Does TMS EOR cover both the US and Canada?

Yes. TMS provides EOR services across both the United States and Canada. For US employees, we manage federal and state employment compliance, benefits, and payroll. For Canada, we handle provincial employment standards, CPP contributions, EI premiums, and bilingual employment requirements in Quebec.

How does TMS handle at-will employment in the US under the EOR model?

The US "at-will" employment doctrine gives employers flexibility to terminate without cause, subject to anti-discrimination law. TMS EOR handles all US terminations in compliance with applicable federal law (Title VII, ADEA, ADA) and state-specific requirements — which vary significantly between California, New York, and other states.

What benefits are required under US EOR and what is optional?

Required US benefits include FICA (Social Security + Medicare contributions), FUTA unemployment insurance, and workers' compensation. Optional benefits like health insurance, 401(k), and PTO are structured based on your company's requirements and market competitiveness. TMS advises on competitive benefits packages for talent attraction.

How are contractor vs employee misclassification risks managed in North America?

Worker misclassification is a major risk in North America — particularly in California (AB5) and federally. TMS EOR eliminates misclassification risk by correctly classifying workers as employees, handling all payroll taxes, and maintaining proper employer-employee relationships as required by IRS and state law.

Can TMS EOR serve employees across all US states including complex ones like California?

Yes. TMS manages EOR compliance across all 50 US states — including California (with its unique WARN Act, paid family leave, sick leave, and termination requirements), New York, Texas, and other state-specific employment law complexities. We have experience navigating multi-state compliance for distributed US teams.

Employer of Record (EOR) In North America

Employer of Record (EOR) in North America – Expand Without Barriers

North America is a top market for global expansion, but employment laws and tax rules in the U.S. and Canada can be complex. With our EOR services, you can hire quickly, stay compliant, and scale without setting up entities.

Fast entry into U.S. & Canada
Full compliance with local laws
Lower setup costs, reduced risks

How does an Employer of Record (EOR) work?

Under an Employer of Record (EOR) arrangement, TMS will onboard the client’s employees onto its own payroll and serve as the legal employer in the designated region. This means TMS will handle all employment-related responsibilities—such as contracts, compliance, payroll, and statutory benefits—while the client retains full control over the employees’ day-to-day tasks and performance.

TMS will also perform these following activities as an EOR Partner to the client:-

Payroll and Compliance: TMS manages salary payments, tax deductions, and ensures your business complies with all local labour laws and regulations.

Complete HR Administration: We take care of onboarding, leave tracking, payroll coordination, employee queries, and exit processes.

Project-Based and Short-Term Hiring: Support for hiring employees on temporary or contract roles, suitable for startups and growing businesses.

International Hiring and Market Entry: TMS enables you in new countries without setting up a legal entity, taking on all local employment responsibilities.
to hire

Payroll and Compliance: TMS manages salary payments, tax deductions, and ensures your business complies with all local labour laws and regulations.

Complete HR Administration: We take care of onboarding, leave tracking, payroll coordination, employee queries, and exit processes.

Project-Based and Short-Term Hiring: Support for hiring employees on temporary or contract roles, suitable for startups and growing businesses.

International Hiring and Market Entry: TMS enables you in new countries without setting up a legal entity, taking on all local employment responsibilities.
to hire

With our Employer of Record (EOR) Service you can

Hire your Team in
North America

Manage your Employees In North America

Pay your Employees in
North America through TMS

Transfer International Employees anywhere in
North America

Team Management Services (TMS) can help you with Legal compliance!

We act as your local representative, managing legal compliance, payroll, and HR responsibilities. With our expertise, you can expand your workforce without worrying about legal procedures. Whether you need short-term or long-term staff, we follow local laws and regulations, ensuring your team operates without any hurdles when you choose Employer of Record (EOR) provider in North America .

Local Representation

We serve as your legal representative in Europe, handling all local employment obligations on your behalf.

Compliance and Payroll Management

Our team manages payroll, tax deductions, and ensures full compliance with American labour laws and regulations

HR Administration Support

From onboarding to employee management, we handle all HR-related tasks to keep your workforce running smoothly.

Flexible Staffing Solutions

Whether you require short-term contractors or long-term employees, we ensure all hires meet local legal requirements without disruption.

Presenting a list of countries where TMS Employer of record (EOR) Services are available in North America

Canada
United States
Mexico
Belize
Guatemala
El Salvador
Honduras
Costa Rica

Nicaragua
Panama
The Bahamas
Cuba
Jamaica
Haiti
Dominican Republic
Puerto Rico

The Cayman Islands
Turks & Caicos Islands
Bermuda
British Virgin Islands
U.S. Virgin Islands
Greenland
Saint Pierre & Miquelon

Want to know more about our EOR Solutions?

