When should a company consider converting a contractor to an employee?

A company may review conversion when the relationship is ongoing, the worker operates as part of the company’s team, the company directs the daily work or the business wants a formal employment structure.

What factors should be reviewed before conversion?

Review the actual responsibilities, level of control, supervision, payment structure, duration of the engagement, work schedule and intended future relationship.

Can a contractor be converted through an EOR?

Yes. An EOR can employ the worker in the Philippines and manage employment administration while the customer continues to manage the employee’s daily work.

How much does EOR conversion cost?

The standard EOR management fee is US$190 per employee per month. Salary, employer statutory contributions, 13th-month pay, benefits, allowances, equipment and other employee-specific costs are separate where applicable.

How quickly can an existing contractor be onboarded?

Existing contractors can generally be onboarded in as little as five business days once the applicable agreement, employee information, required documentation and funding are complete.

What happens to the final contractor payment?

The company should confirm the final contractor invoice or payment, the contractor end date, any work handover and the employee start date before beginning the new arrangement.

Is recruitment included in the EOR management fee?

Recruitment is not assumed to be included in the standard EOR management fee. Recruitment support, where requested, should be confirmed separately.

Should a company obtain legal or tax advice?

Companies should obtain professional advice where the classification, conversion or tax treatment depends on the specific facts of the relationship.

Are developers in the Philippines suitable for international teams?

The right fit depends on the developer's experience, technology stack, communication skills, role requirements and ability to work within your development processes. Candidates should be assessed against the specific technical and product requirements of the role.

What is the average developer salary in the Philippines?

There is no single salary that applies to all developers. Compensation depends on seniority, technology stack, experience, role scope and working arrangement. Total employment cost should also account for statutory contributions, 13th-month pay, benefits, allowances, equipment and the EOR management fee.

Can I hire developers without a company in the Philippines?

Yes. An Employer of Record arrangement can allow your company to employ developers in the Philippines without immediately establishing its own Philippine entity.

Is an agency better than an EOR?

The appropriate model depends on how you want the work to be managed. An EOR may suit companies that want to manage developers directly, while an agency or outsourcing arrangement may use a different delivery and management structure.

How do I maintain quality in a distributed development team?

Use clear requirements, documented workflows, code-review procedures, testing standards, communication processes, reporting expectations and regular performance management. Your company manages technical quality and daily performance.

What is the biggest mistake companies make when hiring developers?

A common problem is hiring without clearly defining the technology stack, role scope, reporting line, development workflow, security requirements and expected deliverables. These requirements should be defined before recruitment or employment setup.

What is the SOS EOR fee?

SOS charges one EOR management fee of US$190 per employee per month. This is the only SOS EOR rate. It is not a starting price, estimate or price range.

Is recruitment included?

Yes. Recruitment and candidate selection are included in the SOS EOR service, with no separate recruitment fee.

How quickly can an existing developer be onboarded?

Existing developers can generally be onboarded in as little as five business days once the required agreement, employee information, documentation and funding are complete. Recruitment of a new candidate may require additional time.

Who manages the developer's daily work?

Your company manages the developer's daily technical work, including projects, priorities, workflows, tools, code reviews, training and performance. SOS manages employment administration, payroll, statutory processes, employee records and agreed HR support.

Are SDRs in the Philippines suitable for international teams?

The right fit depends on the SDR's communication skills, sales experience, target-market knowledge, role requirements and ability to follow the company's sales process. Candidates should be assessed against the specific market, buyer profile, outreach channel and qualification requirements.

What is the average SDR salary in the Philippines?

There is no single salary that applies to all SDRs. Compensation depends on experience, role scope, target market, working hours, seniority and any approved incentive or commission structure. Fully loaded cost also includes statutory costs, 13th-month pay, benefits, tools, commissions and provider fees.

Can SDRs handle cold calling?

Yes. Cold calling can be included where the role, employee skills, systems, training, working hours and approved sales process support that arrangement.

Do I need to set up a company to hire SDRs?

Not immediately for an EOR arrangement. SOS can employ the SDR in the Philippines as the legal employer while your company manages the employee's daily sales-development work.

How do I maintain SDR performance?

Define the target market, outreach process, qualification criteria, KPIs, CRM requirements, reporting process and coaching schedule. Your company manages the SDR's daily performance and sales activity.

What is the biggest mistake companies make when hiring SDRs?

A common problem is hiring without clearly defining the target market, buyer profile, sales process, outreach expectations, qualification rules, reporting line and performance measures. These requirements should be defined before recruitment or employment setup.

What is the SOS EOR fee?

SOS charges one EOR management fee of US$190 per employee per month. This is the only SOS EOR rate. It is not a starting price, estimate or price range.

Is recruitment included?

Yes. Recruitment and candidate selection are included in the SOS EOR service. There is no separate recruitment fee. Salary, statutory contributions, 13th-month pay, benefits, allowances, equipment, commissions and other employee-specific costs are separate where applicable.

─ About Smart Outsourcing Solution

Philippines EOR and Remote Team Partner

Smart Outsourcing Solution (SOS) is a Philippines-based Employer of Record and remote workforce partner for international companies. We help businesses hire Filipino professionals without setting up their own Philippine entity.

