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Hong Kong Maternity Leave Decoded: What Every Employer Must Know!

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Hong Kong Maternity Leave Decoded: What Every Employer Must Know!

EOR services in Hongkong Maternity Leave

Navigating maternity leave policies may be difficult, especially for businesses trying to remain compliant while also supporting their employees. In Hong Kong, maternity leave is a well-defined legal entitlement, and employers must understand these rules in order to establish a friendly work environment and avoid legal ramifications. Here is everything you need to know about Hong Kong’s maternity leave policy.

Table Of Content

1. Eligibility for Maternity Leave

According to the Employment Ordinance (EO), a female employee in Hong Kong is eligible for maternity leave if she meets the following criteria:

  1. She has been on a continuous contract for at least 40 weeks prior to the anticipated date of birth.
  2. She presents her employer with a medical document confirming her pregnancy and projected due date.
  3. She provides her employer advance notice of her desire to take maternity leave.

2. Duration of Maternity Leave

Eligible employees are entitled to 14 weeks of maternity leave. The leave time normally begins four weeks before the planned date of birth and lasts ten weeks after delivery.

  • If the employee delivers birth early or needs extra rest for medical reasons, the leave can be adjusted based on the doctor’s recommendation.
  • Additional leave may be requested, however this is up to the employer’s judgment and consent.

3. Maternity Leave Pay

Maternity leave pay is computed at four-fifths (80%) of the employee’s average daily wage. To be eligible for this payout, employees must have:

  1. Worked under a continuaous contract for at least 40 weeks.
  2. Provided a medical document that indicated the pregnancy.
  3. Provided proper notice of the intended departure period.

Employers can recover the cost of maternity leave pay from the government in certain circumstances, such as participating in the Reimbursement of Maternity Leave Pay Scheme.

4. Notification Requirements

In order to be eligible for maternity leave, workers must:

  1. Give their employer notice at least three months in advance of their due date.
  2. Present a medical certificate from a licensed medical practitioner.

Employers must verify that they received the notice and make the necessary preparations.

5. Protection Against Termination

Pregnant employees are given significant safeguards under Hong Kong’s maternity leave laws. Her employer cannot terminate an employee’s contract because she is pregnant or on maternity leave. If someone is fired during this time without a good reason, there may be legal repercussions and compensation claims.

6. Additional Rights and Considerations

Antenatal Appointments: Employees have the right to take time off for prenatal medical examinations, provided they give advance notice to their employer.

Breastfeeding-Friendly Workplace: Although existing regulations do not require it, employers are encouraged to create a friendly work environment for breastfeeding employees.

Paternity Leave for Partners: Male employees are entitled to five days of paternity leave in addition to the maternity leave framework.

7. Penalties for Non-Compliance

Employers who fail to follow maternity leave requirements may suffer legal consequences, such as fines and compensation claims. This may also impact the company’s reputation and employee morale.

8. How an EOR Can Help

Compliance with maternity leave policies can be difficult for Hong Kong-based businesses, particularly those with a diverse workforce. A reliable Employer of Record (EOR) service helps streamline the process by:

  1. Ensuring full compliance with local employment regulations.
  2. Preparing payroll calculations for maternity leave pay.
  3. Managing documents and employee notifications.
  4. Providing continuing HR support and legal advice.

Conclusion

Understanding and adhering to Hong Kong’s maternity leave legislation is critical for businesses to be compliant and build a healthy work environment. Partnering with an EOR service guarantees that your company is completely prepared to handle these tasks quickly, allowing you to focus on growth while also helping your employees during a key period in their lives.

 

If you need expert advice on handling maternity leave and other HR challenges, contact us today to see how our Hong Kong EOR services may help.

Support Your Employees with Confidence!

Discover how our EOR services can help you navigate maternity leave policies effortlessly. 

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FAQ’S

Who qualifies for maternity leave in Hong Kong?

A female employee is eligible for maternity leave pay if: She has been employed under a continuous contract by the company for at least 40 weeks immediately before the commencement of scheduled maternity leave.

Maternity leave pay is computed as four-fifths (80%) of the employee’s average daily wage. To be eligible for maternity leave pay, employees must meet certain criteria and produce the relevant documentation, such as a medical certificate and proper notice.

Employers are not allowed to fire employees because they are pregnant or while on maternity leave. Such activities may result in legal sanctions and compensation claims against the employer.

