Employer of Record (EOR) Australia

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An Employer of Record (EOR) in Australia acts as the official employer for workers, often referred to as a Global Professional Employer Organization (Global PEO). This role encompasses a broad range of employment functions, ensuring full compliance with local labor laws and regulations, managing payroll, administering taxes, providing legally required benefits, and handling employment contracts.

Key Responsibilities of an Employer of Record (EOR) in Australia:

Ensuring employment terms are fully compliant with Australian labor laws.
Overseeing and processing local payroll.
Managing the filing of employment-related taxes and required documentation.
Issuing payslips to employees.
Disbursing salary payments in accordance with Australian standards.

With our Employer of Record (EOR) services, expanding your business globally becomes easier and more efficient. Our solution eliminates the need for setting up a local entity, providing a seamless path to establish a legal presence in Australia. We ensure full legal compliance, manage payroll, protect your intellectual property, and handle work visas, so you can focus on growing your business and building an international workforce.

Things you need to know before hiring in Australia

Employment Contracts in Australia

An employment contract is a formal agreement between an employer and an employee that outlines the terms and conditions of their employment. These contracts can be either written or verbal. However, regardless of the form, the contract must comply with legal requirements.

Legal Minimum Entitlements in Employment Contracts

Employment contracts must not offer less than the legal minimum entitlements set by Australian labor laws. These minimum entitlements include:

The National Employment Standards (NES).

The National Employment Standards (NES) represent the basic minimum rights and entitlements that must be granted to employees in Australia who are covered by the national workplace relations system, ensuring fair treatment in the workplace. These standards cover essential areas such as leave, pay, work hours, termination, and other conditions of employment.

Pay Secrecy and Employment Contracts

Australian law gives employees and prospective employees the right to share, or not share, information about their pay and employment conditions needed to work out pay. Pay secrecy terms in employment contracts, awards, and agreements generally cannot be enforced.

Any applicable awards, enterprise agreements, or other registered agreements.

Any relevant awards, enterprise agreements, or other registered agreements that apply to the employee’s role or workplace. These agreements set out the specific employment conditions and entitlements.

All employees covered by the national workplace relations system are entitled to the NES, even if they have not signed a contract. It’s important to note that a contract cannot provide terms that are less favorable than what employees are legally entitled to under the NES or other applicable agreements.

Fixed-Term Contracts

A fixed-term contract specifies a set period of employment, either ending on a particular date or after a defined duration (for example, a seasonal role or project-based work). There are specific rules governing fixed-term contracts:

Employees on a fixed-term contract must be provided with a Fixed Term Contract Information Statement.
In most cases, fixed-term contracts made on or after 6 December 2023 cannot run for more than 2 years, including renewals or extensions, unless an exception applies.

Working Hours

In Australia, the National Employment Standards set maximum weekly hours at 38 hours for full-time employees, plus reasonable additional hours. Ordinary hours, rostering arrangements, and any overtime, penalty rates, or time off in lieu (TOIL) are often set by the applicable award, enterprise agreement, or employment contract.

13th Month Salary

In Australia, there is no legal requirement for a 13th-month salary. However, employers may choose to offer employees a Christmas bonus or other forms of bonuses at their discretion.
It is important to note that bonus payments are generally taxable and subject to PAYG withholding. Superannuation treatment depends on the nature of the payment and whether it forms part of an employee’s ordinary time earnings.

Key Points on Working Hours

Maximum Working Hours

Under the NES, a full-time employee can work up to 38 hours per week, plus reasonable additional hours. Different rules can apply for part-time and casual employees based on their agreed ordinary hours.

Minimum Working Hours

Some awards, enterprise agreements, or contracts may specify a minimum number of hours an employee must work on a shift or each day.

Spread of Hours

Ordinary hours, start and finish times, and rostering arrangements are commonly governed by the applicable award, enterprise agreement, or employment contract.

Any hours worked beyond ordinary hours may qualify for overtime pay, penalty rates, or time off in lieu, depending on the applicable award, enterprise agreement, or contract.

