EOR vs PEO in the Philippines: Which Solution Fits Your Business?

{"editorData":{"time":1755876150642,"blocks":[{"type":"paragraph","data":{"text":"# EOR vs PEO in the Philippines: Which Solution Fits Your Business?\n\n## Understanding the Basics\n\nWhen expanding to the Philippines, companies often face confusion between Employer of Record (EOR) and Professional Employer Organization (PEO) services.\n\n## Employer of Record (EOR) Services\n\n### What is an EOR?\nAn EOR becomes the legal employer of your Philippine workforce while you maintain operational control.\n\n### Key Benefits:\n- **Fast Setup**: Launch operations in 1-10 days\n- **Full Compliance**: EOR handles all regulatory requirements \n- **No Local Entity Required**: Start hiring immediately\n- **Scalability**: Add employees as needed\n\n## Professional Employer Organization (PEO)\n\n### What is a PEO?\nA PEO provides HR services through a co-employment arrangement.\n\n### Key Benefits:\n- **Shared Responsibilities**: Split employment obligations\n- **HR Expertise**: Access to specialized HR services\n- **Cost Efficiency**: Shared costs for smaller companies\n- **Flexibility**: Maintain more direct control\n\n## Direct Comparison\n\n| Factor | EOR | PEO |\n|--------|-----|-----|\n| **Setup Time** | 1-10 days | 2-4 weeks |\n| **Local Entity Required** | No | Yes |\n| **Employment Liability** | EOR assumes | Shared |\n| **Control Level** | Operational only | Higher control |\n| **Compliance Responsibility** | EOR handles | Shared |\n| **Cost** | Higher per employee | Lower ongoing costs |\n\n## Making Your Decision\n\nFor most international companies, EOR services provide the fastest, safest path to hiring in the Philippines. PEO services work better for companies with existing local operations seeking specific HR support."}}]},"tocConfig":{"enabled":true,"levels":["h1","h2","h3"],"preset":"default"}}