technology, because it simplifies not only payments, but also the burden of taxes, withholdings or social payments.

In these contexts, allies such as Fintech-as-a-Service are essential. Why? Because they unify in a single platform all the functions that the company needs, but also the collaborator or supplier. This agility becomes essential in these days, in which, at the slightest inconvenience, talent looks for new companies to sell their services to.

For all this, it is imperative that firms consider that looking for the best talent, with the best prices and regardless of their geographical location, implies having to admit the diversification of payments. And this is no longer a project for the future, but something that needs to be developed now. Addressing these complexities with a single vendor adds value and agility to talent and human resource management.