Termination and Severance Pay

In Australia, notice of termination and redundancy pay are key components of the National Employment Standards (NES), which apply to employees covered by the national workplace relations system. These entitlements help ensure fair treatment when an employee’s employment ends, whether through termination or redundancy, subject to statutory exclusions and any more generous award, agreement, or contractual terms.

Notice of Termination

Under the NES, employers must provide written notice when ending an employee’s employment, with some exceptions. Notice can be delivered in person, by post to the employee’s last known address, or electronically where appropriate.

If the employer doesn’t give the required notice, they must generally pay the employee instead of notice for the relevant notice period.

Minimum Notice Periods

The minimum notice periods depend on the employee’s continuous service with the employer:

Service Period	Minimum Notice
1 year or less	1 week
More than 1 year but less than 3 years	2 weeks
More than 3 years but less than 5 years	3 weeks
More than 5 years	4 weeks

Employees over 45 years old with at least 2 years of service are entitled to an additional week of notice.

Exceptions to Notice of Termination

Notice requirements do not apply to the following employees:

Casual employees
Employees on fixed-term contracts or engaged for a season
Employees terminated for serious misconduct (for example, theft, fraud, or violence)
Employees employed for a specific task, training arrangement, or stated period in circumstances where the NES exclusion applies
Daily hire employees in certain industries where an applicable award or instrument provides different rules

Apprentices are generally entitled to notice unless they are dismissed for serious misconduct or another specific exception applies.

Redundancy

Redundancy occurs when an employer decides that a role is no longer required, often due to business changes like new technology, downsizing, closure, or restructuring. Redundancy pay is compensation for the employee’s loss of employment, based on their continuous service with the employer.

Redundancy Pay Entitlements

The amount of redundancy pay depends on the employee’s years of service:

Service Period	Redundancy Pay
1–2 years	4 weeks
2–3 years	6 weeks
3–4 years	7 weeks
4–5 years	8 weeks
5–6 years	10 weeks
6–7 years	11 weeks
7–8 years	13 weeks
8–9 years	14 weeks
9–10 years	16 weeks
10 years or more	12 weeks

Note: There is a reduction in redundancy pay after 10 years of service, from 16 weeks to 12 weeks, under the NES.

Reducing Redundancy Pay

Employers can apply to the Fair Work Commission to reduce redundancy pay if:

The employer finds other acceptable employment for the employee
The employer cannot afford the full redundancy payment

Employees Who Are Not Entitled to Redundancy Pay

Certain employees are not entitled to redundancy pay, including those:

With less than 12 months of continuous service
Employed for a fixed period, specified task, specified season, or seasonal work where the NES exclusion applies
Dismissed for serious misconduct
Casual employees
Apprentices
Employees of a small business employer in circumstances where the small business redundancy exemption applies

For small businesses, employee counting rules can be complex, and businesses that become small due to downsizing or insolvency may still be required to pay redundancy in some circumstances.

Employees vs Independent Contractors

The distinction between employees and independent contractors is crucial for both businesses and workers in Australia. While both play important roles, they are legally different in terms of rights, obligations, and the nature of their work relationship. Employees typically work within a business and are considered part of it, while independent contractors provide services to a business but remain separate entities.

Australia’s worker classification rules have evolved in recent years. For many businesses, particularly constitutionally covered businesses, the Fair Work Act now requires a whole-of-relationship test from 26 August 2024 when determining whether a worker is an employee or an independent contractor. This assessment looks at the real substance, practical reality, and true nature of the relationship, including both the contract terms and how the relationship operates in practice.

This guide breaks down the main differences between employees and independent contractors, helping you understand what makes each status distinct.

Comparison Table: Employee vs Independent Contractor

Factor	Employee	Independent Contractor
Control	Business controls how, where, and when work is done	Worker controls how, where, and when work is done (within agreed terms)
Integration	Part of the business; represents the employer	Runs their own business; provides services to yours
Mode of Remuneration	Paid wages/salary (time worked, commission, etc.)	Paid for results, milestones, or fixed project fees
Ability to Subcontract	Must perform work personally	Can subcontract or delegate (if contract allows)
Tools & Equipment	Provided or reimbursed by employer	Provided by the contractor at their own cost
Risk	Employer bears business risk	Contractor bears financial and legal risk
Goodwill	Benefits the employer’s business	Benefits the contractor’s own business

In essence, employees work as part of your business and are subject to your direction and control, while independent contractors operate independently, typically managing their own tools and bearing the risks associated with their work. Understanding these differences is essential for ensuring compliance with employment laws and determining entitlements such as superannuation, leave, workers’ compensation, and tax obligations.

