Employer of Record (EOR) in Nepal
Expand your business in Nepal with ease through our Employer of Record (EOR) services. We manage local compliance, payroll, and benefits, allowing you to hire top talent without setting up a legal entity. Let Native Teams handle the complexities while you focus on growing your business!
How does an EOR in Nepal work?
When using our EOR service to hire an employee in Nepal, the employment arrangement will be a partnership between you and Native Teams. As the business owner, you’ll retain full control over your employees' work and daily operations. Native Teams will act as the legal employer, handling all legal and administrative responsibilities.
For freelancers, contractors, and consultants in Nepal, our solution offers compliant payments, secure contracts, and statutory benefits such as health insurance and pension plans. It also ensures full compliance with Nepalese tax and social contribution regulations, providing peace of mind when working with international clients.
Who can use EOR services in Nepal?
Employer of Record (EOR) services in Nepal are designed to support businesses and individuals looking to expand their operations or workforce, ensuring compliance with local laws and regulations.
Businesses
Employer of Record (EOR) services in Nepal are designed to support businesses seeking to expand their operations or hire talent in the country, while ensuring full compliance with local laws and regulations.
Individuals
EOR services in Nepal are also suitable for individuals, such as freelancers, contractors, or consultants, who wish to work with international clients while ensuring compliance with local employment laws and receiving statutory benefits.
Features of Native Teams EOR Services in Nepal
Employment status
Native Teams ensures both businesses and individuals can establish compliant employment arrangements in Nepal. We handle all legal documentation, making it easy to hire or work locally.
HR administration and documentation
Businesses can rely on us to handle contracts and employee records, while individuals benefit from an easy setup of compliant documentation. We ensure all processes meet Nepalese legal standards.
Global payroll
For businesses paying employees or individuals receiving payments from international clients, we offer secure and accurate payroll processing. Taxes and contributions are managed in line with Nepalese laws.
Benefits
Businesses can offer their teams statutory benefits such as health insurance and pensions, and individuals enjoy access to the same essential protections. We manage the administration to keep everything compliant.
Discover Nepal's labour laws and regulations in depth with our hiring guide.
What legal requirements exist for employment in Nepal
Employment contracts
Employment contracts in Nepal must be written and specify key details such as wages, job responsibilities, and working hours. These contracts ensure legal clarity and compliance with labour laws.
Health and safety conditions
Employers are obligated to provide a safe and hygienic work environment, following regulations outlined in Nepal’s Labour Act. This includes regular safety training and risk assessments to prevent workplace injuries.
Minimum wage requirements
Employers must pay employees at least the minimum wage set by the government, which varies by industry and region. Failing to meet this requirement can result in penalties and legal consequences.
Social security fund
The Nepalese government has established social security funds to cover long-term savings, health insurance, accident insurance, and retirement plans. When hiring an employee in Nepal, employers must specify the portion of the salary that will be allocated to the social security fund.
Working visa
Foreign employees must secure a valid work visa and permit before starting employment in Nepal. Employers are responsible for ensuring that these documents are obtained in compliance with local immigration laws.
Workplace sexual harassment of women
Employers must take proactive steps to prevent and address workplace sexual harassment, including creating policies and supporting affected employees. Violations can lead to serious legal and reputational consequences.
Paying taxes
Employers must withhold and remit income taxes from employee salaries, as well as make contributions to the Social Security Fund. Proper tax compliance is essential for businesses operating in Nepal.
Please note that employment laws in Nepal vary by job category and individual circumstances and are subject to change.
Why choose Native Teams as your Nepal Employer of Record?
Native Teams streamlines the process of hiring and managing employees in Nepal. Our EOR services allow you to easily handle everything from employment contracts to payroll and beyond, all in one platform.
Partnering with Native Teams gives you access to expert support, efficient benefits administration, and cost-effective solutions so you can focus on growing your business while we take care of the legal and administrative details of employment in Nepal.
``What is an Employer of Record?
An Employer of Record (EOR) is a service that enables companies to hire employees in Nepal without the need to establish a legal entity there. The EOR takes on all employment-related responsibilities, including ensuring compliance with Nepalese labour laws, handling payroll, tax withholding, benefits management, and more. This service also supports individuals such as freelancers, contractors, and remote workers in obtaining legal employment status and accessing employment benefits typically available in traditional jobs.
What are the costs of using an Employer of Record in Nepal?
The cost of using an Employer of Record (EOR) in Nepal depends on factors like the provider, team size, and the range of services required. Generally, using an EOR is more affordable than setting up a local entity, making it a practical option for businesses expanding into Nepal.
Native Teams offers clear and transparent pricing with no hidden fees. Our EOR plan starts at €79 per month per employee for businesses and €49 per month for individuals on the Remoter plan. Both plans ensure full compliance with Nepalese labour laws and provide all necessary tools for effortless employment management.
What is the difference between PEO and EOR?
While both a Professional Employer Organisation (PEO) and an Employer of Record (EOR) manage employment responsibilities, the key distinction lies in the level of control. A PEO typically operates through a co-employment model, where the business retains control over its employees while the PEO manages HR functions like payroll and benefits.
On the other hand, an EOR assumes complete legal responsibility for the employee. The EOR acts as the official employer, handling all aspects of employment, including compliance with local labour laws, taxes, and legal liabilities.
What are the responsibilities of an Employer of Record (EOR)?
An Employer of Record (EOR) is responsible for managing all legal and administrative aspects of employment. This includes handling employment contracts, payroll, tax deductions, social security contributions, benefits, and employee offboarding.
Additionally, the EOR ensures compliance with Nepalese labour laws, including rules on working hours, employee protections, and minimum wage. Native Teams takes care of HR administration, and employee documentation, and ensures all practices align with Nepal’s legal requirements.
Is using an Employer of Record in Nepal legal?
Yes, using an Employer of Record (EOR) in Nepal is fully legal. Native Teams adheres to all relevant employment laws in Nepal, ensuring that businesses and freelancers meet local legal and administrative standards. By partnering with an EOR, companies can operate legally without the complexities of establishing a local entity, and employees will receive proper contracts, compensation, and benefits.
Why should I use EOR instead of opening my own company or an office in Nepal?
Choosing EOR, like Native Teams, provides a faster, simpler, and more affordable way to hire and manage employees in Nepal compared to establishing a local business or office. Setting up a company involves significant time, costs, and administrative effort, including registration, tax setup, and office establishment.
How many people can I employ in Nepal?
There are no specific limits on the number of employees you can hire in Nepal. With Native Teams' EOR services, you can hire as many people as your business requires. Our platform allows you to easily scale your workforce while ensuring full compliance with Nepali labour laws, whether you're hiring one employee or an entire team. We take care of all legal and administrative responsibilities associated with hiring in Nepal.