Employer of Record (EOR) in Peru
With Native Teams’ EOR services, you can hire, onboard, and pay your Peruvian employees without establishing a legal entity. If you’re freelancing in Peru, we can help you access employee benefits and get your salary in local currency.
How does an EOR in Peru work?
Partnering with an Employer of Record (EOR) provider like Native Teams enables businesses to expand into Peru without establishing a local legal entity or navigating complex employment regulations. The EOR serves as the legal employer, managing all administrative tasks, including payroll processing, employment contracts, onboarding, and compliance with Peruvian labour laws. Meanwhile, businesses retain full control over the daily management of their employees.
Who can use EOR Services in Peru?
Employer of Record (EOR) services in Peru are designed for businesses aiming to expand their operations and tap into local talent without the burden of setting up a legal entity. Whether you're a startup exploring new markets or an established enterprise looking to streamline your international hiring processes, an EOR offers a practical and compliant solution.
By partnering with an EOR, companies can legally employ professionals in Peru while the EOR handles all employment responsibilities, including payroll, tax filings, social security contributions, and adherence to local labour laws.
This enables businesses to operate efficiently and mitigate risks related to compliance and legal infrastructure. EOR services provide a fast and cost-effective path to market entry, allowing organisations to focus on growth while the complexities of local employment are professionally managed.
Features of Native Teams EOR services in Peru
Employment status
With Native Teams’ EOR services, companies can compliantly hire, onboard, and pay employees in Peru—without needing to set up a local legal entity. We handle employment on your behalf, ensuring full compliance with Peruvian labour laws while you maintain control over day-to-day operations.
HR administration and documentation
Our platform automates all aspects of HR administration, from employment contracts to local compliance documents. All required documentation is generated and managed through the Native Teams dashboard, offering a seamless and transparent experience for your HR team.
Global payroll
Easily manage payroll across multiple countries with our integrated platform. Native Teams provides a payroll calculator covering 85+ countries, enabling you to calculate salaries, taxes, and deductions with accuracy and efficiency. Run and consolidate your global payroll through a single, centralised system.
Benefits
Attract and retain top talent in Peru by offering locally compliant benefits such as healthcare, pensions, and insurance. Native Teams makes it easy to provide these perks without the administrative burden, helping your business stay competitive in the local talent market.
Dive deeper into Peru’s labour laws and regulations with our hiring guide.
What legal requirements exist for employment in Peru
Employment contract
Employers in Peru must provide a written employment contract that complies with the country’s labour laws. Contracts should outline key details such as job responsibilities, salary, working hours, benefits, and termination conditions. Employment contracts in Peru can be indefinite (most common), fixed-term, or service-based, depending on the nature of employment.
Social security contributions
Employers must register employees with Peru’s social security system and contribute to pension funds, health insurance, and other mandatory schemes. Contributions are deducted from employees’ salaries, with employers also making additional contributions. These contributions provide access to retirement benefits, healthcare, and other social security protections.
Payroll deductions
Employers must withhold and remit income tax (Impuesto a la Renta) and social security contributions on behalf of employees. Peru has a progressive income tax system, with rates varying based on earnings. Employers must ensure compliance with tax regulations and make timely payments to avoid penalties.
Work permits
Foreign nationals seeking employment in Peru typically require a work visa. Employers must sponsor the work permit and ensure compliance with immigration laws. Employees must obtain a residence permit and register with the National Superintendency of Migration.
Compliance with labour laws
Peru’s labour laws regulate key aspects of employment, including minimum wage, working hours (a maximum of 48 hours per week), overtime pay, paid leave, and termination procedures. Employers must adhere to these regulations to ensure fair treatment of employees and avoid legal penalties.
Occupational health and safety
Under Peruvian occupational health and safety regulations, employers are legally required to provide a safe and healthy work environment. This includes implementing workplace safety measures, conducting risk assessments, and ensuring compliance with occupational safety standards to prevent work-related injuries.
Employee benefits
In addition to mandatory social security contributions, employees in Peru are entitled to paid annual leave, sick leave, maternity and paternity leave, and severance pay in case of termination. Many employers also offer private health insurance, meal allowances, or other benefits to attract and retain talent.
