Frequently Asked Questions
Everything you need to know about hiring in South Africa with TwoOceans EOR.
General
What is an Employer of Record (EOR)?
An Employer of Record is a third-party organization that becomes the legal employer of your workers in a country where you don't have a local entity. The EOR handles all employment compliance, payroll, taxes, and benefits while you retain day-to-day management of the employees.
Do I need to set up a South African company to hire there?
No. That's the primary benefit of using TwoOceans EOR. We already have a registered South African entity, and we employ your workers on your behalf. You avoid the cost, time, and complexity of setting up your own subsidiary with CIPC, SARS, UIF, and other authorities.
How long does it take to onboard an employee?
Typically 5-10 days from initial consultation to employee start date. This can vary depending on how quickly information is provided and whether any special circumstances apply. Rush onboarding may be available in some cases.
Can I hire contractors through TwoOceans EOR?
Yes, we can assist with contractor arrangements. However, be aware that South Africa has strict rules around distinguishing employees from independent contractors. We can advise on proper structuring to avoid misclassification risks under South African law.
Compliance & Legal
Who is liable for employment disputes?
As the legal employer, TwoOceans EOR assumes primary liability for employment matters. However, we work closely with clients to prevent disputes and will consult with you before taking action. Our service includes guidance on fair procedures to minimize risk.
What happens if I need to terminate an employee?
We handle terminations in full compliance with South African labour law. This includes ensuring fair reason and fair procedure, calculating notice periods and any severance pay due, and preparing exit documentation. Terminations must follow the Labour Relations Act and BCEA requirements.
Are employment contracts compliant with South African law?
Yes. All our contracts are drafted to be fully compliant with the Basic Conditions of Employment Act (BCEA) and other relevant legislation. They include all required terms and conditions, and can be customized for specific roles or industries.
What if SARS audits my South African employees?
TwoOceans EOR handles all SARS interactions as the registered employer. If an audit occurs, we manage the process, provide required documentation, and resolve any issues. Our compliance systems are designed to withstand scrutiny.
Payroll & Benefits
How does payroll work?
We process payroll monthly. Submit any changes (new hires, departures, salary adjustments, bonuses) by the 20th of each month. We calculate all deductions (PAYE, UIF, SDL, medical aid, pension), process payments to employees in ZAR, and file returns with SARS.
What currency do I pay in?
You pay TwoOceans EOR in GBP, EUR, or USD. We handle the currency conversion and pay your employees in South African Rand (ZAR). This eliminates the need for you to manage foreign exchange or international transfers.
Can you arrange employee benefits?
Yes. We can administer medical aid schemes, retirement/pension funds, group life insurance, and other benefits. We partner with leading South African providers to offer competitive group rates. Deductions are processed through payroll.
When do employees get paid?
Salaries are typically paid by the last working day of the month. Exact payment dates can be discussed based on your preferences and the specific payroll cycle.
Pricing & Contracts
How much does TwoOceans EOR cost?
Our pricing is based on the number of employees and level of service required. Typical rates range from £249-£299 per employee per month, with volume discounts for larger teams. Contact us for a tailored quote based on your specific needs.
Is there a minimum contract term?
[EDIT: Insert your policy - e.g., "We typically require a 12-month minimum commitment, but this can vary based on circumstances. Monthly rolling contracts may be available at a premium rate."]
What's included in the fee?
Our standard fee includes EOR services, BCEA-compliant contracts, monthly payroll processing, PAYE/UIF/SDL compliance, COIDA coverage, basic HR support, and email support. Benefits administration and additional services may incur extra charges.
Can I transfer employees to my own entity later?
Yes. If you establish your own South African entity, we can facilitate the transfer of employees to your payroll. We'll work with you to ensure a smooth transition with no disruption to employees.
Still Have Questions?
We're here to help. Get in touch and we'll answer any questions specific to your situation.
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