EOR Service in Pakistan

Hire, Onboard and Pay Employees in Pakistan Quickly and Efficiently

Hiring in Pakistan at a glance

CURRENCY
Pakistani Rupee (PKR)
working hours
45 hours per week
public/bank holidays
17 days
capital
Islamabad
language
English; Urdu
date format
dd/mm/yyyy
remote workers
1.2M
tax year
1 January- 31 December
minimum hourly salary
No minimum wage
CURRENCY
Pakistani Rupee (PKR)
working hours
45 hours per week
public/bank holidays
17 days
capital
Islamabad
language
English; Urdu
date format
dd/mm/yyyy
tax year
1 January- 31 December
payroll frequency
Monthly
GDP
$376.53B(2022)

Employer of Record in Pakistan

For employers looking to hire from Pakistan, an Employer of Record (EOR) can ease many concerns around compliance, taxes and payroll. A Pakistan EOR will ensure strict adherence to local regulations, providing you with a hassle-free entry into its talent market without the complexities of establishing a legal entity.

Why use Pakistan EOR?

Selecting a Pakistan EOR/PEO is essential for effectively maneuvering through local regulations and achieving a seamless market entry. Most businesses partner with an EOR for the following reasons:

Pakistan has specific laws for minimum wages, which are periodically revised. These wages vary based on the nature of work and skill level, and there's an emphasis on ensuring workers' basic standard of living.

Secondly, Article 17 of the Pakistani Constitution gives citizens the right to form associations or unions. This means that employers like you must stay on top of constantly changing employment laws.

Partnering with Gloroots as your EOR will ensure your employees are hired and employed in adherence to these constant changes, helping you streamline your hiring in Pakistan. 


Allow us to navigate the intricacies of employment regulations while you concentrate on your core business activities, ensuring a successful and compliant establishment in this dynamic market.

EOR Costs in Pakistan

Gloroots’ EOR/PEO services in Pakistan are fixed. Like many EORs we do not change our prices with respect to the number of employees or their salaries. Our pricing typically entails a monthly fee.

Key Metrics For Foreign Employers 

Pakistan’s talent market always remained under the shadows of it’s neighbors India and China. However, the country has made remarkable progress in the past decade despite several political turbulence and macroeconomic headwinds. According to INSEAD’s Talent Competitiveness Report, the country has jumped seven places (from 107 to 100) for talent competence.

The table below depicts key indicators from the Global Talent Competitiveness Report for employers wishing to hire from Pakistan.

Factors Global Ranking Interpretation
Rule of law 108 Indicates effectiveness of law enforcement
Labour-employer cooperation 88 Indicates positive labor-employee relationships
Reading Maths, and Science n/a Indicates average scores in OECD's survey of 15-year old students
University Ranking 43 Indicates average QS rankings
Labour productivity per employee 91 Indicates total output by the total labor input used to produce that output
Ease of finding skilled employees 90 Indicates findability of skilled talent
Workforce with tertiary education 98 Indicates % of workforce with PG degrees
Digital Skills 67 Indicates prevalence of advanced digital skills in the population

Source: The Global Talent Competitiveness Index 2022

Through the Gloroots’ Recrew platform, you can discover amazing talent in Pakistan.

Why work in Pakistan ?

What’s a Rich Text element?

The rich text element allows you to create and format headings, paragraphs, blockquotes, images, and video all in one place instead of having to add and format them individually. Just double-click and easily create content.

Static and dynamic content editing

A rich text element can be used with static or dynamic content. For static content, just drop it into any page and begin editing. For dynamic content, add a rich text field to any collection and then connect a rich text element to that field in the settings panel. Voila!

How to customize formatting for each rich text

Headings, paragraphs, blockquotes, figures, images, and figure captions can all be styled after a class is added to the rich text element using the "When inside of" nested selector system.

