The challenges of hiring internationally (and how to overcome them)

Expanding into new international markets is a significant milestone for any company. Whether you're setting up a full operation in a new country or managing a temporary project abroad, it's a unique opportunity for growth, but it also comes with its fair share of challenges. Building a team in another country with international employees involves more than just the usual hiring process hurdles—it brings with it the complexities of international recruitment. Every country has its own set of laws, regulations, and cultural differences, and not understanding these can lead to delays, unexpected costs, and a host of other issues that could affect your expansion plans. 

In this article, we'll explore the key challenges you'll face when hiring international talent and provide practical strategies to navigate these obstacles, ensuring that your company reaps the full benefits of a diverse, high-performing global team.  

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Understanding international legislation and regulations 

One of the most critical challenges when expanding into new countries is navigating the legal landscape. Each country operates under its own set of employment laws and regulations, which can significantly impact various aspects of your business. 

For instance, local legislation determines: 

• The terms of your employment contracts and what must be included for compliance. 
• The number of hours your foreign employees can work per day or week, and how to handle overtime. 
• The legal process and potential consequences if you need to terminate an international employee. 
• Specific regulations related to your industry, particularly if your operations involve heavy machinery or environmental factors. 

Failing to understand and comply with these regulations can lead to costly legal battles, hefty fines, and, in the worst-case scenario, the suspension of your operations until you've aligned with local laws.  

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Navigating language and cultural differences 

We've all had our fair share of amusing stories about cultural misunderstandings during travels. Whether it's misinterpreting a gesture or accidentally saying the wrong thing, we can laugh it off when it's in a casual setting. But when it comes to business, these cultural missteps are far from funny. 

Every region in the world has its own set of customs, traditions, and languages. Not taking the time to understand these nuances can damage your company's reputation and even strain relationships with potential clients, partners, or employees. In the business world, respect for local culture is paramount, and ignorance can make your company seem disconnected or, worse, disrespectful. 

Language barriers are another significant challenge. Miscommunication can easily occur when team members aren't fluent in a shared language, and this can hinder collaboration. Even if a common language is used, having someone with local language proficiency can make a big difference in effective communication with clients, partners, and service providers. Without this, you risk missing key details, creating confusion, or damaging your brand's credibility. 

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Managing time zones and remote coordination 

When expanding into new continents, time zone differences can become one of your biggest challenges. With teams spread across vastly different time zones, coordinating meetings with the whole staff can often be impossible. This may mean adjusting working hours for certain employees, which should be clearly outlined in their contracts to avoid confusion later on. 

It's also essential to be aware of local calendars. Public holidays vary from country to country, and scheduling meetings or setting deadlines without considering these dates can lead to misalignment and missed opportunities. 

Working with remote workers across borders demands precise communication and strong organisation. When dealing with teams in different time zones, messages are often not answered immediately. This delay can extend the time it takes to resolve issues — if your request is unclear or lacking in detail, the delayed response might not provide enough information, causing further delays. Ensuring clarity in your communications is crucial to minimising these setbacks.

Building global brand recognition 

When your business is expanding internationally, one of the most immediate challenges is the lack of brand recognition outside your home market. In your home country, your company may be well-known within your industry, and talent is eager to work for you. However, the situation is often different overseas. 

When hiring internationally, especially during the early stages of setting up operations in a new country, your company may be unknown to local talent. Potential employees won't have a reference point for your company, making it harder for them to assess whether they want to work with you. Without established brand recognition, attracting top candidates can be an uphill battle. 

Building global brand recognition takes time, patience, and a strategic approach. It's important to invest in brand awareness campaigns early on, even before you begin the recruitment process. This will help you gain visibility and credibility, allowing potential hires to see the value of joining your team. During the first few years, it's especially critical to carefully manage your company's image and reputation in the local market, as these initial impressions can set the foundation for long-term success in the region. 

Managing high costs of international hiring 

International hiring often brings higher additional costs than domestic recruitment. These extra expenses can come from several areas, and understanding them upfront is crucial to managing your budget effectively. 