Social Security in Australia

Australia does not operate a broad social security payroll tax in the same way as some other jurisdictions. However, employers generally need to consider several statutory employment costs and obligations, including superannuation contributions, workers’ compensation insurance, PAYG withholding, and in some cases state or territory payroll tax.

Australia also imposes a Medicare levy on taxable income for most Australian residents. The standard Medicare levy rate is 2% of taxable income, although low-income thresholds and reductions may apply. In addition, a Medicare levy surcharge can apply to higher-income earners and their dependants if they do not have an appropriate level of private patient hospital cover.

For both employers and foreign nationals working in Australia, selecting the right health insurance policy is important. It is advisable to confirm whether the policy satisfies immigration requirements, meets healthcare needs, and is suitable for the individual’s tax and residency position.

Payroll in Australia

Minimum Wages

In Australia, all workers are guaranteed a minimum wage, which sets the lowest pay an employer can legally offer. From the first full pay period on or after 1 July 2025, the national minimum wage for employees aged 21 and over is AUD 24.95 per hour or AUD 948.00 per week based on a 38-hour workweek.

Payroll Cycle

In Australia, employers must adhere to specific guidelines when paying their employees, ensuring that compensation is timely and compliant with the law. The payroll cycle, including when and how employees should be paid, is typically outlined in employment agreements, awards, or enterprise agreements. Employers should ensure the payment frequency and method comply with the applicable industrial instrument or contract.

When Should Employees Be Paid?

The frequency of payments is usually determined by the relevant award, enterprise agreement, or employment contract and may be set as:

Weekly
Fortnightly (every two weeks)
Monthly

Employers should review the applicable award or agreement carefully, as payment frequency requirements can vary by industry and role.

Overtime Pay

Overtime pay is provided when you work beyond your ordinary hours, as defined by the applicable award, enterprise agreement, or employment contract. The rate of overtime pay depends on factors like the employee’s classification, the day worked, the time worked, and the industrial instrument that applies.

Overtime Pay on Regular Work Days

For many employees, overtime rates are set by the relevant modern award or enterprise agreement rather than a single national rule. These instruments typically specify when overtime starts, the applicable multipliers, and whether time off in lieu can be agreed instead.

Overtime Pay on Public Holidays

Work performed on a public holiday is commonly subject to higher penalty rates under the applicable award, enterprise agreement, or contract. In some cases, employers and employees may also agree to time off in lieu where permitted.

Who Is Eligible for Overtime Pay?

Eligibility for overtime pay depends on the employee’s industry, classification, award coverage, enterprise agreement, and employment contract. The Fair Work framework sets the baseline, but the detailed overtime rules are usually found in the applicable industrial instrument.

Overtime pay rules can vary depending on your sector or the specific award or enterprise agreement you are covered by. Some employees may also be entitled to shift loadings, penalty rates, minimum breaks between shifts, or time off in lieu depending on the applicable instrument.

Mercans’ payroll capabilities

Payroll Cycle Management in Australia

Mercans delivers efficient, seamless payroll cycle management tailored to Australian businesses. We ensure that both employees and contractors are paid accurately and on time, using local currency. With Mercans, you can trust us to streamline your payroll processes, providing a smooth and compliant payroll experience that aligns with Australian standards.

Payroll Setup, Processing, and Administration

Mercans offers a complete range of payroll services from start to finish. Whether it’s setting up your payroll system, processing payments, or managing ongoing administration, we take care of every detail. Our expert team ensures accuracy, compliance, and efficiency, so you can focus on what really matters – running your business.

Statutory Filings and Payments

Navigating Australia’s regulatory framework can be complex, but with Mercans, you’re in safe hands. We manage all statutory filings and payments, ensuring your business remains fully compliant with Australian tax laws and employment regulations. With Mercans handling your legal obligations, you can have peace of mind knowing that all filings are timely, accurate, and meet the necessary requirements.