Grow your team in Pakistan

Embark on your team's expansion journey in Pakistan, a country boasting significant economic centers in Islamabad, Karachi, Lahore, and Faisalabad. With a rising demand for skills in sectors such as IT, finance, education, legal services, healthcare, manufacturing, operations, and management, Pakistan offers diverse opportunities. Partner with Gloroots to facilitate your team's expansion, leveraging local expertise to ensure compliance and navigate the intricacies of employment regulations. Whether you are entering IT, sales, or any other industry, trust Gloroots to be your ally, supporting a successful and seamless growth trajectory in Pakistan.

Risks of misclassification

The "Misclassification of Workers" challenge is a significant concern when employees are incorrectly categorized as independent contractors or exempt from specific regulations in Pakistan. To effectively mitigate these risks, engaging a PEO/EOR is essential. Gloroots, as your trusted partner, is dedicated to ensuring strict adherence to labor laws, accurate worker classification, seamless payroll management, and comprehensive employee benefits. Delegating these responsibilities to experienced professionals assures a compliant and efficient experience within Pakistan's labor landscape. This commitment fosters operational efficiency and instills confidence in your business endeavors in the Pakistani market.

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Avoid hefty penalties with Gloroots.

Use our free employee misclassification risk calculator to estimate your risk level.

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Employing in Pakistan

What’s a Rich Text element?

The rich text element allows you to create and format headings, paragraphs, blockquotes, images, and video all in one place instead of having to add and format them individually. Just double-click and easily create content.

Static and dynamic content editing

A rich text element can be used with static or dynamic content. For static content, just drop it into any page and begin editing. For dynamic content, add a rich text field to any collection and then connect a rich text element to that field in the settings panel. Voila!

How to customize formatting for each rich text

Headings, paragraphs, blockquotes, figures, images, and figure captions can all be styled after a class is added to the rich text element using the "When inside of" nested selector system.

Tax

Tax and Social Security contribution

Employer Payroll Contribution 

Tax Rate
Pension Fund 5.00%
Total Employment Cost 5.00%

Tax Rate
Pension Fund 1.00 %
Health Care 40-rupee flat rate each month
Total Employee Cost 1.00% plus 40-rupee per month

Rate Income (in PKR)
0.00% 0-600,000
2.5% 600,001-1,200,000
15,000 +12.50% on the income above 12,00,00 1,200,001-2,400,000
165,000 +22.50% on the income above 2,400,000 2,400,001-3,600,000
435,000 +27.50% on the income above 3,600,000 3,600,001-6,000,000
1,095,000 +35.00% on the income above 6,000,001 6,000,001-12,000,000

Separation

Termination 

The termination process depends on the employment structure and collective agreements, varying with the type of contract and the grounds for termination. Employers and employees must furnish written termination notices, and the rationale for dismissal must be valid.

Severance Pay

Unless there is a misconduct case, employees are entitled to receive severance pay equivalent to 30 days' wages for each year of completed service upon their termination.

Notice Period

A one-month notice period is mandatory for employees and employers when terminating an employment contract. Temporary workers, however, are exempt from the requirement of advanced notice. Without advanced notice, the employer must provide compensation equivalent to one month's salary.

Probation period

In Pakistan, the probationary periods are specified within employees' employment contracts — usually three months.

Start Hiring in Pakistan today

When hiring globally, ensuring compliance comes with its own set of battles. Employers must ensure all hiring and onboarding activities adhere to employment laws, payroll procedures, DE&I compliance, GDPR, and similar data protection. Keeping up with a dynamic compliance landscape is far harder. 

Gloroots helps you minimize all these efforts by providing a single window to manage all these tasks. Our in-house experts fully shield you from cross-border employment and payroll compliance risks. We do this by helping you generate employment contracts, on-time payments, and compliant benefits while you focus only on screening talent. 

Our promise is a stress-free global employment experience for you and your employee.

Contact our experts today to kickstart your global hiring campaign.

Are you Ready to
Experience Seamless Hiring in Pakistan ?

Let us take care of all your employment needs. We guarantee easy onboarding & compliant workforce management in Pakistan .

Speak to our Expert