When to Hire an Employee vs. a Contractor
Hire an Employee If
- They work set hours for your company
- You direct how the work gets done
- They use your equipment and systems
- The relationship is ongoing and exclusive
- Their country’s labor law requires employee status for the role
Hire a Contractor If
- They work for multiple clients
- They set their own schedule and methods
- They use their own tools
- The engagement is project-based or short-term
Adding an Employee
1
Start the Add Flow
From Talent → People, click Add person and pick Employee.
2
Choose Full-Time or Part-Time
This affects required benefits, tax thresholds, and the contract template Shor generates.
3
Set Role and Seniority
Enter the job title and seniority level. Shor uses this for contract language, pay benchmarks, and any country-specific role classification.
4
Set Salary
Enter the salary and unit (per hour, per week, per month, or per year) along with the currency.
5
Choose Pay Frequency
Weekly, biweekly, or monthly, matched to local norms for the worker’s country.
6
Set Governing Law
Pick the jurisdiction the contract is governed by. Shor defaults to the worker’s country employment law framework, with localized clauses for probation, notice, statutory benefits, and termination.
7
Review and Send the Contract
Shor generates a country-appropriate employment contract reflecting local labor law. Review and send for signature.
What the Employee Does Next
Your new hire receives an invitation to:- Create their Shor account
- Complete identity verification
- Provide personal and tax information needed for their country
- Sign the employment contract
- Add their bank account for payroll
Statutory Benefits and Withholdings
For EOR (Employer of Record) employees, Shor handles the country-specific requirements:- Statutory leave: annual, sick, maternity, paternity as required by local law
- Public holidays: tracked automatically
- Employer contributions: pension, social security, health insurance where mandated
- Employee withholdings: income tax and statutory contributions deducted from each paycheck
- 13th / 14th month pay: where required by law
Probation, Notice, and Termination
Every employment contract reflects the country’s rules for:- Probation period: maximum length permitted
- Notice period: required notice on both sides, which typically scales with tenure
- Severance: statutory severance where applicable
- Mandatory end-of-employment filings: any local filings required when the engagement ends
Where Shor Supports Employees
Employee support varies by country. Some countries support full EOR (Shor employs the worker on your behalf); others only support contractor engagements today.Global Coverage
See which countries support employee hiring.
Compensation Types
How salary, hourly, and variable pay work.