Personal Income Tax in Australia

The Australian Taxation Office (ATO) is responsible for collecting income tax from working Australians each financial year. In Australia, the financial year runs from 1 July to 30 June the following year, and the current financial year is 2025–26 (1 July 2025 to 30 June 2026).

Income Tax Rates for Australian Residents (2025–26)

The income tax rates for Australian residents for the 2025–26 financial year are as follows:

Income Threshold	Tax Rate	Tax Payable
$0 – $18,200	0%	Nil
$18,201 – $45,000	16%	16c for each $1 over $18,200
$45,001 – $135,000	30%	$4,288 + 30c for each $1 over $45,000
$135,001 – $190,000	37%	$31,288 + 37c for each $1 over $135,000
$190,001 and over	45%	$51,638 + 45c for each $1 over $190,000

Tax Rates from 1 July 2024

From 1 July 2024, resident individual tax rates were revised, and those rates continue to apply in the 2025–26 financial year. Below is a comparison of tax payments for various income levels between the earlier and current settings:

Income	2023–24 Tax	2025–26 Tax	Tax Cut
$50,000	$6,717	$5,788	$929
$60,000	$9,967	$8,788	$1,179
$80,000	$16,467	$14,788	$1,679
$100,000	$22,967	$20,788	$2,179
$150,000	$40,567	$36,838	$3,729
$200,000	$60,667	$56,138	$4,529

These tax changes reduced the tax burden for many working Australians and remain relevant for the 2025–26 financial year.

Australia Employee Hiring Cost

When hiring an employee in Australia, the employer must consider not only the employee’s gross salary but also additional costs such as superannuation contributions, payroll tax, and workers’ compensation insurance. For instance, if an employee has a gross annual salary of AUD 100,000, the employer must generally contribute 12% (AUD 12,000) to the employee’s superannuation fund for payments made on and after 1 July 2025. Other costs, such as payroll tax and insurance, vary depending on the state or territory, industry, and insurer. Therefore, the total annual employer cost should be calculated case by case rather than using a single national figure.

Salary Details	Amount (AUD)
Gross Annual Salary	$100,000
Superannuation (12%)	$12,000
Other Employer Costs*	~$0 – $10,000+
Total Annual Cost	~$112,000 – $122,000+

Employee Benefits in Australia

In Australia, employee benefits are a mix of mandatory and supplementary offerings that help to support the financial security and wellbeing of workers. Mandatory benefits include superannuation, paid time off (PTO), and leave entitlements such as annual leave, personal/carer’s leave, and long service leave where applicable under state or territory law. Supplementary benefits, while not required by law, are increasingly offered by employers to enhance employee satisfaction and retention. These may include health insurance, education benefits, flexible working arrangements, and wellness programs. Below is a breakdown of the key benefits:

Superannuation: Employers must generally contribute 12% of an employee’s ordinary time earnings to a superannuation fund for payments made on and after 1 July 2025. Eligible parents receiving Parental Leave Pay for a child born or adopted from 1 July 2025 can also receive a government-paid 12% superannuation contribution on that payment.
Paid Time Off (PTO): Full-time and part-time employees are entitled to 4 weeks of paid annual leave each year based on their ordinary hours of work. Casual employees do not receive paid annual leave, but they are usually compensated with a casual loading.
Long Service Leave: Long service leave is governed mainly by state and territory legislation or industrial instruments, so entitlements vary depending on the employee’s location and circumstances.
Maternity/Paternity Leave: Eligible employees are entitled to unpaid parental leave under the NES. Separately, the government-funded Paid Parental Leave scheme provides eligible families with Parental Leave Pay, which is increasing over time.
Sick Leave: Full-time employees are entitled to 10 days of paid personal/carer’s leave each year, and part-time employees receive this on a pro rata basis. Compassionate leave is also available under the NES, including for eligible casual employees.