An EOR solution may handle payroll calculations for maternity leave compensation, maintain compliance with Hong Kong’s employment rules, manage documentation and employee notifications, and give HR support, allowing firms to stay compliant while focusing on growth.

How to Hire International Employees: A Comprehensive Guide

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How to Hire International Employees : A Comprehensive Guide

How To Hire International Employees Comprehensive Guide

The fast-moving world economy offers various ways to expand business across borders, and hiring international employees is more than just a trend. Businesses that are looking to expand, innovate and compete on a global scale, especially in Asia–Pacific (APAC) region, see workforce diversity as a strategic move.  

 

International hiring offers immense business opportunities, such as access to diverse skill sets and perspectives and the opportunity to explore new markets.

However, it comes with its challenges, such as adherence to immigration and employment laws, tax regulations, and managing cultural differences.

 

Therefore, this guide outlines the essential steps and considerations for successfully hiring international employees, from understanding legal requirements to creating a smooth onboarding process.

 

After reading the guide, you’ll have a clear roadmap for entering a potential global workforce while ensuring compliance and success in your hiring strategy. 

Table Of Content

7 Steps to Successfully Hire International Employees

1. Define Your Hiring Objectives and Strategy

Before commencing the hiring process, you should determine whether international hiring aligns with your business goals or not. You should consider the following in this respect:

  • Skill Gaps: Identify specific skills that your business requires and the existing or local talent fails to provide.

  • Market Goals: analyse whether international hiring will be able to support your expansion or operational objectives and how?

  • Budget: Allocate budget and resources for recruitment, onboarding, and management of international employees.

A well-defined strategy will ensure alignment with your business goals and maximize the value of your new hires.

2. Identify the Target Region for Hiring

 To make your international hiring journey successful, you must critically choose the target region by considering the following factors:

 

Availability of Skilled Talent: Look for regions with a strong pool of candidates or specialized skills. For example, you will find a pool of talented IT professionals in India or people with specialized engineering skills in Australia

 

Cost of Labor: Compare the cost of salaries and benefits in the potential target regions. 

 

Time Zone Compatibility with the base operational location.

 

Region’s cultural alignment with your Company’s goals.

 

Market dynamics: Identify regions where the existing market supports your expansion plans.Thorough research into the market dynamics of the target region will ensure long-term success.

3. Understanding Labor Laws and Compliance Requirements

Compliance requirements and challenges vary significantly across different countries due to diverse labor laws and tax systems. Therefore, one must conduct thorough research and analysis of the legal framework and compliance requirements in the target region to stay away from fines and penalties for non-compliance.

You must take care of the following:

  • Work Permits and Visas: enquire what kind of work permits or visas your employees require to work in the target region and how to get them.

 

  • Employment Contracts: draft compliant contracts that outline job terms, benefits, and termination policies in accordance with the extant laws of the place of hiring.

 

  • Tax and Payroll Compliance: understand the employer and employee obligations for income tax and social security contributions.

 

  • Labor laws: familiarize yourself with regulations on minimum wage, working hours, employee rights, etc.

4. Choose the Right Hiring Model

Select the right approach for hiring international employees that aligns with your business structure and goals:

Ø  Direct Employment: You can set up a local entity or establish a subsidiary as per the laws, in the target country to comply with labor laws and tax requirements, which will provide you full control over the business expansion unit but involves significant time and cost.

Ø  Employer of Record (EOR): Partner with a singapore EOR service provider, which will reduce the burden of handling compliances, Singapore payroll services, employment contracts, etc., without the hassle of setting up a local entity and help you test new markets and scale quickly.

Read our guide ‘What Is An EOR: A Complete Guide To Simplified International Hiring’ to know how an EOR works and how it can help you streamline your business processes.

Ø  Freelancers or Contractors: Hiring independent contractors can be a cost-effective option for short-term projects or specialized tasks.

5. Develop a Recruitment Strategy

Developing a strong recruitment strategy is essential for finding top international talent. You may follow the following steps:

 

Job Description: Clearly defining roles and responsibilities will get the talent you need. Describe scope of work, skills and qualifications required and performance expectations.

 

Job Portals: Use platforms like LinkedIn, Indeed, or region-specific job boards like Jobstreet and SEEK to source candidates.

 

Work with Recruitment Agencies: You may also collaborate with agencies that specialize in international hiring for your industry.