Connect with our HR Expert

Email Us

What do we offer in Employer Of Record (EOR)?

Onboarding To Exit Management

Employee Taxation

Talent Acquisition (Recruitment)

Payroll Management

Visa Support

Compliance Management

Expense Claim Management

HR Advisory

IT/ Infrastructure Support

Why Choose TMS?

Global Presence

We have global presence & we are serving clients from more than 20+ Countries.

100% Compliance

TMS have created a reputation for delivering 100% Statutory Compliance.

HR Expertise

Our team is a leading HR Service Provider in India by employing over 8500+ Employees in 100+ Locations PAN India.

Dedicated HR Team

Our Operation is supported by Dedicated HR Team who support your employees by resolving their HR queries throughout their Lifecycle Stage.

User Friendly HRMS

The best HRMS technology is available to support the operations of our clients operating from outside India.

Support In Setup

Support is provided to our clients in setting up their company in India, including necessary registrations, IT, and infrastructure.

ACCELERATE YOUR BUSINESS EXPANSION IN NORTH AMERICA

Team Management Services (TMS) enables your company to expand into North America without the hurdles of setting up a local entity. From payroll and compliance to contracts and employee administration, we take on the complex HR responsibilities so you can concentrate on strategy and growth. With TMS as your EOR partner, your business gains faster market access, reduced risks, and a smoother path to long-term success.

FAQs

Can TMS hire employees in the U.S. and Canada without a local entity?

Yes. TMS acts as the legal employer, allowing your business to hire and manage employees in North America without registering a local office.

How does TMS handle state-specific labor laws in the U.S.?

TMS ensures compliance with all federal and state labor regulations, including minimum wage, overtime, and leave policies, so your business avoids legal risks.

What employee benefits can TMS provide for North American hires?

TMS offers comprehensive benefits such as health insurance, retirement plans, paid leave, and other statutory perks tailored to U.S. and Canadian employees.

Is TMS EOR service cost-effective for small teams expanding into North America?

Absolutely. TMS provides a flexible, scalable solution that eliminates the need for a local entity, saving time, overhead costs, and administrative effort for small and medium-sized teams.

Can you support my team with office infrastructure setup?

Yes, TMS has tie-ups with Co-Working Space and leasing agencies who can easily help you find the perfect corporate space for your company.

Can you support Registration?

Yes, TMS can support Company Registrations & help you avail compliance registrations as well which are required for a company, according to the applicable State Laws.

Contact Us

Hiring Across North America

North America is a major destination for international hiring, offering deep talent in technology, finance, and professional services. It is also a region of sharp internal contrast: the United States operates a largely at-will employment system with significant state-level variation, while Canada regulates employment primarily at the provincial level, and Mexico applies a codified, employee-protective Federal Labour Law. Payroll tax, benefits, and termination rules differ not only between countries but between states and provinces. For companies entering the region, registering as an employer in multiple jurisdictions is administratively heavy. An Employer of Record allows compliant hiring without that burden. TMS supports companies expanding into North America by coordinating compliant EOR engagements through an established EOR partner network, applying the HR governance built over 20+ years of operations.

Key Hiring Considerations Across North America

Country	Notable Employment Feature	Typical Notice Period
United States	Largely at-will employment, with payroll tax, benefits, and leave rules varying significantly by state	No statutory minimum; governed by contract and policy
Canada	Employment standards set province by province, with both statutory and common-law notice on termination	Statutory minimum by province, plus potential common-law notice
Mexico	Federal Labour Law with mandatory profit sharing, a Christmas bonus (aguinaldo), and structured severance	Statutory severance applies; limited notice-only termination

How EOR Simplifies North America Expansion

Hire in the United States, Canada, or Mexico without registering as an employer in each state or province first.
Manage state and provincial payroll tax, withholding, and benefits enrolment correctly through the EOR.
Apply Mexico’s statutory entitlements — aguinaldo, profit sharing, and severance — without building local payroll expertise.
Reduce contractor misclassification risk, which carries serious penalties in all three countries.
Consolidate multi-jurisdiction payroll and reporting under a single TMS-coordinated engagement.

Frequently Asked Questions

Is United States employment really at-will everywhere?

At-will employment is the general rule, but states differ on payroll tax, paid leave, final-pay timing, and notice obligations for larger workforce reductions. An EOR registered in the relevant states applies the correct rules for each employee’s location.

Why is Canada handled province by province?

Canadian employment standards — including minimum notice and severance — are set provincially, and courts may also award common-law notice. An EOR ensures contracts and terminations comply with the standards of the employee’s province.

What makes Mexico different?

Mexico’s Federal Labour Law is codified and employee-protective, with mandatory profit sharing, an annual Christmas bonus, and statutory severance. The EOR budgets for and administers these entitlements as part of total employment cost.