Hire employees and manage payroll in United Kingdom

In order to register in the UK as an overseas company, registration is done at the so called Companies House, but this is only if you intend to have a base in the UK.

The UK office of an foreign company, can either be established as a branch or as a subsidiary.

Once you employ a person in the UK, you’re obliged to provide an employer’s liability insurance, and companies who don’t will be fined on a continuous daily basis. Additionally, if the employee needs a work permit to work in the UK, a so called Employer Sponsorship Licence will be needed. Employers must also register with HM Revenue and Customs before the first payday. This process usually takes up to five days. This will yield your employer Pay As You Earn (PAYE) number which is your main reference with regards to tax payments in the UK.

Employees have a range of rights in the UK, which varies according to status, from a full employee to an agent or contractor. In general, employment regulations and rights are identical in England and Wales, whereas Scotland and Northern Ireland can differ on certain points. Always make sure you are up-to-date with the right regulatory framework.

Employment contracts don’t necessarily have to be written, although it is highly recommended. If written, a contract must detail: job title / description; location; pay; benefits; hours; holiday; notice period; training entitlements / requirements. Employees must also receive clear information where to access information regarding disciplinary and grievance procedures, as well as pension schemes, and sick pay.