Do you provide health insurance?
Your employees will likely be covered by their national insurance scheme, but if you are interested, we can add supplemental private health insurance with our partner BUPA — the prices are ranging from $160 and $330 for medical, $70 and $120 for dental, and $15 and $40 for vision.
How much paid time off should my employees have?
The statutory minimums vary depending on the country and even province. Let us know where you would like to hire, and we’ll be happy to provide this information for specific locations.
Do you support probation periods?
It’s common to have 3 to 6 months of probation when bringing an employee on. During this period, you can terminate someone with one week’s notice and typically can follow a less strict process in terms of grounds for termination, etc., than when they’re outside of their probation period.
What are notice periods and severance?
You’ll need to provide reasonable notice of dismissal or payment in lieu of notice when you terminate someone. Different countries and provinces have different minimum notice lengths based on varied factors like position, age, etc. Should you ever need to terminate someone, you can request that through the Pilot app and we’ll guide you through the entire process to make sure everything is done legally.
Both Pilot and our partners are GDPR compliant, and if you need to terminate an employee we’ll make sure it’s completed in a way that is complaint with local employment laws. And, of course, we'll make sure that all statutorily required contributions and filings are made on time.
What are the restrictions after termination?
These are standard non-compete, non-solicitation clauses. You can decide if you want them to apply for 3, 6, 9 or 12 months after termination.
What are the minimum terms?
This is not a contractual obligation, but our partner won’t allow us to onboard employees if their expected tenure is less than 6 to 12 months. You can of course terminate someone early if they’re underperforming—especially during the probation period, but if you know, going into it, that it’s a short-term position, we won’t be able to onboard them. We can accept up to 25% variance in estimated payroll / headcount.
Do I have to pay local taxes?
You’ll need to pay employer side taxes and insurance on top of your employee’s gross salary.
As an example, this is how it looks like for Canada:
You’ll be paying 14.6% in local taxes on top of the employee’s gross salary. Here’s the full breakdown of what’s covered by this:
CPP Contribution: 5.1%
EI Premiums: 2.34%
Employer Health Tax: 1.95%
Work Injury Insurance: 3.19%
Third-Party Liability Insurance: 2.02%
What does it mean that you are working with a PEO/EOR provider?
We use a single PEO/EOR provider on the backend to have coverage in 160+ countries from day one, but over time we’ll be moving over to our own entities in countries where we have the highest volume.
It’s not a three-party agreement where we’re an agent for the PEO/EOR, but we like to be transparent and disclose that we work with one behind the scenes.
Pricing-wise, we can negotiate better terms with our PEO/EOR partner because of the number of employees we support.
Does it make sense to use Pilot when I already set up my own foreign entity?
That’s not a use case we support. We can help you though, if you end up hiring people outside of the countries in which you have entities. We support over 160 countries without your having to set up a separate subsidiary in each.
In general, we find that companies only move to set up their own legal entities if they have a large number of employees (10+) in a single country, would like to open up a physical office, or have other sales/business related reasons to open a foreign subsidiary. Our largest customers have 500+ employees and still use Pilot because it’s more convenient than managing their own entities.