Article
17 min read
Employer of Record Solutions for Staffing Firms: Cut Costs & Scale Faster
Employer of record

Author
Jemima Owen-Jones
Last Update
February 18, 2026

Table of Contents
Maintain financial visibility
Control total cost of ownership
Streamline global payroll
Minimize compliance risks
Optimize labor costs
Source top global talent efficiently
Redeploy contingent workers seamlessly
Retain your best workers
Maximize margins with a reliable partner like Deel
Key takeaways
- Staffing agencies can stabilize their profit margins and boost profitability by choosing Employer of Record (EOR) providers with transparent, predictable pricing like Deel.
- Outsourcing to a consolidated EOR is more cost-effective than legacy solutions reliant on in-country partners with variable fees and pricing models.
- Top providers like Deel also provide significant cost savings by helping you boost efficiency, source and retain talent, and allocate resources more effectively while you focus on expansion.
In the midst of increasing global complexity and margin compression, staffing organizations cannot afford the operational fragmentation caused by legacy providers and disparate local vendors. Relying on a patchwork of third-party providers obscures total cost of ownership (TCO) and introduces significant compliance risk.
At Deel, our enterprise-grade workforce infrastructure, global reach, and predictable pricing transform these challenges into opportunities, helping staffing agencies like yours gain improved governance and cost control.
With results ranging from streamlined processes to operational efficiency, we’ve helped agencies stabilize and grow their profit margins. Here’s how Deel EOR can optimize your agency for success across borders.
Maintain financial visibility
Predictable pricing models allow your staffing agency to budget effectively while maintaining financial visibility. They eliminate the risk of unexpected expenses and provide financial stability across countries, making it easier to maintain healthy profit margins.
Legacy providers can’t offer predictable pricing due to their limited coverage. They rely on in-country partners to fill the gaps, meaning they often set prices based on local arrangements. This fragmented approach makes it impossible to maintain consistent costs across regions, forcing you to either adjust client rates or absorb the additional expenses yourself.
Look for EOR providers with an extensive global network to avoid hidden costs. For example, Deel has owned legal entities and infrastructure in over 100 countries, including the US, UK, and Germany. We can give you an upfront quote and guarantee there will be no costly surprises.
See also: EORs with Owned Entities vs. In-Country Partners: What’s Better?
What people used to do is […] go through third-party agencies that [...] take a pretty hefty pay cut, 20, 25% of the salary of that person, in order to employ them locally for local agencies. We really changed the game by owning all of the infrastructure all the way from entity, but also lawyers in every country, payroll managers in every country, so that you can really hire quickly.
—Alex Bouaziz,
Co-founder and CEO, Deel
Deel Hire
Control total cost of ownership
Global EOR providers usually offer the most competitive prices. As they have a direct presence in most countries, they can keep their rates low and minimize unnecessary charges. They don’t have to inflate prices to account for the fees charged by local partners and intermediaries.
Additionally, global providers can leverage economies of scale to reduce prices further. They’re able to spread costs across all their clients in one region, allowing them to charge less per employee. On the other hand, legacy providers using an aggregate model can’t go lower than what their local partners charge them.
This means global providers like Deel are more likely to offer the best deal, even in countries with high setup costs, such as the UAE and Germany.
Learn more about how Renrui HR, a leading HR provider in China, expanded support from 40 countries to 100+ after just one year of partnering with Deel.
See also: Cost Comparison: EOR vs. Opening an Entity
Streamline global payroll
Managing payroll across different regions can be costly. Global EOR providers make expenses more manageable by consolidating payroll for all your employees and offering one fixed rate.
By contrast, legacy providers either don’t offer payroll services or outsource these processes to their in-country partners. Again, these partners are likely to have different pricing models with variable fees, making it difficult to analyze costs and forecast expenses.
Global EOR providers also handle complex currency exchanges to keep payroll costs predictable. For example, Deel uses a method called Forward Rates, which are agreed-upon fees for a specific day. This shields your staffing agency from sudden fluctuations and potential disruptions to your cash flow.
Deel provided the ability to expand into new countries without having to establish separate payroll providers or processes. Now, we can continue to scale without increasing payroll complexity or resources.
—Rob Starkey,
Corporate Controller and Treasurer, Hypertherm Associates
Learn more about how Hypertherm standardized payroll across 20+ countries with Deel Payroll.
Deel Payroll
Minimize compliance risks
Global providers offer superior compliance management compared to legacy systems, significantly reducing the risk of costly issues. As they maintain full control over every process, this results in better governance and prevents errors or mismanagement.
Like all Employer of Record services, legacy providers should assume liability for compliance issues since they legally employ your workers. The issue is that most legacy EOR providers can’t shield you from all the repercussions. For example, suppose there’s a case of worker misclassification at your agency. The EOR may bear the legal costs but you still have to amend the contract or end the placement early, causing disruption to your client’s operations.
Frequent issues may frustrate clients and cause them to leave your services, negatively impacting your net revenue. That’s why it’s best if the EOR service not only assumes liability but also guarantees continuous compliance with all the relevant local labor laws and regulations.
As legacy systems rely on in-country partners, it may be unclear who bears ultimate responsibility for compliance management. Direct oversight holds global providers fully accountable for compliance. If you ever experience issues or need support while using Deel, for example, you can contact your customer success manager.
Before Deel, coordinating numerous local partners caused delays and extra costs. Compliance was also a challenge.
—Terry Ouyang,
Head of International Business at Renrui HR