 

Resume Review: Thoroughly review resumes and portfolios to shortlist candidates that meet qualifications to fit in your business industry. You may use Application tracking System (ATS) to manage applications, scheduling interviews and tracking candidates.

 

Pre-screening: Effectively pre-screen candidates through assessments or work samples to evaluate practical, technical and soft skills.

 

Conduct interviews: Use tools like Zoom or Microsoft Teams to connect with candidates across time zones.

 

Assess Candidates thoroughly: Evaluate candidate’s cultural adaptability, confidence and reference checks. Well Structured interview questions and roles – specific scenarios can help assess problem – solving and decision-making abilities.

 

Offer Competitive Compensation and Benefits: Ensure that the salaries and benefits you offer are market-competitive and comply with local standards. Also offer relocation assistance, including visa sponsorship, housing, and transportation.

6. Onboard and Integrate New Employees

Only an efficient integration into the company’s culture will make the hiring process successful. The employees should feel welcomed and equipped to contribute effectively.

 

Therefore, conduct orientation to welcome the new hires, provide an overview of the company and introduce the team. Provide cultural training if required. Foster employee engagement by sharing company goals and updates regularly, setting up routine of one-on-one meetings, encouraging transparency and celebrating milestones.

 

Cultivate a culture friendly environment by organizing team meetings, combined projects and informal outings.

 

Take care of continuous monitoring and optimizing performance by constructive feedback, addressing challenges, periodic training and development programs and identifying areas of improvement.

7. Establish Cross-Border Payroll and Taxation System

Manage payroll for international employees while ensuring accuracy and compliance. Use a Global Payroll services platform that consolidates payroll processing across multiple countries or partners with an EOR to simplify singapore payroll services, tax filings, and benefits administration. Stay updated on Tax Regulations to avoid penalties and ensure compliance.

Conclusion

The process of international hiring requires careful planning, cultural sensitivity and a thorough understanding of local laws and regulations. By undertaking processes ethically and strategically businesses can overcome geographical barriers and build a long-term successful workforce.   

However, if you find it challenging to devote time and resources in researching and understanding complexities of setting up a new legal entity in a new area or a different country altogether about which you have limited knowledge; you should partner with an Employer of Record and focus on your core business operations.

Read our guide – ‘Should You Opt For EOR services? Here Are 5 Key Factors To Consider’ to understand why you should hire an EOR.

Choose Galaxy – EOR service provider. We are leading HR and business advisory service providers in Asia Pacific. We also offer corporate solutions like incorporation, secretarial & compliance, payroll, accounting, finance and taxation. 

Build Your International Team Today!

Partner with Galaxy for simplified international hiring. 

Contact us

FAQ’S

Do I need to set up a legal entity to hire internationally?

Not always. You can hire an EOR who can employ on your behalf, handle payroll, taxation and compliances without setting up a new local entity.

Get a thorough understanding of local labour and employment laws, work permits, contracts, tax obligations and standards to follow. Keep yourself updated of any changes made in the extant laws.

Access to diverse talent pools and innovation through varied perspectives, expansion in new markets and cost efficiency are some of the benefits of international hiring.

Technology plays a prime role in connecting you with distant people. Various global and region specific online job portals linkedin and Jobstreet can help you reach millions of people from across borders at a single platform. Application Tracking systems enable you to manage applications efficiently. Tools like Zoom and Microsoft Teams help you conduct interviews virtually.   

8 Key Steps to Successful Remote Hiring

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8 Key Steps to Successful Remote Hiring

8 Key Steps to Successful Remote Hiring

The shift from traditional office setups to remote work has revolutionised corporate work culture in recent years. Global technological advancements along with the challenges put forward by the pandemic, have accelerated this transition – making remote work not just an attractive alternative but increasingly, a preferred workforce model for many organisations.

 

The market has quickly realised the benefits of remote hiring, and many businesses have been accessing global talents to reduce operational costs whilst offering remote talents the flexibility they value.

 

Furthermore, Markets and Markets establishes in its report that the remote workplace services market is expected to grow from $20.1 billion in 2022 to $58.5 billion by 2027 at a CAGR of 23.8%.

 

However, recruiting and managing remote teams comes with its own set of challenges. This guide will aim to assist you with the essential steps to successful remote hiring.

Table Of Content

8 Key Steps to Successful Remote Hiring

1. Understand Your Hiring Needs

Before initiating remote hiring, it is important to clearly define your needs. Ask yourself the following questions in order to effectively plan your remote workforce strategy.