Some of the key costs associated with international hiring include: 

• Recruitment fees: Many countries have specific recruitment fees or higher costs for finding qualified candidates, especially when talent is in high demand. 
• Relocation costs: Moving current employees internationally often involves logistical challenges, such as relocation expenses, including travel, accommodation, managing living costs and shipping of personal belongings. 
• Visa requirements and work permit fees: Securing the right to work in a new country often requires obtaining visas and work permits, which can involve both time and money. 
• Local benefits and payroll: Each country has its own rules for employee benefits, taxes, and social security contributions, which can make international payroll much more complex and costly. 
• Onboarding and training: Adapting your training for employees to suit different cultural and legal contexts can require significant additional resources. Employees may also need extra training to integrate smoothly into your global operations. 

While these costs may seem high, careful planning and partnership with a professional employer organisation, specialised in international talent acquisition, can help you navigate them more effectively. By leveraging local expertise, you can streamline the process and ensure your international hiring efforts are cost-effective in the long run. 

Overcoming these challenges 

The challenges of hiring internationally are undoubtedly numerous, but they are not impossible to overcome. With the right approach, you can navigate these obstacles and set your business up for success in new markets. 

Here are some practical steps to help you overcome these challenges: 

• Research the local market: Take the time to thoroughly research the country you're expanding into. Understanding the local culture, market trends, and recruitment landscape is key. If possible, visit the country several times before starting the expansion process to get a feel for the environment. 
• Work with legal experts: Engaging a legal team specialised in international expansion is essential to avoid legal issues and unexpected costs. A solid legal team will ensure that your hiring contracts comply with local regulations, helping you avoid disputes and potential fines. 
• Partner with international recruitment experts: One of the most effective ways to overcome hiring challenges is to work with a global recruitment agency. These agencies have established networks and expertise in your target country, which can drastically reduce your time-to-hire and increase your chances of finding top talent quickly. 

By leveraging the relationships and trust built by an experienced recruitment agency, you can attract the right candidates faster, avoid unnecessary costs, and start generating value sooner.

The benefits of building an international team

While building an international team may come with its challenges, the rewards far outweigh the investments. Here are some of the key advantages of hiring globally: 

• Mitigating the effects of local crises: When a local economy faces a crisis, businesses in that region are often hit hard, and some may even close down. However, global companies are more resilient in these situations, as their operations are spread across different economies. This geographic diversification helps safeguard your business from regional economic uncertainty. 
• A team that never sleeps: While managing a remote team in different time zones initially presents a challenge, it can quickly turn into a powerful advantage. Staff spread across the globe allows your business to operate around the clock, providing continuous support, solving problems in real-time, and ensuring your company never misses a beat—even during emergencies. 
• Access to a larger talent pool: One of the biggest benefits of hiring internationally is the access it gives you to a vast, diverse talent pool. This means you can find the best candidates with the right skills and expertise, no matter where they are located. 
• A more diverse team with fresh perspectives: International hires improve workplace culture, bringing new ideas, different ways of thinking, and unique experiences. This cultural diversity drives innovation and creativity within your organisation, raising employee engagement and helping you stay competitive and adaptable in a rapidly changing world. 
• Cost-effective solutions: In some cases, hiring internationally can be a more cost-effective solution than hiring locally, especially if you're targeting countries with lower labour costs for similar expertise. This can allow your business to optimise its budget while still gaining access to high-quality talent. 
• Stronger global branding: Having employees in multiple countries strengthens your global presence, which can enhance your company's credibility and reputation. This international footprint is invaluable as you expand into new markets and look to build relationships with clients and partners around the world. 
• Talent retention and career growth: Offering international opportunities can be an attractive proposition for top talent. It not only gives your employees the chance to grow professionally but also allows them to explore new cultures and possibly relocate to one of your international offices, making your company a desirable employer and raising your retention rates. 
• Increased competitiveness: A globally diverse workforce gives you a significant advantage over competitors who may be limited to local talent pools. With international hires, your company can leverage a wider range of skills, experiences, and insights, keeping you ahead in an increasingly globalised marketplace. 

Ready to start hiring internationally? 

Talk to one of our specialists today to help you on your journey to international expansion. We specialise in hiring for the STEM industry worldwide and have the fastest time-to-fill in the market.