Group Insurances: Employers may offer group life insurance, disability, and salary continuance insurance as part of their benefits package.
Health Insurance: Many companies, particularly in higher-paying industries, provide employees with subsidized health insurance or full coverage plans.
Education and Professional Development: Some companies offer financial assistance for continuing education, such as tuition reimbursement or funding for professional development courses.
Company Cars/Allowances: In some roles, particularly for higher-level positions, employers may provide company vehicles or a car allowance.
Childcare Support: Some large employers provide childcare subsidies or even on-site childcare facilities for employees with young children.
Flexible Work Options: Employers are increasingly offering flexible working hours, the ability to work from home, or additional unpaid leave to support employees’ work-life balance.

Workplace Wellness Programs: Companies are enhancing the workplace experience by offering wellness initiatives, such as mental health support, stress-relief activities, and communal spaces for relaxation.
On-Site Canteens or Subsidized Meals: Larger employers may provide on-site canteens or meal subsidies to ensure employees have access to healthy food options during work hours.
Gym Memberships or On-Site Facilities: Many businesses offer subsidized gym memberships or on-site fitness centers to promote physical health and wellbeing among employees.
Relaxation Spaces: Employers are introducing more spaces for employees to unwind, such as lounges, massage rooms, or areas for team-building activities and games.
Discount Programs: Some companies offer group discounts on shopping, fuel, travel, and leisure activities, providing employees with a range of benefits at reduced rates.

Essential Benefits for Employees in Australia

Superannuation: Employers must generally contribute 12% of an employee’s ordinary time earnings to a superannuation fund for payments made on and after 1 July 2025. Eligible parents receiving Parental Leave Pay for a child born or adopted from 1 July 2025 can also receive a government-paid 12% superannuation contribution on that payment.
Paid Time Off (PTO): Full-time and part-time employees are entitled to 4 weeks of paid annual leave each year based on their ordinary hours of work. Casual employees do not receive paid annual leave, but they are usually compensated with a casual loading.
Long Service Leave: Long service leave is governed mainly by state and territory legislation or industrial instruments, so entitlements vary depending on the employee’s location and circumstances.
Maternity/Paternity Leave: Eligible employees are entitled to unpaid parental leave under the NES. Separately, the government-funded Paid Parental Leave scheme provides eligible families with Parental Leave Pay, which is increasing over time.
Sick Leave: Full-time employees are entitled to 10 days of paid personal/carer’s leave each year, and part-time employees receive this on a pro rata basis. Compassionate leave is also available under the NES, including for eligible casual employees.

Additional Employee Benefits

Group Insurances: Employers may offer group life insurance, disability, and salary continuance insurance as part of their benefits package.
Health Insurance: Many companies, particularly in higher-paying industries, provide employees with subsidized health insurance or full coverage plans.
Education and Professional Development: Some companies offer financial assistance for continuing education, such as tuition reimbursement or funding for professional development courses.
Company Cars/Allowances: In some roles, particularly for higher-level positions, employers may provide company vehicles or a car allowance.
Childcare Support: Some large employers provide childcare subsidies or even on-site childcare facilities for employees with young children.
Flexible Work Options: Employers are increasingly offering flexible working hours, the ability to work from home, or additional unpaid leave to support employees’ work-life balance.

Perks & Wellness Initiatives

Workplace Wellness Programs: Companies are enhancing the workplace experience by offering wellness initiatives, such as mental health support, stress-relief activities, and communal spaces for relaxation.
On-Site Canteens or Subsidized Meals: Larger employers may provide on-site canteens or meal subsidies to ensure employees have access to healthy food options during work hours.
Gym Memberships or On-Site Facilities: Many businesses offer subsidized gym memberships or on-site fitness centers to promote physical health and wellbeing among employees.
Relaxation Spaces: Employers are introducing more spaces for employees to unwind, such as lounges, massage rooms, or areas for team-building activities and games.
Discount Programs: Some companies offer group discounts on shopping, fuel, travel, and leisure activities, providing employees with a range of benefits at reduced rates.

Work Permit in Australia

Australia offers various work visas that allow employers to sponsor skilled workers, either temporarily or permanently. These visa types are essential for foreign employers seeking to hire in compliance with Australian immigration laws.