  • Does your business need full-time employees, contractors, or freelancers?

  • Will remote roles satisfy your business requirements?

  • What roles can be effectively performed remotely?

  • What would be your focal region to build a remote workforce?

2. Spotlight Employer Branding

  • A strong employer brand helps companies stand out by highlighting their values, culture and commitment to employee well-being.
  • Advertise the job postings through your website and social media channels, focusing on growth opportunities and a supportive virtual work environment.
  • Remote employees prioritise organisations that value inclusivity, work-life balance and career growth.

3. Define a clear and attractive job description

Unlike traditional hires, remote roles require specific traits such as self motivation, effective communication and ability to work independently.

 

Clearly defining roles and responsibilities is the key to getting the right talent for your business. The job description must be detailed, outlining the scope of work, responsibilities, skills and qualifications required in addition to the expected outcomes from the role. It should also include information about the work schedule, preferred time zones and any tools or platforms the candidates will be using daily on the job.

 

This will not only help candidates assess whether they are fit for the position but will also smoothen the hiring process by reducing misunderstandings.

4. Choose the Right Recruitment Channels

Choosing the right recruitment channel directly impacts the quality and diversity of candidates you attract. The APAC region is known to utilise various job boards and recruitment platforms tailored for hiring in diverse industries. Industry-specific platforms as well, will assist in finding niche talent. A few popular options include:

  • LinkedIn: Ideal for professional roles.

  • JobStreet and SEEK: Widely used in Southeast Asia and Australia.

  • Upwork and Toptal: Perfect for freelancers and project-based roles.

  • Local Platforms: Consider region-specific platforms such as Zhaopin in China and Naukri.com in India.

5. Smart Screening for Remote Roles

Effective screening and interviewing are important steps to ensure that you select candidates who are not only skilled but well suited for task of working remotely. Additionally, upgrading your hiring process with the latest technology and tools will efficiently strategise your remote hiring process.

 

You can follow the following steps for the same:

 

1. Start with a thorough review of resumes and portfolios to shortlist candidates who meet the technical qualifications and skills.  Application Tracking System (ATS) platforms like Bamboo HR and Workable will help you organise applications efficiently.

 

2. Utilise pre-screening tools like assessments or work samples to evaluate practical skills. Online assessment tools like HackerRank (for developers) or TestGorilla (for general skills) will enable you to evaluate technical and soft skills.

 

3.  Conduct video interviews to assess candidates’ comfort with virtual interactions and ensure they have necessary technical knowledge for required set-ups. You can use Zoom, Microsoft Teams or Google Meet to conduct interviews.  

 

4. Well Structured interview questions and roles – specific scenarios can help assess problem-solving and decision-making abilities.  

 

5.   What to look for in prospective Remote Employees:

  •  Job-specific competencies
  •  Communication skills
  •  Ability to effectively set up remotely
  •  Self-disciplined
  •  Cultural Adaptability

6. Onboarding and Employee Engagement Process

Hiring is successful only when employees are efficiently integrated into the company’s work culture, despite the physical distance. You can do the following tasks to make them feel welcomed and well-informed of Company’s goals and expectations:

  • Virtual Orientation to introduce the new hire to their team and provide an overview of the business.

  • Share digital copies of company policies, training materials, documents defining roles and responsibilities, and login credentials for tools like Slack, Trello, or Asana.

  • Schedule interactive training sessions.

  • Foster employee engagement by assigning buddies or mentors.

  • Set up routine one-on-one meetings during the first few weeks to set expectation and address any concerns.

  • Encourage Transparency by sharing company updates and goals regularly.

  • Celebrate Milestones by acknowledging achievements, celebrating birthdays, anniversaries, or project completions through digital shoutouts or gift cards to boost morale.

  • Cultivate a Remote-Friendly Culture by taking weekly or biweekly sessions to discuss challenges, provide feedback and establish priority goals.

7. Address Security and Data Protection

Distant work might sometimes involve the transfer and sharing of sensitive company data. Protect your business by:

  • Using secure communication platforms.

  • Implementing VPNs and cybersecurity protocols.

  • Signing non-disclosure agreements (NDAs) with remote employees.

  • Updating softwares regularly.

  • Conducting security audits.

