> ## Documentation Index
> Fetch the complete documentation index at: https://docs.shorpay.com/llms.txt
> Use this file to discover all available pages before exploring further.

# Hiring Employees

> Hire full-time and part-time employees globally.

Hiring an employee is different from hiring a contractor: employees are part of your company, they receive statutory benefits, and there are local payroll taxes and protections to honor. Shor handles the compliance so you can focus on picking the right person.

## When to Hire an Employee vs. a Contractor

<CardGroup cols={2}>
  <Card title="Hire an Employee If" icon="id-badge">
    * 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
  </Card>

  <Card title="Hire a Contractor If" icon="handshake">
    * 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
  </Card>
</CardGroup>

## Adding an Employee

<Steps>
  <Step title="Start the Add Flow">
    From **Talent → People**, click **Add person** and pick **Employee**.
  </Step>

  <Step title="Choose Full-Time or Part-Time">
    This affects required benefits, tax thresholds, and the contract template Shor generates.
  </Step>

  <Step title="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.
  </Step>

  <Step title="Set Salary">
    Enter the salary and unit (per hour, per week, per month, or per year) along with the currency.
  </Step>

  <Step title="Choose Pay Frequency">
    Weekly, biweekly, or monthly, matched to local norms for the worker's country.
  </Step>

  <Step title="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.
  </Step>

  <Step title="Review and Send the Contract">
    Shor generates a country-appropriate employment contract reflecting local labor law. Review and send for signature.
  </Step>
</Steps>

## What the Employee Does Next

Your new hire receives an invitation to:

1. Create their Shor account
2. Complete identity verification
3. Provide personal and tax information needed for their country
4. Sign the employment contract
5. Add their bank account for payroll

Once they finish onboarding, they appear as an active worker on your People list and their upcoming payments surface automatically on the Payroll page based on their pay schedule.

## 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

You'll see a breakdown of total employer cost (salary + contributions + fees) before you finalize the contract, so there are no surprises.

## 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

When an employment ends, start an offboarding from the worker's profile. Shor walks you through notice periods, final pay, and any required local filings.

## 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.

<CardGroup cols={2}>
  <Card title="Global Coverage" icon="earth-americas" href="/platform/global-coverage">
    See which countries support employee hiring.
  </Card>

  <Card title="Compensation Types" icon="money-bill-trend-up" href="/employer/compensation">
    How salary, hourly, and variable pay work.
  </Card>
</CardGroup>