Primary Visa Options for Hiring Skilled Workers

Employer Nomination Scheme (ENS) Visa (subclass 186)

Allows Australian employers to nominate skilled workers, providing a pathway to permanent residency. Ideal for long-term staffing needs.

Skilled Employer Sponsored Regional (Provisional) Visa (subclass 494)

For employers in regional Australia who wish to sponsor skilled workers to live and work in designated regional areas. This is a key regional employer-sponsored pathway.

Skills in Demand (SID) Visa (subclass 482)

Enables employers to sponsor skilled workers for temporary roles when local talent is unavailable. This visa replaced the Temporary Skill Shortage (TSS) visa on 7 December 2024.

Skilled Nominated Visa (subclass 190)

Provides permanent residency for skilled workers nominated by a state or territory government, helping meet regional and local labor market needs.

Skilled Independent Visa (subclass 189)

A pathway to permanent residency for skilled workers selected based on qualifications, occupation, and points-tested criteria, without employer sponsorship.

Temporary Work (Short Stay Specialist) Visa (subclass 400)

For specialized short-term roles, offering a solution for temporary, highly skilled work.

Important Considerations for Employers

Australia’s Points-Based System

Certain visa types operate within a points-based system, assessing factors like age, work experience, and English proficiency.

Compliance Requirements

Employers must adhere to Australian employment and immigration rules, which can include sponsorship obligations, labour market testing where required, salary thresholds, and fair compensation standards, to ensure visa compliance.
Understanding these visa options and their compliance requirements can streamline the hiring process, allowing employers to bring skilled talent into their Australian-based operations effectively.

EOR Solutions in Australia

EOR Solutions for Prospective Employees in Australia

Mercans provides efficient Employer of Record (EOR) services for businesses that have already identified their ideal candidates in Australia. Our comprehensive services cover the entire employee lifecycle, ensuring full compliance with Australian labor laws, tax regulations, and employment standards, so you can focus on your business growth without the administrative burden.

EOR + Recruitment: Streamlined Talent Acquisition

For businesses seeking assistance with talent acquisition, our EOR and recruitment solutions offer a complete, end-to-end service. By leveraging our deep network and expertise, we help you find, hire, and retain top talent in Australia, simplifying your market entry and expansion while ensuring that all recruitment and compliance requirements are met.

Visa Sponsorship and Global Mobility Solutions

Navigating the complexities of expatriate employment becomes straightforward with our visa sponsorship and global mobility services. Mercans ensures a smooth relocation process for your international workforce, handling all aspects of Australian immigration and employment laws to guarantee compliance and a hassle-free experience for your employees.

AOR Services for Contractor Payments

For businesses managing contractor payments, Mercans offers Assistance on Record (AOR) services to manage and simplify the payment process. We handle the complexities of contractor remuneration, ensuring that all payments are accurate, timely, and fully compliant with Australian tax and employment regulations.

Converting Freelancers to Employees in Australia

Mercans supports businesses in the transition from freelancers to full-time employees in Australia. Our expertise ensures a smooth, legally compliant conversion process, addressing all relevant employment regulations and ensuring a seamless transition for both the business and the employee.

HCM Integration for Enhanced Workforce Management

Integrate Mercans’ EOR services with your Human Capital Management (HCM) system in Australia for a unified, real-time approach to data exchange, compliance tracking, and payroll management. We optimize your workforce management processes, helping you stay compliant, reduce costs, and improve operational efficiency.

Best Employer of Record Australia

Mercans stands out as the top Employer of Record (EOR) provider in Australia for several key reasons:

Full Compliance with Australian Labor Laws: Mercans ensures strict compliance with all Australian employment regulations, including those set by the Fair Work Commission and the Australian Government Department of Employment and Workplace Relations. We keep your business in line with local labor laws, protecting you from potential legal risks.
Independent Operations: As a fully independent entity, Mercans operates without any external affiliations, ensuring that you receive reliable and customized employment services tailored to meet your specific business requirements in Australia.
Supports All Employment Types: Whether you’re hiring employees, freelancers, contractors, or expatriates, Mercans offers flexible solutions to accommodate a variety of employment arrangements. Our expertise ensures smooth management of different workforce models, giving you the flexibility to meet your evolving needs.
Designed for Large Enterprises: Mercans’ services are specifically designed to support large and complex business structures. Our scalable solutions meet the demands of enterprise-level organizations, providing sophisticated employment solutions that integrate with your broader business goals.
Multi-Currency Payroll Management: Mercans is equipped to handle multi-currency payroll, making it easier for your business to manage salaries across multiple countries. This capability is especially beneficial for global or multinational companies with employees in Australia and beyond.
Global Network and Multi-Country Payroll Expertise: With a robust global presence, Mercans excels in managing multi-country payroll, ensuring that your international operations run seamlessly. Whether you have employees across different states or countries, we handle the complexities of local tax regulations and compliance requirements.
Certified Data Protection and Security Standards: Mercans adheres to stringent data protection protocols, including GDPR certification and SOC 1 & SOC 2 compliance. We prioritize the security of your company’s sensitive information, maintaining high standards of privacy and security.
ISO-Certified Service Quality and Security: Mercans holds both ISO 20000 and ISO 27001 certifications, demonstrating our commitment to excellence in IT service management and information security. These certifications ensure we consistently deliver high-quality, secure services to our clients in Australia.
OWASP ASVS 3.0 Compliant: We adhere to OWASP ASVS 3.0 standards, guaranteeing that our software development and management practices follow the highest levels of security to protect your business from cyber threats.
Mercans HRBlizz: Streamlined Payroll and Talent Management: HRBlizz, our proprietary global payroll and talent management SaaS platform, simplifies payroll processes while ensuring full compliance with local labor laws in Australia. With a team of over 1,000 in-country specialists, HRBlizz provides expert knowledge on Australian labor regulations, helping businesses navigate the complexities of employment in Australia.
G2N Nova: Advanced Global Payroll Engine: Our G2N Nova payroll engine is one of the world’s most advanced gross-to-net payroll solutions. Available in over 100 countries, G2N Nova operates as a SaaS or service delivery platform, making it an ideal choice for businesses that require comprehensive and accurate payroll processing across multiple jurisdictions, including Australia. It seamlessly integrates with major HCM and Workforce Management systems, ensuring a unified payroll process across your entire global workforce.

Conclusion

In conclusion, Mercans provides unparalleled Employer of Record (EOR) services in Australia, ensuring accuracy, compliance, and efficiency in managing your workforce. Our end-to-end solutions simplify payroll and employment processes, making us a trusted partner for businesses navigating the complexities of the Australian labor market. With Mercans by your side, your expansion into Australia will be smooth, compliant, and successful, allowing you to focus on growing your business with confidence.

This document was prepared for informational purposes only. As local laws & regulations keeps on changing. Please consult your tax & legal advisors as well.

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FAQs

What is an Employer of Record (EOR) in Australia?

An Employer of Record in Australia is a service provider that legally hires employees on behalf of a foreign company. The EOR manages employment contracts, payroll, taxes, benefits, and ensures compliance with Australian labor laws, enabling companies to hire without establishing a local entity.

How can foreign companies hire employees in Australia without establishing a local entity?

Foreign companies can engage an EOR, which serves as the legal employer while the client company oversees daily work. This allows businesses to operate in Australia without creating a branch or subsidiary.

What compliance, payroll, and HR services does an EOR in Australia manage?

An EOR in Australia handles employment contracts, payroll processing, tax withholdings, social security contributions, mandatory benefits, and government reporting. They can also assist with work visas and permits for international hires.

What are the benefits of using EOR services in Australia?

Using an EOR simplifies market entry, ensures compliance with local labor laws, reduces administrative workload, minimizes legal risks, and accelerates the hiring process.

How much does it cost to hire employees through an EOR in Australia?

Fees typically range from $500 to $2,000 per employee per month, depending on the services provided. Companies should consult their EOR provider for an accurate pricing structure.

Is an EOR the right solution for expanding a business into Australia?

An EOR is a practical solution for companies expanding into Australia without establishing a local entity. It allows businesses to focus on operations while the EOR manages all employment-related responsibilities efficiently.