Employer of Record (EOR) explained

What is an Employer of Record and when do you need one? How EOR arrangements work, what they cost, where the risks sit, and how to find a partner that fits.

An Employer of Record (EOR) is a party that employs people on your behalf in countries where you have no legal entity of your own. It lets you hire internationally without setting up a local company — the EOR handles the contract, payroll, taxes and compliance.

See the objective selection criteria →

How do you find the right eor & global hiring?

You find the right eor & global hiring by getting your requirements clear — organisation size, region, integrations and budget — and matching those against vendors that fit. With OptioHR you complete one free intake, and providers that fit your request on category and region come forward themselves: no preferential treatment, and you pay nothing.

  1. 1Complete the free intake — Your requirements: size, region, integrations, budget.
  2. 2Providers come forward — Providers that fit on category and region come forward themselves.
  3. 3Compare and choose — Put those who come forward side by side and decide.

What to look for

Hire employees without a local entity
Compliance in 150+ countries
Local employment contracts and benefits
Integrated payroll per country
Onboarding within days

The options side by side

A vendor-independent comparison of common approaches. Costs are indicative — ask for quotes based on your own situation.

EOR compared with a PEO, your own entity and umbrella/contractor arrangements
ApproachTime to startCompliance riskIndicative costViable from
EOR (Employer of Record)Days to 1–2 weeksLow — the EOR is the legal employer€300–€700 per employee/month1+ employee per country
PEO (co-employment)1–3 weeksShared employer statusComparable or lowerRequires your own entity (US model)
Setting up your own entityMonthsEntirely yours to carryHigh (setup plus running cost)10+ employees / long term
Umbrella / contractorDaysHigh — risk of false self-employmentLow on paperTemporary / freelance

Not sure which approach fits? The intake works it out for you — free, 5–8 minutes.

OptioHR in numbers

Based on our independent vendor directory for the Benelux.

24
EOR providers compared
140+
vendors in the directory
64
vendors focused on the Netherlands

Want to know who they are? See the options in the directory.

To the directory

Frequently asked questions about eor & global hiring

What exactly is an EOR?

An Employer of Record (EOR) is an organisation that employs people on your behalf in countries where you have no entity. They arrange the contract, payroll, taxes and compliance.

When do I need an EOR?

When you want to hire someone in a country where you have no legal entity of your own, or when you want to scale quickly without incorporating locally first.

What does an EOR cost?

EOR fees typically sit between €300–€700 per employee per month, depending on the country and how complex its employment law is.

What does an EOR provider actually do?

An EOR provider acts as the legal employer: they arrange the local employment contract, payroll, taxes and compliance, while you keep day-to-day direction of the work. That lets you hire someone in the Netherlands or elsewhere without your own entity.

Which EOR providers cover the Netherlands?

There are global EOR platforms as well as specialists that cover the Dutch market and Dutch employment law. Which provider fits best depends on your target countries, volume and how fast you need to move — EOR partners that fit your request on category and region come forward themselves, without preferential treatment.

Last updated: 13 June 2026

Find the right eor & global hiring for your organisation