8. Verify Compliance and Legal Requirements

Employers must keep themselves well informed of the employment standards, labour laws and tax regulations in the locations where remote employees are based; and prepare their hiring strategy accordingly.  

Taking care of visa requirements, drafting complaint contracts, managing china payroll services compliance with local tax laws, and understanding obligations related to benefits, data privacy, termination policies, intellectual property protection, and anti-discrimination laws are just some of the key compliance tasks you need to attend to, to protect yourself from penalties for non-compliance.

Partner with Galaxy Group - Asia’s leading Business Consulting and EOR Provider

Remote hiring offers unmatched access to global talent, but navigating legal, cultural, and logistical complexities can be daunting. As Asia’s leading business consultant and Employer of Record (EOR) provider, Galaxy helps businesses expand effortlessly.

From business registration and company incorporation services to payroll and EOR services, we ensure that all our customers benefit from our high service delivery standards and a seamless, efficient experience.

Curious about how an EOR can simplify global expansion? Explore our guides:

What is an EOR?

Should You Opt for EOR Services? 5 Key Factors.

Planning for a remote workforce?

Partner with Galaxy to efficiently get your remote team established.

Contact us

FAQ’S

What should be included in a remote job description?

It should clearly specify job roles and responsibilities, required qualifications and skills, working hours, preferred time zones, expectations and technical requirements.

Perform candidate evaluation by using pre-screening tools, online assessment tools to evaluate technical skills, and conduct virtual interviews to assess candidate’s comfort and competence with setting up remotely.

Employers may face challenges such as communication barriers, time zone differences, cultural adaptability and labour law compliance in a new country/region.  

Your Go-To Guide for Indian Employment Laws and Obligations in 2025

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Your Go-To Guide for Indian Employment Laws and Obligations in 2025

Your Go-To Guide for Indian Employment Laws and Obligations in 2025

Planning to start a business in India? Understanding and complying with complex employment and labour regulations can be challenging when it comes to hiring Indian talent.


Entrepreneurs must keep themselves informed of the complex framework of Indian employment and labour laws, in order to present a fair and safe work environment – protecting themselves from unnecessary penalties and fines under India’s Applicable Employment Act.


This blog will provide an idea of how the legal framework of India works, the rights of employees, employers’ obligations and the basic provisions and practices employers in India must follow.

Table Of Content

Legal Framework of Employment and Labour Laws in India

The Indian legal framework has expanded over the years with the enforcement of various Acts addressing social security, equal opportunity and workplace safety; ensuring at the same time a collaborative approach to labour and employment regulation addressing unique needs of states while maintaining national consistency.  

 

Labour and employment laws in India are a central-state subject where both central and state governments have the power to legislate and enforce. There are laws like the Industrial Disputes Act, 1947, Factories Act, 1948 and Minimum Wages Act, 1948 formed by the Central Government.  States have the power to modify them and often draft rules to implement them within their jurisdictions.

 

One can simply log on to https://labour.gov.in/, the official website of the Ministry of Labour and Employment to get an insight into any of the central or state laws.

 

Most recently in 2020, the Indian government consolidated 29 labour laws into 4 labour codes. This was meant to simplify and reform the country’s labour laws and reduce compliance burden – by the merging of  multiple registrations and licenses. However, the same is not yet enforced and awaits implementation.

For now, the existing laws remain in force.

An Overview of Current Employment and Labour Laws in India

Social Security

The Social Security laws ensure employee welfare during and after employment. Employees have the right of access to retirement benefits, health insurance, injury support, gratuity and maternity leave.

Therefore, employers must ensure the following:

  • Access to retirement benefits through the Employees’ Provident Fund (EPF) and pension schemes ensure financial security post-retirement.
  • Provide medical and insurance benefits under the Employees’ State Insurance Act, 1948.
  • Payment of gratuity upon retirement or resignation of employees with 5+ yrs of service under the Payment of Gratuity Act, 1972.
  • Provide maternity leave and benefits as per the Maternity Benefit Act, 1961.

Wages and Payment

Under the laws regulating payment of wages, employees are entitled to receive at least the minimum wage prescribed by state/central authorities under the Minimum Wages Act, 1948 – timely payment of wages without unauthorised deductions under the Payment of Wages Act, 1936 and equal pay for equal work under the Equal Remuneration Act, 1976.

 

Therefore employers must ensure fair and timely payment of wages, issue detailed payslips and maintain proper wage records.

