What is Professional Employment Outsourcing (PEO) ?


Professional Employment Outsourcing is a solution that enables companies that are willing to expand and open a subsidiary in a foreign country to hire employees without taking on legal entity liabilities. Thanks to Global PEO, companies can now outsource the whole process to an Employer of Record, allowing them to quickly deploy a team in the country of assignment at minimal costs and without having to deal with government compliance issues, local law and regulations.

A PEO agreement works through the rapid implementation of contracts that articulate the relationship between three actors:

  • The benefiting company (The Client)
  • The employee (The Client’s worker)
  • The co-employer or EOR (Cabinet Marchiche)

How does a PEO work?

1

Before the contract signature:

The benefiting company: You define with the employee the terms of the mission, their job description, and the compensation package.

Cabinet Marchiche: We establish a service contract with the benefiting company and a contract of employment with the employee. These two contracts are interdependent, particularly in terms of conditions, duration and compensation.

2

Following the contract signature:

Cabinet Marchiche and the benefiting company are bound by a service contract that Cabinet Marchiche is committed in providing.

Cabinet Marchiche and the Client’s Worker are bound by an employment contract according to which this latter provides and abides by the services and conditions defined in the employment contract.

3

Throughout the period of the contract

The Client’s Worker executes his/her mission to the benefiting company.

Cabinet Marchiche provides full administrative management of the employee’s contract.

Cabinet Marchiche periodically invoices the benefiting company and takes care of the employees’ salary payments, all in accordance with the service and employment contracts.

The benefits for the company

Integrating an employee through Professional Employment Outsourcing comes with countless advantages.
By choosing Cabinet Marchiche as your PEO, your company, regardless of its size, chooses fluidity and safety.
Your company doesn't need to set up a legal entity in the country or deal with all the classical employment procedures involving administrative and tax burdens.

Simplified and flexible employee management

Quick market entry and rapid implementation

Cost effective, efficient, and time-saving

Invoicing security

Legal and fiscal compliance

Cash-flow optimization

The benefits for the employee

Professional Employment Outsourcing allows you to work and carry out your professional activity independently without creating a legal structure, relieving you from the administrative management related to your activity, all while benefiting from an on-demand employee status. Cabinet Marchiche invoices the company and takes care of your salary payments, all in accordance with the service and employment contracts.

The employee status

While retaining the freedom of a consultant, you benefit from an employment contract that justifies your income. We handle the mandatory or complementary social security coverages.

Minimized risks

Your job position and compensation package are secured within the framework of a contract established between the company and Cabinet Marchiche.

Optimized compensation

By setting up a legal and fiscal framework adapted to each mission, based on the legal structure of the country's law and regulations.

Simplified piloting

Cabinet Marchiche takes care of the administrative tasks and communication with your employer and reports back to you.

Enhanced focus

Discharged of all administrative and managerial constraints, you can fully focus on your mission and develop your career.

Our international Professional Employment Outsourcing services

You define the general work conditions with your candidate: mission, compensation package and job description.
Our mission as your PEO service provider consists in formalizing these agreements and delivering you from all the compliance and operational burdens.

In practical terms, Cabinet Marchiche will draft two interdependent contracts that will be based on the negotiated conditions:

    • The service agreement between Cabinet Marchiche and the company or client.
    • The employment contract between the employee/consultant and the company.

Contracts are drafted after a thorough analysis of the legislation of the country where the mission will be carried, and in particular the company’s fiscal obligations. The employee and the company will ensure that internal compliance rules are respected.

After signing the contracts and starting the mission, we ensure the following tasks:

  • Reimbursement of employees’ personal expenses (subject to client approval with the provision of invoices and/or receipts for employee expenses)
  • Drafting of employment contracts in compliance with the current regulations
  • Retrieval of monthly payroll variables
  • Processing of monthly salaries
  • Production of detailed payslip processing reports, including calculation formulas
  • Coverage of salary payments as well as monthly social security and tax contributions
  • Monitoring of employees’ annual leaves, special leaves and sick leaves
  • Assistance and support for all employees in all social issues throughout the duration of the employment contract
  • Affiliation of new employees to all local social organisations, establishment of the various certificates (work and salary, etc.), calculation of the severance package in the event of resignation or dismissal.
  • Sending and archiving of deliverables