Under the EOR model, SOS becomes the Philippine legal employer. The client continues to direct the employee’s daily work, while SOS manages employment contracts, payroll, statutory administration, benefits coordination, HR records, and formal employment processes.

SOS has operated since 2017. We have supported more than 250 businesses globally and more than 1,000 employees through Philippines-focused workforce solutions.

SOS

EOR PHILIPPINES

─ In Brief

SOS

Summary

Philippines-based Employer of Record and offshore workforce partner
Helps international companies hire employees in the Philippines
Supports EOR, payroll, HR administration, contractor conversion, and offshore team setup
More than 250 businesses and 1,000 employees supported
More than 50 years of combined BPO, recruitment, and offshore-operations experience across the founding team

─ what we do

What Does Smart Outsourcing Solution Do?

SOS helps international companies establish and manage teams in the Philippines through a local employment structure and practical workforce support.

Our services include:

Employer of Record services in the Philippines
Employment contracts and onboarding support
Payroll and statutory administration
Benefits coordination and HR support
Contractor-to-Employee conversion
Offshore team setup
Dedicated account management
Remote workforce and operational support

Companies that do not have a Philippine entity can use the EOR model to employ Filipino staff through SOS. PEO or staff-leasing arrangements may be appropriate when a client already has a Philippine entity and the operating structure has been confirmed.

─ Client Partnerships

Global Clients and Partners That Trust SOS

Smart Outsourcing Solution (SOS) is trusted by startups, scaleups, and enterprises around the world. From fintech and SaaS to eCommerce and legal services, our clients rely on us to deliver compliant, high-performing offshore teams at scale.

ADP

global payroll and compliance technology

The Solicitors Group

legal industry association
(UK)

Nikken

global health and lifestyle brand

Webjet

corporate travel tech
(AU/US)

Convertr

B2B lead management platform

Microsoft 365

productivity tools for teams & enterprises

─ OUR MODEL

How Does the Philippines EOR Model Work?

The EOR model separates legal employment administration from day-to-day work management.

Responsibility

SOS

Client

Philippine employment contract

✓ Yes

× No

Payroll and statutory administration

✓ Yes

× No

Benefits coordination and HR records

✓ Yes

× No

Formal employment processes

✓ Yes

× No

Daily work direction

× No

✓ Yes

Role requirements and performance input

× No

✓ Yes

Business priorities and team management

× No

✓ Yes

SOS supports Philippine employment administration through its EOR model. The client remains responsible for its own business operations and applicable legal, tax, privacy, financial-services, AFSL, ASIC, licensee, and other regulatory obligations in its home country.

─ what we do

Who Does SOS Serve?

SOS works with startups, scaleups, and established companies that want to hire, manage, or expand teams in the Philippines.

Our clients operate across areas such as:

Financial services and accounting

E-commerce

Technology and SaaS

Legal services

Customer Support

Marketing and Administration

AI, data, and digital operations

We support companies that need to hire a single employee, convert existing contractors, establish a dedicated offshore team, or manage ongoing Philippine employment administration.

─ what we do

Why Do Companies Work With SOS?

Companies work with SOS when they need a practical way to build Philippine teams while maintaining control over daily operations.

Philippines-focused employment support

SOS focuses on the local employment, payroll, HR, and statutory processes involved in hiring in the Philippines.

Human support throughout the employment lifecycle

Clients work with a dedicated account team for onboarding, payroll coordination, employee administration, and formal employment matters.

Flexible workforce planning

SOS can support a single hire, a group of employees, contractor conversion, or a larger offshore team structure, depending on the client’s requirements.

Clear operational responsibilities

The EOR model defines which responsibilities belong to SOS and which remain with the client. This helps both parties plan the employment relationship more clearly.

Practical guidance for international businesses

SOS helps clients assess workforce models, hiring requirements, onboarding information, payroll considerations, and ongoing employee administration before implementation.

─ REVIEWS

Client Testimonials

“SOS made outsourcing easy. The results surprised us—we felt safe, supported, and fully guided.”

Emma Bowkett

CEO and Founder of Convertr

“SOS unified our EU marketing. Their multilingual team brought structure, speed, and brand consistency.”

T. Bowkett

CEO, Nikken Kousakushou

“SOS built a skilled team fast. Our AU lead gen soared—opened doors to PH expansion too.”

Jane Alfonso

Country Manager, Aeco

“SOS turned our Metaverse team around—missed deadlines became real results and discipline.”

Sham Sundar

Head of Studio Operations, Virtual Labs PTE

“SOS rebuilt our database and outreach. We gained suppliers, members, and momentum.”

Henry Burdett

Dentist, Professional Dentistry UK

“SOS built our site, ran our marketing, and helped us hit $100K in sales in year one.”

Ivan Matsumoto

CEO, Fun Kids Guide

What Workforce Models Does SOS Support?

Employer of Record

For companies without a Philippine entity, SOS can act as the local legal employer for Filipino employees while the client manages their daily work.

Contractor-to-Employee Conversion

SOS can support companies reviewing whether existing Philippine contractors should move into a formal employment structure.

