Why Your Employer of Record is Failing You (And How to Fix It)

When it comes to expanding into the Philippines, many companies rush into working with an Employer of Record (EOR) without truly understanding what they’re getting into.

We get it—EORs are marketed as simple, cost-effective solutions to complex problems. But here’s the truth: most EOR platforms out there are failing to meet the real needs of businesses like yours.

The Hidden Costs of Generic EOR Platforms

Here’s what most generic EOR platforms won’t tell you: they aren’t much more than glorified payment processors. Sure, they handle payroll and compliance on the surface, but they’re not involved in the critical aspects of hiring and managing your employees. Instead, they outsource recruitment to third-party partners and local recruiters, adding unnecessary layers, hidden costs, and disconnects that hurt your business. Worse, these local recruiters often don’t understand your business needs, leading to costly hiring mismatches.

Why Most EORs Fall Short in the Philippines

You might think that any EOR is better than none when expanding into the Philippines, but let’s break it down. Here are the top reasons why a generic EOR fails:

  1. No Local Recruitment Support, Only Third-Party Recruiters
    Generic EOR platforms don’t actually recruit talent themselves. They hire third-party local recruiters to do it for them, which inflates costs and leads to disconnects in understanding your company’s needs. Finding the right talent in the Philippines requires local knowledge and a customized approach, not an outsourced recruiter juggling multiple clients. At Siegen Solutions, we provide direct, in-house recruitment services, ensuring that every hire fits your specific requirements without extra middleman costs.

  2. They’re Just Payment Processors
    Most EOR platforms are more like payment processors than full-service partners. They handle payroll, but when it comes to recruitment, onboarding, and employee engagement, they leave you hanging. These platforms often don’t have local HR teams, and instead rely on external contractors, resulting in a lack of personalized support. At Siegen, we manage everything from hiring to payroll, onboarding to compliance, with a human team always on the ground in the Philippines.

  3. Lack of Compliance Expertise
    Generic platforms may automate compliance, but the complexities of Filipino labor laws can’t be left to automation alone. With third-party partners involved, things can slip through the cracks, leaving you exposed to penalties. At Siegen, we don’t take chances with your business. Our team of local experts ensures you’re always compliant with up-to-date laws and regulations.

  4. Low Employee Retention
    Recruiting through third-party local partners creates a disconnect that negatively impacts employee retention. These recruiters may not align with your company’s culture or values, leading to unhappy employees who don’t stick around. Siegen’s in-house, hands-on approach ensures employees feel connected to your business, improving retention and morale.

  5. Hidden Costs of Mismanagement
    While generic platforms may appear cheaper upfront, the hidden costs quickly pile up—fees for third-party recruiters, mismanagement of hires, compliance violations, and employee dissatisfaction. With Siegen, you get transparent pricing and full, in-house management that eliminates the headaches caused by outsourced partners.

Why Siegen Solutions is Different

At Siegen, we combine cutting-edge technology with real, localized human expertise. We’re not just another EOR platform; we’re your boots on the ground in the Philippines. Our dedicated team manages everything—from finding the right talent to ensuring your business complies with local labor laws—so you can focus on what matters: growing your business.

We make hiring in the Philippines seamless by providing:

  • Direct In-House Recruitment Services: No third-party recruiters or hidden costs. Our local team ensures job descriptions are met with precision, helping you avoid costly mismatches.

  • Full Compliance Support: We handle everything from payroll to benefits, keeping your business aligned with local laws without relying on generic, automated processes.

  • Transparent Pricing: No third-party fees or extra charges. You only pay for what you need, and you get a full, human-powered team ensuring your success.


Ready to Hire in the Philippines the Right Way?

Expanding your business to the Philippines can be the best decision you’ll ever make—if done right. Don’t settle for a one-size-fits-all EOR solution that leaves you to deal with the complexities. Siegen Solutions turns your remote team into part of a real company, with real human support and expert guidance every step of the way.


Are you ready to stop settling for less and start scaling with confidence?

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