Compliance in Hiring and Payroll Abroad to EU, EEA and Switzerland

Arletti & Partners supports Italian and international companies in managing direct hiring and payroll in the EU, EEA and Switzerland of foreign employees, assisting HR teams, mobility departments, legal departments and employees in assessing the legal, tax, social security and immigration implications connected with working in the EU, EEA and Switzerland, from a country other than that of the employer.

Our assistance is aimed at Italian companies with employees working in the EU, EEA and Switzerland, foreign companies with employees working from Italy, and multinational groups seeking to hire employees in the EU, EEA and Switzerland.

How the service is managed

Our approach is practical and tailored to each specific scenario. Every case is assessed individually, taking into account factors such as:

· the countries involved;
· the expected duration of the stay in the EU, EEA and Switzerland;
· the employee’s citizenship and tax residence;
· the working arrangements;
· the employee’s role and the employer’s corporate structure.

The objective is to provide clients with a clear assessment of the risks and compliance obligations applicable before the hiring procedure begins, enabling the company to determine whether the recruitment and payroll in the EU, EEA and Switzerland can be authorised and under which conditions.

The assistance process generally starts with the completion of a dedicated questionnaire designed to collect all relevant information for the analysis. Our team then performs an integrated assessment covering employment law, tax, social security, immigration and international compliance aspects.

At the end of the analysis, the client receives an operational summary or memorandum outlining:

· the main risks identified;
· the applicable compliance obligations;
· practical recommendations for the compliant management of the procedure for hiring and organising payroll in the EU, EEA and Switzerland.

Where required, Arletti & Partners also coordinates the support of local partners in the countries involved and assists clients with the practical implementation of the identified compliance requirements.

Main areas of assistance

Employment law

We assist companies and employees in assessing the law applicable to the employment relationship and any mandatory employment rules of the host country. The analysis may cover matters such as working time, holidays, health and safety requirements, minimum employment conditions and documentation obligations.

We also support clients with the preparation of:

· drafting contracts;
· reviewing and adapting contractual clauses;
· remote work agreement.

International tax

From a tax perspective, we assess the employee’s tax residence, the allocation of employment income and the application of double tax treaties.

For companies, our assistance also includes the assessment of permanent establishment risks and the verification of potential payroll or withholding tax obligations in the host country.

Social Security

In relation to social security matters, Arletti & Partners assesses:

· the applicable social security legislation;
· any local contribution obligations;
· the applicability of bilateral social security agreements outside the EU;
· the possibility of obtaining A1 certificates or equivalent documentation.

Immigration

For immigration purposes, we assess entry, residence and work authorisation requirements in the country where the activity will be performed.

The assistance may include verifying the need for:

· visas;
· work permits;
· local registrations;
· additional administrative authorisations.

Company policies and compliance

In addition to handling individual cases, Arletti & Partners supports companies in developing internal procedures for managing hiring procedures and the organisation of payroll in the EU, EEA and Switzerland.

Our assistance may include:

· explanation of all legal labour, tax, and contribution obligations;
· understanding the currency rates and salary obligations in the foreign country;
· setting up communication with an EOR;
· HR checklists and approval workflows;
· multi-country risk assessment procedures.

The objective is to help companies manage hiring procedures and payroll in the EU, EEA and Switzerland in a structured, compliant, and controlled manner.

Through a multidisciplinary approach and coordinated operational management, Arletti & Partners supports companies and employees in organizing procedures for hiring and payroll in the EU, EEA and Switzerland, helping them prevent risks, ensure compliance and manage cross-border working activities effectively.