Chances are that if your company is growth-minded, global recruitment has likely been keeping you up at night. Managing a global workforce is challenging. Navigating local cultures, customs, time zones and language barriers is certainly something that requires careful thought and planning.
But, if decision makers can overcome the initial hesitation, there are many benefits to recruiting and employing workers globally. Whether the goal is as lofty as entering a new market or as modest as trying to find the perfect fit for an open position, serious consideration must be given to how global recruitment can help strengthen and grow your business.
1. International Recruiting Saves Time and Money
Work permits are a common solution to hiring nonresidents as these permits allow people to work, temporarily or permanently, in another country.
Yet, the average processing time in the US in 2020 was 3.6 months for a temporary visa and 6.1 months for a permanent one. That’s on top of the time it takes to interview a candidate and make an offer.
What’s more, visas like the H-1B have many associated fees, including:
- Base Filing Fee: $460
- Fraud Prevention and Detection Fee: $500
- American Competitiveness and Workforce Improvement (ACWIA) Fee: $1,500 for employers with more than 25 full-time employees, or $750 for employers with fewer than 25 employees.
- Public Law 114-113 Fee: $4,000. This fee applies to employers with more than 50 employees and more than 50% of those on H-1B or L-1 status.
- Premium Processing Fee: $1,440
- Attorney Fees: Upwards of $3,000
Politics also plays a role in visa availability. For example, visa denials have steadily risen under the Trump administration, and post-Brexit rules starting in January have implications for migrants and foreign labor in the U.K.
There’s much to contend with, yet the need for foreign talent remains high. The US Citizenship and Immigration Services (USCIS) received 201,011 H1-B petitions for fiscal year 2020, far exceeding the congressionally mandated cap of 65,000. Foreign workers meet a critical need for highly skilled labor, particularly in the science, technology, engineering and math (STEM) fields.
Clearly, sponsoring and relocating employees is costly. A posted employee will also need time to learn the local culture and customs and become acclimated to a new country.
Choosing to hire globally and keep new employees in their home country frees up these resources so that you can accelerate your go-to-market strategy and secure a competitive advantage.
2. Global Recruitment Leads to Greater Diversity of Thought
There’s no question that many HR departments spend a lot of time trying to achieve diversity. The most effective way to boost diversity is to hire across borders and introduce a range of life experiences into your workforce.
Companies that hire globally are likely to employ people with rich backgrounds and unique perspectives. This creates an environment where originality and expertise thrive, spurring the kind of collaboration and innovation essential to any company seeking to be a true disruptor.
Businesses should consider that local employees will already understand and appreciate a country’s culture and customs. This gives them the ability to foster connections and credibility with local clients and eases market entry.
3. Global Employment Results in the Best Job and Culture Fit
Expanding your talent pool globally increases the likelihood that you’ll find the perfect blend of qualities for an open position: skill set, experience, salary and more.
A role’s skill set may be more suited to a particular country. Coursera’s 2020 Global Skills Index ranked 60 countries on their skills proficiencies in the business, technology and data science fields. It broke them up into four categories: lagging; emerging; competitive and cutting-edge. European countries accounted for more than 80% of the cutting-edge category. Finland, Switzerland, Austria, Sweden, Germany, Belgium, Norway and the Netherlands were consistently ranked in the top of all three fields.
These skill sets will only become more important in the future, and companies will need to make strategic decisions about where to find and retain this talent.
International recruitment may also attract workers who have an appreciation for multicultural environments and intercultural exchanges, which may be a desirable quality to hiring managers at companies that are building a global business strategy.
Labor Law Intelligence Reduces the Risks of International Recruitment
It’s essential to start a global recruitment strategy with awareness and knowledge of local labor and employment laws. Without this, you risk noncompliance across the entire employee lifecycle and burden your in-house HR team with resource-intensive work. What’s more is the cost and time associated with using inaccurate or out-of-date information. A single source of professionally researched and vetted information offers peace of mind that you have everything you need to compliantly hire globally. Contact us here to learn more.
About Elements Global Services:
Elements Global Services is a global tech firm, focused on software that is built to go beyond country borders and simplify a company’s ability to Expand their Business, Onboard Employees, Manage Compliance and Pay Globally. Visit elementsgs.com, LinkedIn or Twitter for more information.