EOR (Employer of Record)

In recruiter context

Used when a UK candidate works for a US/EU company that doesn't have a UK entity. The EOR (Deel, Remote, Velocity Global, etc.) handles UK payroll, tax, NI, statutory benefits, and contract law. The candidate is technically employed by the EOR but reports to and works for the actual hiring company. EOR roles are legal employment with full UK rights — sick pay, holiday, redundancy if 2+ years. The trade-off: pension and benefits often weaker than direct UK employment, and the relationship can feel administratively distant. EOR has become the default route for UK-resident remote roles at small/mid US tech companies.