Employment Rules

Employees have the right to an employment contract with clear terms, fair working hours and overtime pay.  

Employers obligations:

  • Contracts: Clearly define terms of employment, including wages, roles and termination conditions.
  • Work Hours: Regulate working hours (max 48 hours per week) or 9 hours per day and provide overtime pay as per the Shops and Establishments Act (state-specific).
  • Leaves: Ensure a minimum of 12 days paid leave annually for full-time employees. For employees who work for over 240 days, a weekly day off is expected, with provision of sick leave and casual leaves that align with state specific regulations.
  • Public Holidays: Provide work holidays on Public and State holidays.
  • Termination: Classify employees as workmen and non-workmen, with differing rules for termination. For “workmen,” employers must follow strict processes, including notice periods and severance pay. Termination of non-workmen should be governed by contract terms adhering to general principles of fairness and natural justice.
  • Apprenticeships: Employers hiring apprentices must comply with training obligations under the Apprentices Act, 1961.
  • Notification of Vacancies: Employers must notify vacancies to government employment exchanges under the Employment Exchanges Act, 1959.

Women and Child Labour

Female employees have the right to maternity leave and protection from workplace harassment under the Maternity Benefit Act, 1961, and Sexual Harassment of Women at Workplace (Prevention, Prohibition, and Redressal) Act, 2013.

 

Employers in this respect are required to implement anti-harassment policies and set up an Internal Complaints Committee for handling grievances.

 

Children under 14 years of age are not employable for hazardous jobs as enforced under the Child and Adolescent Labour (Prohibition and Regulation) Act, 1986

Workplace Safety and Health

The Factories Act, 1948 and other relevant laws entitles employees to have the right to work in safe and hazard-free conditions. Therefore, employers must maintain a safe and healthy working environment, conduct regular health checks and ensure workplace hygiene.

 

Businesses are also required to report accidents and comply with safety norms under the Occupational Safety, Health and Working Conditions Code, 2020.  

Industrial Relations

In India, workers have the right to form trade unions, collectively bargain, strike and seek protection against unfair dismissal.

 

Therefore employers must allow union formations under the Trade Unions Act, 1926, establish mechanisms for resolving disputes including arbitration and adjudication for layoffs, retrenchments or strikes as per the Industrial Disputes Act, 1947 and define clear terms of employment under Industrial Employment (Standing Orders) Act, 1946.

Labour Reforms and Codes

An insight to the four new Labour Codes, expected to be fully implemented in 2025:

  • The Code on Wages, 2019: wage payments, minimum wages and bonuses.
  • The Code on Social Security, 2020: social security benefits like provident funds, gratuity and insurance.
  • The Industrial Relations Code, 2020: dispute resolution, strikes and collective bargaining.
  • The Occupational Safety, Health and Working Conditions Code, 2020: workplace safety, health standards and working conditions.

Compliance Challenges for International Businesses

Indian employment regulations often vary between states, requiring local compliance strategies. Businesses must stay updated with frequent amendments and notifications. Understanding cultural expectations around job security, hierarchical structures and work-life balance is key to successful compliance and employee engagement.

How Can We Help?

Galaxy Payroll Group has 20 years of Payroll and EOR service experience and partnering with us will help reduce your burden of trying to understand and comply with India’s complex legal framework. We will hire and manage employees for you to also reduce your administrative load while you focus on more important tasks.

Ready to Expand to APAC with Ease?

 Partner with us to navigate APAC’s laws and build a compliant workforce.

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FAQ’S

1. What is an Employer of Record (EOR)?

An Employer of Record (EOR) is a third-party service provider that manages employment responsibilities for your company, including payroll, compliance and other HR functions. It ensures that businesses adhere to local labour laws without having to directly employ the workers.

Employers must comply with regulations related to employment contracts, work hours, overtime, workplace safety, anti-discrimination policies and employee benefits like paid leave and retirement schemes. It is also very important to stay updated with state-specific regulations as well.

In India, employment contracts can be permanent, fixed-term, or temporary (probationary). These contracts outline job responsibilities, benefits and terms of employment – ensuring clarity for both the employer and employee.

Maternity leave in India is 26 weeks for women who have worked for at least 80 days in the previous year, and 12 weeks of leave for adoptive mothers. This is considered paid leave and is a crucial part of employee welfare.

The EPF is a retirement savings scheme where employers contribute a portion of the employee’s salary (usually 12%) to a fund. The employee can access the accumulated amount at retirement or resignation.