Dedicated Remote Teams

SOS can help companies establish dedicated Philippine-based teams for functions such as administration, customer support, finance, technology, marketing, and operations.

Staff Leasing and Managed Outsourcing

Staff leasing or PEO arrangements should only be considered where the client already has a Philippine entity and the appropriate structure has been confirmed.

─ Leadership

Who Leads Smart Outsourcing Solution?

SOS is led by two experienced outsourcing and workforce leaders who combine strategic direction with hands-on operational expertise across the Philippines and international markets.

Co-Founder and CEO

Phil Murphy

Phil Murphy is the Co-Founder and CEO of Smart Outsourcing Solution, with more than 35 years of leadership experience across BPO, contact centres and offshore workforce operations in Australia, the Philippines and the United Kingdom.

Phil spent 12 years working in the Philippines, where he led large-scale operations of up to 10,000 employees. At SOS, he oversees the company’s strategy, operations and service delivery, with a focus on Employer of Record, Contractor of Record, recruitment, managed teams and workforce compliance.

Co-Founder

Martin English

Martin English is the Co-Founder of Smart Outsourcing Solution, with more than 20 years of experience across outsourcing, customer experience, digital transformation and offshore workforce strategy in Southeast Asia.

Having worked with global organisations including Telstra, Vodafone and Shell, Martin brings extensive experience in helping businesses develop effective offshore operating models. At SOS, he focuses on business development, strategic partnerships and helping international companies build and scale teams through EOR, COR, managed outsourcing and Build-Operate-Transfer solutions.

─ TEAM

Meet the SOS team

Head of Service

Jovelle Corcuera

Jovelle Corcuera brings over two decades of expertise in business process outsourcing, global service delivery, and operational leadership. Having successfully led large, complex operations for a premier global customer experience company, Jovelle joined the GBPOs/SOS team in May 2026 as Head of Service for the Employer of Record business, where she is responsible for driving […]

HR Director

Caroline Aquino

With 16+ years of multi-site global HR leadership, May is a transformative and strategic HR executive, specializing in HR Shared Services & Operations. She scales delivery hubs, drives AI-led digital innovation, and champions continuous improvement across the employee life cycle

Account Director

Paula Murphy

With extensive international experience in account management, client services, sales and outsourcing, Paula builds strong client relationships and works closely with clients to support successful, engaged offshore teams.

Account Director

Jordan Aumentado

With 20 years of leadership experience in BPO and outsourcing, She brings deep expertise in client relationship and account management, building trusted partnerships and delivering long-term value for clients.

Account Director

Dingdong Villapando

Customer Success professional with experience building strong client relationships, driving customer value, and supporting clients across diverse business environments.

Commercial Operations

Claire Argayoso

Claire leads Commercial Operations, working with clients on MSA negotiations, commercial discussions, and solutions tailored to their requirements. Her experience with Philippine employment and compliance matters allows her to bring useful local context into those conversations, particularly when navigating requirements that affect how clients engage and manage their people. She takes a hands-on, straightforward approach […]

Recruitment Manager

Bianca Teraza

Bianca is a recruitment leader with over 9 years of experience in local and international talent acquisition. She leads end-to-end recruitment strategies, talent sourcing, and hiring operations, supporting organizations in building high-performing teams across global markets.

Business Unit Manager

Roy Cardona

Roy has 7+ years of experience in business development and sales across AI/LLM, FinTech, Forex/CFD, PropTech, healthcare, and SaaS. He has generated over $11M in annual revenue, consistently achieved 115%–125% of sales targets, and driven 300% year-over-year deposit growth. Roy has also led AI SEO initiatives that increased organic traffic by 60% and qualified leads […]

─ Questions

Frequently Asked Questions

What is Smart Outsourcing Solution?

Smart Outsourcing Solution is a Philippines-based Employer of Record and remote workforce partner. SOS helps international companies hire Filipino employees without setting up their own Philippine entity.

What does SOS do as an Employer of Record?

SOS becomes the Philippine legal employer and manages employment contracts, payroll, statutory administration, benefits coordination, HR records, and formal employment processes. The client continues to direct the employee’s daily work.

Can SOS help a company hire in the Philippines without setting up an entity?

Yes. The EOR model allows an international company to employ Filipino staff through SOS’s local employment structure rather than establishing its own Philippine entity.

Who manages the employee’s daily work?

The client manages the employee’s daily work, role expectations, performance input, and business priorities. SOS manages the formal employment and workforce administration responsibilities.

Does SOS replace Australian legal or financial-services advice?

No. SOS supports Philippine employment administration but does not replace Australian legal, tax, privacy, AFSL, ASIC, licensee, financial-services, or other regulatory advice.

Can SOS help convert contractors into employees?

SOS can support companies reviewing and planning contractor-to-employee conversion in the Philippines. The appropriate process depends on the contractor arrangement, employment structure, documentation, and operational requirements.

─ Start a Conversation

Planning to Hire in the Philippines?

If you are considering a Philippines-based hire, contractor conversion, or offshore team, speak with SOS about the workforce model that fits your requirements.