Why Consider Hiring in Ghana with an Employer of Record?
Ghana is one of Africa’s most promising economies, with strong growth potential, a stable democracy, and a rapidly expanding tech workforce. Its English-speaking population and favorable time zone make it a natural destination for international hiring.
However, setting up a local entity in Ghana can be expensive and time-consuming. You will need to register with multiple government agencies, establish tax accounts, and navigate local labour laws. This is where hiring in Ghana with an Employer of Record becomes a game-changer.
An Employer of Record (EOR) allows foreign companies to legally employ workers in Ghana without opening a local branch or subsidiary. The EOR handles everything from contracts and payroll to tax compliance and benefits administration. Below are the 5 important steps to hiring in Ghana with an employer of record (EOR)
Step 1: Understand the Employer of Record (EOR) Model
An EOR serves as the official employer on behalf of your business. While you direct the employee’s daily tasks, the EOR assumes legal responsibility for:
- Issuing compliant employment contracts
- Running local payroll
- Filing taxes (including PAYE)
- Managing statutory benefits and SSNIT contributions
- Terminations in line with Ghanaian labor law
This approach drastically cuts down your time to hire and eliminates legal risks tied to misclassification.
Step 2: Choose the Right EOR Partner in Ghana
The success of your hiring process in Ghana depends largely on choosing the right EOR provider. Key things to look for include:
- Deep understanding of Ghana’s Labour Act, 2003 (Act 651)
- Local HR and legal teams
- Transparent pricing and flexible service levels
- Fast onboarding and dedicated support
Make sure your EOR is aligned with your industry, hiring scale, and growth timeline.
Step 3: Define Job Role and Local Employment Terms
Before hiring, you will need to:
- Finalize the job description
- Set a competitive local salary in Ghanaian cedis (GHS)
- Determine benefits (e.g., paid leave, bonuses)
- Decide on full-time vs. contract status
Your EOR will help align your employment terms with local compliance standards, ensuring contracts and compensation are legally sound.
Step 4: Onboard Employees with Full Compliance
Your EOR will:
- Register employees with SSNIT (Social Security)
- Set up PAYE tax filings with the Ghana Revenue Authority
- Manage onboarding documentation and contract signing
- Ensure prompt salary payment and statutory deductions
This not only ensures compliance but builds trust with your local hires from day one.
Step 5: Stay Compliant While Scaling
As your team grows, your EOR continues to manage:
- Changes in employment laws
- Payroll adjustments, raises, and bonuses
- Proper exit management for terminations or resignations
- HR support and labor dispute resolution
This allows your company to scale in Ghana without worrying about legal exposure or local bureaucracy.
Setting up a legal entity in Ghana can take weeks or even months due to regulatory approvals, local licensing, and tax account registrations. It also comes with overhead costs, including legal consultations, office leases, and compliance audits.
When hiring in Ghana with an Employer of Record, you can often begin onboarding employees in as little as 7–14 days. You skip the bureaucratic delays and get straight to productivity, saving both time and money.
Hiring in Ghana with an Employer of Record is the fastest and most cost-effective way to tap into West Africa’s growing talent pool. It eliminates the need for a complex legal setup and lets you focus on what truly matters: building and managing your team.
Whether you’re hiring your first employee in Africa or expanding a global team, an EOR can reduce cost, time, and risk. It’s the smart move for modern global businesses.
Learn more about Ghana Labour regulations: Ghana Labour Act, 2003 (Act 651)