Employer of Record (EOR), all of Latin America
Employ People Across Latin America Without Opening an Entity
Most global EOR providers route Latin America to an unnamed third-party partner. Gracemark employs your worker on entities we own in core LATAM markets, so the contract, the payroll and the liability sit with the organization you are actually talking to.
What is employer of record Latin America?
An Employer of Record (EOR) in Latin America is a local company that legally employs your worker on your behalf. It signs the local contract, runs payroll, pays statutory contributions and carries severance liability, while you direct the work. It lets a foreign company hire compliantly in 5 to 15 business days without incorporating a local entity.
When EOR is the right call
- The person is identified and the employment structure is the only blocker.
- You need one to twenty people in a country where you have no entity.
- You are testing a market before committing to incorporation.
- A contractor relationship has become full-time and now carries misclassification risk.
What sits inside the per-employee monthly fee
- Local-language employment contract compliant with the country's labour code
- Gross-to-net payroll, income tax withholding and social security filings
- 13th month, aguinaldo, vacation reserves and mandatory benefits by country
- Severance and termination provisioning held against the employment
- Onboarding, equipment logistics and offboarding settlements
When an entity beats EOR
EOR is usually cheaper below roughly 15 to 20 employees per country, or under a 24-month horizon. Above that, the per-employee fee compounds past the cost of running your own payroll and compliance stack. We publish the crossover arithmetic instead of defending the EOR model, and we run the entity setup and transfer when the numbers flip.
EOR versus the alternatives in Latin America
| Structure | Who employs the worker | Time to compliant start | Best fit |
|---|---|---|---|
| EOR | Our in-country entity | 5–15 business days | 1–20 workers, no entity, identified hires |
| AOR / contractor | Nobody, independent contract | 2–5 business days | Genuinely independent, project-based work |
| Staffing | Our entity, we also recruit | 2–5 weeks | Flexible capacity you do not want on your books |
| Your own entity | You | 2–6 months | 20+ workers, long horizon, permanent presence |
Get the LATAM landed-cost benchmark
Employer burden, salary bands and total monthly cost across every market. One email, no call required.
Get an employment quote for an identified hire
Tell us the situation and you get the recommended structure, the landed cost range and the realistic timeline, before anyone asks you to book a call.
- Entities we own across core LATAM markets
- Every lane under one agreement: recruit, employ, manage, deliver
- Backed by Gracemark, an operator across all of Latin America
Get my compliance and engagement quote
Tell us the worker type and country. You get the compliant engagement path (EOR, AOR or payroll) and a landed monthly cost.
No account, no obligation. You see the recommended model before we ask for an email.
Frequently asked questions
Country costs, timeline and the right hiring model, in one business day.