Please note that specific legal requirements may vary depending on the industry, job type, and employee status.
Why choose Native Teams as your Peru Employer of Record?
Expanding into Peru can be complex, with strict labour laws and evolving regulatory requirements. Native Teams simplifies market entry by managing all legal and administrative employment responsibilities on your behalf, enabling you to focus on driving your business forward.
With established legal entities in over 85 countries, Native Teams offers deep expertise in cross-border employment and a comprehensive understanding of Peruvian labour regulations. From payroll and taxation to social security contributions and employee benefits, we ensure your operations remain fully compliant at every stage.
By partnering with Native Teams, your business can hire local talent, scale operations, and manage remote teams in Peru—without the need to establish a local legal entity. Our all-in-one platform reduces costs, minimises risk, and streamlines workforce management, making international expansion more efficient and sustainable.
``What is an Employer of Record?
An Employer of Record (EOR) is a third-party organisation that legally employs workers on behalf of a company, handling all administrative and compliance-related responsibilities. This includes payroll processing, tax withholdings, employment contracts, social security contributions, and adherence to local labour laws.
By using an EOR, businesses can expand into new markets without establishing a legal entity, reducing operational complexities and ensuring compliance with local employment regulations.
What are the costs of using an Employer of Record in Peru?
The cost of using an Employer of Record (EOR) in Peru depends on the provider, the number of employees, and the services required.
Native Teams offers competitive pricing designed to meet your employment needs. Native Teams offers transparent, custom pricing tailored to your specific setup, so you can budget with confidence. For more details, visit our pricing page.
What is the difference between PEO and EOR?
A Professional Employer Organisation (PEO) and an Employer of Record (EOR) both help businesses manage employment responsibilities, but they differ in legal structure and scope of services. A PEO partners with a company in a co-employment arrangement, meaning the business must have a legal entity in the country where employees are hired. The company and PEO share employer responsibilities, with the PEO handling HR tasks like payroll, benefits administration, and compliance, while the company retains control over hiring and employment contracts.
An EOR, on the other hand, acts as the legal employer of the workforce. This means businesses can hire employees in a country without setting up a local entity. The EOR takes full responsibility for employment contracts, payroll, tax compliance, and benefits, while the client company manages daily work operations.
What are the responsibilities of an Employer of Record (EOR) service provider?
An Employer of Record (EOR) service provider is your workforce's official employer, ensuring full compliance with local laws and regulations. Its key responsibilities include payroll processing, compliance management, employment contracts, benefits administration, onboarding and offboarding and risk mitigation. By handling these tasks, an EOR enables businesses to focus on managing their workforce and core operations.
Is using an Employer of Record in Peru legal?
Yes, using an Employer of Record (EOR) in Peru is entirely legal. EOR providers operate within the framework of Peruvian labour laws, ensuring full compliance with employment regulations, tax obligations, and social security contributions. They serve as the legal employer on behalf of businesses, managing payroll, contracts, and benefits while the client company retains control over daily operations.
Why should I use an EOR instead of opening my own company or an office in Peru?
Using an Employer of Record (EOR) instead of establishing your own company or office in Peru offers significant advantages in terms of cost, compliance, and efficiency. Setting up a legal entity can be time-consuming and expensive, involving registration fees, office space, and legal costs, while an EOR enables you to start operations immediately without these burdens.
Additionally, Peruvian labour laws, tax regulations, and social security requirements can be complex, but an EOR ensures full compliance, reducing the risk of legal issues and penalties. Managing payroll, taxes, and employee benefits can also be challenging, and an EOR simplifies these processes by handling all administrative tasks. This solution provides flexibility and scalability, allowing businesses to hire and expand without the long-term commitment of establishing a local entity.
How many people can I employ in Peru?
There is no legal limit to the number of employees you can hire in Peru through an Employer of Record (EOR). Whether you need to hire a single employee or scale up to a larger workforce, Native Teams allows you to expand based on your business needs without the complexities of establishing a legal entity.