The HR Playbook for 2025: Trends, Challenges, and a Checklist for Employers

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The HR Playbook for 2025 : Trends, Challenges, and a Checklist for Employers

the hr playbook for 2025

The HR landscape is changing profoundly the closer we get to 2025. The workplace is not only being shaped by economic forces, the introduction of AI, and the changing of employee expectations, but it is also changing how organisations operate. These changes prompt HR leaders to develop innovative strategies that foster an organisation’s resilience, adaptability and growth.

This article uncovers the main HR trends of 2025 together with forward-looking insights and practical ideas to help organisations keep the edge. Moreover, this employers’ checklist will help guide and align HR priorities for success in the upcoming year.

Let’s see how we can use an HR management system to drive the future of work and help organisations flourish!

Table Of Content

Trends to follow in HR

The Integration of AI in HR Practices

AI is currently the new leader in the HR domain, and we are experiencing game-changing developments that result in innovative and efficient operations in many respects. For one, AI-powered human resource management (HRM) systems make it feasible for HR leaders to perform multiple tasks, including but not limited to payroll processing, performance tracking and project management – leading to exponential growth in business efficiency. 

In hiring, AI is changing the face of acquisition by automating the process of resume screening, candidate assessments, and utilisation of natural language processing technology for interviews. Apart from this, AI is also improving functions for picture documentation and employee onboarding – which are also becoming digital and data-driven. Another development on the horizon is the people analytics of AI, which helps make the decision-making process more novel.

When it comes to analysing workforce data, these AI tools assist HR teams in figuring out what needs to be improved in performance, employee development, and retention by offering helpful tips about which choices are the best to make in international HR services. Within the framework of such technological innovation, AI will continue to be a major player in the HR domain. It will be through the journey of innovation for future workplaces where AI will play a vital role in energising areas such as productivity, scale operations, and employee management.

The Prioritisation of Employee Wellbeing

In 2025, Employee well-being is forecasted to shift more from a “nice-to-have” to a central business priority. With increasing stressors like job insecurity, burnout, and rapid technological changes, 70% of HR leaders recognise economic instability as a major threat to wellbeing, yet investment in financial wellness programs remains limited.

Companies are merging programs designed for the physical, mental, and financial health, to address these challenges. The need for mental health days, telemedicine and wellness apps is growing in importance – to combat burnout and to raise the morale of employees.

The first bullet of Heka’s 2025 wellbeing trends depict that employees are continuously ranking benefits that have a direct impact on their health – First; this expresses that enterprises that are implementing holistic well-being strategies can successfully increase the satisfaction and loyalty of their workforce. Consequently, employers can look to increase employees’ morale and well-being through the promotion of work-life balance and the provision of mental health resources.

The Rise of Skills-Based Hiring and Employee Development

To address talent shortages, many organisations are embracing a skills-based hiring approach, focusing on skills and potential rather than solely on experience or formal education. Research shows that 90% of companies adopting this method report fewer mis-hires, and 94% find it more predictive for on-the-job success. This trend is shifting the focus from credentials to practical experience and transferable skills.

 

Simultaneously,  upskilling and reskilling have become the important roads that lead to a successful future. Businesses have been engaging themselves in training, mentorship and development programs, not only to build stronger teams but also a means for talent retention. HR leaders are rephrasing job descriptions, eliminating the unnecessary degree requirements and adopting agile learning methods such as microlearning. By keeping employees on a continuous learning journey and providing opportunities for development, many businesses have reported positive outcomes amidst a volatile job market.

The Rise of Hybrid Work 2.0 and Geographically Dispersed Teams

As hybrid work continues to evolve in 2025, organisations will focus on creating equitable experiences for remote and in-office employees. Leveraging advanced collaboration tools, HR management systems, and virtual reality (VR) tools for discussions and team-building will help redefine work dynamics – ensuring employees feel equally engaged and valued.

The rise of remote work has expanded talent access beyond traditional geographic boundaries. From February 2020 to June 2023, the global remote workforce grew from 23% to 31%. This shift offers enhanced worker-job matching, improved work-life balance, and reduced staff turnover. Employers who embrace flexibility, remote work options, skills-based hiring, and offer pay transparency will likely be better-positioned to attract better talent as the human resource landscape evolves.

