Expanding or managing a workforce in Ghana presents choices for businesses: should you hire employees traditionally by setting up a local entity, or use an Employer of Record (EOR)? Understanding the differences can help you choose the best approach for your company’s goals, compliance, and operational efficiency.
What is Traditional Hiring?
Traditional hiring involves setting up a local entity in Ghana, registering with authorities, and managing all HR, payroll, and compliance internally. While it offers full control over employees, it also comes with administrative, legal, and financial responsibilities.
What is an Employer of Record (EOR)?
An EOR, like Kaliber Partners, legally employs your staff on your behalf, managing payroll, contracts, compliance, and benefits while you direct daily work. This allows companies to hire employees without establishing a local company, reducing risk and administrative burden.
|
Feature |
Traditional Hiring |
EOR |
|
Legal Entity |
Required |
Not required |
|
Payroll & Compliance |
Managed in-house |
Managed by EOR |
|
Setup Time |
Weeks to months |
Days |
|
Risk & Liability |
High |
Reduced |
|
Flexibility |
Limited |
High, easy to scale |
Which Option is Right for Your Business?
Choose Traditional Hiring if:
- You plan a long-term, permanent presence in Ghana.
- You want full control over HR and employee policies.
- You have resources to manage payroll, benefits, and compliance internally.
Choose an EOR if:
- You want quick market entry without a local entity.
- You want to reduce administrative burden and compliance risk.
- You need flexibility to hire temporary, remote, or project-based staff.
ConclusionÂ
Both traditional hiring and EOR solutions have advantages, but for many businesses, an EOR offers speed, compliance, and flexibility – especially for SMEs and foreign companies entering Ghana. Kaliber Partners serves as your trusted EOR, helping businesses hire, manage, and pay employees compliantly while focusing on growth.
