The core difference
A contractor runs their own business and invoices you. An EOR employs the person locally, with payroll, benefits and statutory protections.
This guide is placeholder copy and will be expanded and reviewed.
Misclassification risk
If a contractor works like an employee, local authorities may treat them as one. Rules differ by country — take local advice.
When to switch to an EOR
Teams often move long-term, full-time contractors to an EOR to offer employment benefits and reduce classification risk.
FAQ
Is a contractor cheaper than an EOR?
Often on paper, but the comparison should include classification risk and the benefits needed to retain people.
Can an EOR convert my contractors?
Many EOR providers support moving contractors into employment. Confirm the process with the provider.