At Galaxy, we understand the importance of seamless integration between remote and in-office teams. Our PEO (Professional Employer Organisation) and EOR (Employer of Record) services help organisations navigate the many complexities of remote workforce management. By partnering with Galaxy, businesses can hire top global talent whilst ensuring compliance is met and payroll outsourcing and benefits are managed for various jurisdictions.

The Evolution of Diversity, Equity, and Inclusion (DEI)

In 2024, the focus on Diversity, Equity, and Inclusion (DEI) continues to be critical for organisations, but the approach is evolving. While companies still recognise the importance of diverse and inclusive workplaces, recent challenges, such as high DEI professional turnover and legal rulings, have prompted a reassessment of strategies. A 2022 study found that DEI roles had a 33% attrition rate compared to 21% for other positions, highlighting the need for more rock-solid approaches.

DEI initiatives will no longer be treated as standalone efforts but will be integrated into core business practices and leadership strategies. By focusing on long-term behavioural changes rather than one-off training sessions, companies will prioritise building inclusive cultures within the business.

Furthermore, measuring DEI effectiveness through data and outcomes will become more and more central, emphasising factors such as promotion rates, retention, and team dynamics. Organisations will also focus on eliminating biases in hiring and pay equity, using analytics to track and improve DEI progress.

Upcoming Common Challenges and Solutions for Employers

  • Building a Resilient Workforce

Solution: Focus on adaptability through cross-functional training, continuous learning, and empowering employees with ownership of their development.

 

  • Leveraging Technology for Productivity

Solution: Invest in integrated HR tools for seamless workflow management. Prioritise data privacy and ensure smooth adoption with proper employee training.

 

  • Fostering a Culture of Well-being

Solution: Go beyond basic wellness programs. Offer tailored benefits addressing physical, mental and financial health while promoting work-life balance.

 

  • Reinforcing Leadership Development

Solution: Focus on leadership training in emotional intelligence and resilience. Provide coaching and mentorship to develop strong leaders for all levels.

 

  • Strengthening Employer Branding

Solution: Build an authentic employer brand through transparency, showcasing values and employee success stories across platforms.

Checklist for employers in 2025

To help you stay ahead, here’s a quick checklist to guide your HR strategy:

  1. Employee Experience:
    • Conduct regular employee feedback surveys.
    • Personalise career development plans.
    • Offer flexible work arrangements.
  2. Hybrid Work:
    • Audit and improve collaboration tools.
    • Ensure parity between remote and in-office experiences.
    • Redesign office spaces to support hybrid teams.
  3. Upskilling and Learning:
    • Identify future needs for new skills through workforce analytics.
    • Partner with learning platforms to offer relevant courses.
    • Use a human resource management system to track training progress.
  4. AI and Automation:
    • Evaluate current HR tech stack for AI capabilities.
    • Train HR teams to use AI tools ethically.
    • Leverage AI for personalised employee engagement.
  5. DEIB:
    • Set measurable DEIB goals and track progress.
    • Conduct regular training on unconscious bias and inclusion.
    • Celebrate diversity through events and initiatives.
  6. Payroll Management:
    • Consider payroll outsourcing to reduce administrative burdens.
    • Ensure compliance with local and international payroll regulations.
    • Use an integrated HR payroll solution for seamless operations.
  7. Well-being and Sustainability:
    • Offer wellness stipends or reimbursements.
    • Embed sustainability into workplace policies.
    • Encourage employee participation in CSR activities.

Conclusion

As we move toward 2025, it is clear that the interplay of technology, employee well-being and inclusive workplace practices will define the HR landscape. Businesses must embrace these shifts to remain competitive and foster growth. At Galaxy Payroll Group, we understand the complexities of modern HR management systems and are dedicated to empowering organisations with innovative, practical HR solutions.

Our international hr services go beyond checklists – we partner with you to build resilient, future-ready teams and help navigate the challenges of a dynamic workforce. With our expert guidance in EOR, PEO, payroll outsourcing and business advisory services, you can confidently steer your organisation toward success. Let’s future-proof your workforce together!

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FAQ’S

1. What are the top HR trends for 2025?

Key trends include AI integration, skills-based hiring, hybrid work evolution, employee wellbeing prioritisation, and advancements in DEI practices.

Invest in collaboration tools, redesign office spaces, and ensure parity between remote and in-office experiences.

It addresses talent shortages, focuses on practical needful skills, and improves employee retention and on-the-job success rates.