Optimize labor costs
Relying on one consolidated provider means you spend less time on logistics and admin. Instead of coordinating with multiple vendors and managing disparate workflows, you can streamline operations with one expert point of contact.
For example, Entain saved 450+ hours of entity setup admin by leveraging Deel EOR.
Global EORs also standardize processes and policies across regions, meaning your team doesn’t have to keep adapting to different workflows or resolving inconsistencies. For example, you only have to learn to use and manage one type of software. This consistency ensures smoother internal operations and allows you to allocate resources more effectively.
As a result, you can maintain a lean HR function and spend less of your agency’s budget on labor costs. Your existing employees will have fewer back-office administrative burdens and focus more on client relationships and service offerings.
Discover how FEMSA saved $270k+ by using Deel EOR instead of setting up entities.
In our search for talent, especially in fields like the digital sector, we’ve found the right skills often lie in countries where we don’t operate. Fortunately, with Deel EOR, we can hire exceptional talent from anywhere, all while following the necessary legal and labor laws.
—David Holguín,
Benefits and Mobility Manager at FEMSA
Source top global talent efficiently
Chances are that recruitment is one of your most expensive operations. Research shows staffing agencies spend an average of $16,388 per month on job listings alone.
Global EORs deliver ROI by streamlining the onboarding process across locations, ensuring you can source niche expertise and tap into foreign talent pools. This makes it easier to fulfill client needs and maximize your earning potential.
For instance, Deel can onboard workers in a new location in as little as one day, providing a strategic advantage against competitors.
Fragmented legacy aggregators rely on third-party in-country partners, creating inconsistent SLAs and varying standards that disrupt global governance. This operational friction prevents a cohesive hiring process and hinders speed-to-hire for critical talent.
Discover how Outreach consolidated four vendors and entered five new countries with Deel.
Our biggest challenge was not having a unified system to manage and pay our global workforce. We needed a comprehensive solution for HR and payroll, and that’s where Deel came in.
—Stephen Epling,
Vice President of Global Rewards and Workplace, Outreach

Deel Hire
Recognized as a Leader on Everest Group’s PEAK Matrix®
Redeploy contingent workers seamlessly
Growing staffing agencies are twice as likely to be redeploying workers than competitors. This strategy reduces your turnover rates and allows you to fulfill more client requests.
The challenge is relocating talent across borders, given the complexity of many visa and immigration processes. If there are any delays or complications, workers might not arrive at their placement as scheduled.
Top providers like Deel offer global mobility services, including:
- Eligibility checks
- Document management
- Assistance completing forms
- Fee payments
- Regular updates
Global providers transfer workers between their own EOR entities, which means you don’t have to coordinate with other partners or intermediaries. You only need to communicate with the worker and your customer success manager. By keeping the relocation process simple, you can avoid complications that leave top workers out of work and delay placements getting filled.
Discover how Revolut created 450+ contracts and hired across 16+ countries with Deel.
Thanks to Deel, we get to hire local talent in any country where we want to expand long before we set up the entity there. Effectively, this gives us a head start.
—Luka Besling,
HR Manager at Revolut
See also: A Guide to Contingent Staffing: Risks & Rewards
Retain your best workers
Global EORs provide a standardized experience for employees compared to legacy systems, contributing to higher employee retention rates and reduced recruitment costs.
The provider’s standardized processes mean everyone receives equal care and support. For example, Deel is always available to help, backed by 2,000+ in-house payroll, HR, and legal experts. Employees can get their questions answered no matter their time zone, location, or issue.
With a dedicated point of contact, you also don’t need to navigate multiple providers. You can access local expertise quickly and get fast resolutions to employee issues.
Most importantly, without the complications of a legacy agency, contingent workers have a better overall experience. They can focus on their jobs without worrying about payroll, tax, or compliance issues. When their placement is over, that means they’ll be more likely to return to your agency.
Discover how Turing created 6k+ contracts across 60+ countries with Deel Contractor.
When we came to understand the importance that Deel places on individual country laws and making sure that contracts are structured in the right way, Deel really stood out. And even though some of your competitors have payments, it wasn’t with the same ease at which we could do it with Deel.
—Sudarshan Sivaraman,
Head of Customer Success & Sales at Turing
See also: How Staffing Agencies Can Guarantee a Good Employee Experience With an EOR
Maximize margins with a reliable partner like Deel
Partnering with an EOR like Deel helps you control TCO, maintain financial visibility, and deliver a superior experience for EOR employees and contingent workers. Our transparent pricing model and detailed quote calculator provide you with clear, upfront costs, so you don’t have to worry about hidden expenses.
All Deel’s customers can benefit from:
- Broad, international coverage across 150+ countries
- The option to add global payroll
- Global mobility support
- Scalable technology
- Transparent pricing
- Flexible payments
- Predictable monthly costs
- Local compliance expertise
- 24/7 responsive customer support
Ready to begin your staffing agency’s digital transformation? Schedule a demo with our expert team to learn more about how to leverage our EOR services.
Deel Hire
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Jemima is a nomadic writer, journalist, and digital marketer with a decade of experience crafting compelling B2B content for a global audience. She is a strong advocate for equal opportunities and is dedicated to shaping the future of work. At Deel, she specializes in thought-leadership content covering global mobility, cross-border compliance, and workplace culture topics.















