Outstaffing and outsourcing are some of the most popular methods for optimizing business processes abroad. In Ukraine, outstaffing agencies are not so widespread, therefore there are no clearly defined norms and restrictions in the legislation. Only in the Tax Code can you find the definition of “staff rental”:
P. 14.1.183 .: “a service for the provision of personnel is a business or civil law transaction, according to which the person providing the service (resident or non-resident) sends one or more individuals to another person (resident or non-resident) to fulfill certain by this function agreement. An agreement on the provision of personnel may provide for the conclusion by the indicated individuals of an employment agreement or an employment contract with the person to whose disposal they have been sent. Other conditions for the provision of personnel (including the remuneration of the person providing the service) are determined by agreement of the parties. ”
The service “outstaffing” includes:
Taking over personnel issues when opening branches and representative offices in other cities or countries
Payment of wages, labor issues
Company cost optimization
What is an outstaffing agency that meets your expectations? One that will reduce the burden on the enterprise, will take on the risks associated with working with personnel, provide employees with a safe environment for cooperation (white wages, pay taxes, maintain benefits and accrual of retirement benefits) and allow company owners to concentrate on strategic tasks and business processes.
It’s good if the outstaffing company works with projects in different cities (at least in large ones – Kiev, Odessa, Lviv, Dnipro, Kharkov, etc.). Even better if her customers were representatives of foreign countries.
The only risk when “removing staff from the state” is to stumble upon an illegally operating agency. In 2018, there were a number of lawsuits in Ukraine with unscrupulous providers, which led to a reduction in the number of austeners. Therefore, when ordering services, be sure to check if the company has documents and positive reviews.