Employer of Record in
Pakistan
Employ people in Pakistan in about five business days, on locally compliant contracts, without incorporating a company.
What it is
We employ your chosen candidate through a Pakistani entity. They sign a local employment contract that meets provincial standing orders, we run payroll and statutory withholding, and you direct their day-to-day work under a service agreement. The commercial relationship, the reporting line and the work product are yours; the employment record and the statutory exposure sit with us.
Suited to
Not the right fit when
What you pay for, and on what basis
| Line item | Basis | Notes |
|---|---|---|
| Gross salary | Pass-through | Paid to the employee in Pakistani rupees. No margin is applied to salary. |
| Statutory employer contributions | Pass-through at cost | EOBI and provincial social security where the employee is eligible, invoiced at the amount actually paid. |
| EOR service fee | Fixed monthly fee per employee | Quoted in USD and held for the contract term. Not a percentage of salary, so a raise does not increase the fee. |
| One-time onboarding | Fixed fee per employee | Covers contract drafting, statutory registrations and identity verification. |
| Offboarding | Fixed fee, plus statutory amounts | Notice, gratuity and accrued leave are the employee’s statutory entitlement and are invoiced at cost. |
From signed agreement to a working
engagement
Offer terms confirmed
Day 1Role, salary, start date and location agreed with you in writing.
Contract issued
Days 1-2Province-appropriate employment contract issued to the candidate for signature.
Identity and documents
Days 2-4CNIC verification, bank details and statutory forms collected.
Registrations
Days 3-5Payroll setup, EOBI and social security registration where applicable.
Start date
Day 5 onwardEmployee starts. First payroll runs in the following cycle.
Compliance we carry
What stays with you
This service versus incorporating your
own Pakistani entity
Questions buyers ask
Is an Employer of Record lawful in Pakistan?
Yes. The employee is genuinely employed by a Pakistani entity that meets all statutory employer obligations. What is not lawful is labelling an employment relationship as contracting to avoid those obligations, which is the arrangement EOR is designed to replace.
Who owns intellectual property created by the employee?
You do. The employment contract contains an express present assignment of intellectual property created in the course of employment, plus a moral rights waiver so far as permitted and a further assurance clause. The service agreement passes that assignment through to you.
Does using an EOR create a permanent establishment for us?
An EOR removes employment law exposure but does not decide the corporate tax question. Permanent establishment risk depends on what the staff actually do, particularly whether they habitually conclude contracts on your behalf, and on your home jurisdiction and the applicable treaty. We will describe the activity accurately so your tax advisers can assess it.
What happens if we later incorporate?
Employees transfer to your entity with continuity of service. Planning that transfer at the outset makes it a routine step rather than a renegotiation.
How is the service invoiced?
One monthly invoice in USD covering salary, statutory contributions at cost, and the fixed service fee, with a breakdown per employee. Payroll runs on the local cycle regardless of your payment timing, subject to funding terms agreed at the start.