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EOR & PEO
Published:
October 21, 2026
Last updated:
When you hire through an Employer of Record (EOR), the legal employer carries your team's statutory obligations: the employment contract, payroll, contributions and tax filings.
In seven APAC markets, that legal employer is AYP's own local entity: Malaysia, the Philippines, Vietnam, Indonesia, Thailand, Hong Kong and Taiwan. AYP's in-market teams run employment, payroll and statutory filings directly.
Here is how that works, and what it means for your team.
You sign one service agreement with AYP. AYP's local entity in that market then becomes your team member's legal employer. It issues the employment contract under local law, registers the employee with the relevant authorities, runs payroll, and makes the statutory contributions and tax filings each month.
You keep full control of the day-to-day work: you set priorities, manage performance and decide on growth. AYP carries the employment obligations.
Because the entity is AYP's own, the company you contract with is the same company that employs your people. There is one agreement, one legal employer and one team accountable for compliance in each market.
Owning the local entity lets AYP hold the employment relationship end to end. For your business and your team, that brings seven practical benefits.
1. One accountable employer
Employment obligations sit with a single party: AYP. The contract, the payroll and the statutory filings all come from the same entity. If a question or issue comes up, you know exactly who answers for it, and responsibility is never split between organisations.
2. Payroll and filings handled in-house
AYP's local team runs payroll on its own systems and to its own calendar. Statutory contributions and tax filings are prepared and submitted by the same team that pays your employees. If something needs correcting, AYP can act on it directly and quickly.
3. Local rules applied as they change
Each APAC market sets its own minimum wages, contribution rates, leave entitlements and reporting requirements, and updates them on its own schedule. AYP's in-market teams track these changes in each country where AYP holds an entity and apply them to payroll and employment terms as they take effect.
4. Employee data kept within one group
Personal and payroll data stays within the AYP group rather than passing between separate organisations. Fewer handoffs mean a shorter, clearer chain of custody for sensitive information, and a simpler picture when you review data protection obligations.
5. A consistent experience for your team
Your employees deal with a local AYP team that knows the market's employment practices. They get their contract, payslips and benefits from one employer, with one point of contact for questions about pay, leave or entitlements. That consistency helps new hires settle in and trust the arrangement from day one.
6. Changes and exits managed directly
Contract changes, salary reviews and terminations are where local rules carry the most weight. As the legal employer, AYP manages these directly, following the requirements of each market, so the process stays orderly for both your business and the employee.
7. Clear, predictable costs
With employment, payroll and filings handled by AYP's own entity, you pay one fee for the service. This reflects AYP's commitment to no hidden costs, and makes budgeting for each new hire straightforward.
A direct entity model is especially valuable when:
You are building a team, not making a single hire. As headcount grows in a market, consistent payroll, filings and employment terms become more important.
You are expanding across several markets. Working with one employer across Malaysia, the Philippines, Vietnam, Indonesia, Thailand, Hong Kong and Taiwan keeps processes and reporting aligned.
The hires are long-term. Employees who stay for years go through salary reviews, contract changes and benefit updates, all of which run more smoothly with one accountable employer.
Your board or auditors want clear lines of responsibility. A single legal employer per market makes it easier to show who holds each obligation.
In every market where we own our entities, AYP remains your single point of contact, with one reporting line and one escalation path.
Expanding into a new market raises practical questions: who employs your people, who runs payroll, and who keeps you aligned with local rules as they change. In seven APAC markets, AYP answers all three through its own entity.
If you are planning hires across the region, AYP can map which of your target markets run through its own entities, and walk you through how employment, payroll and filings will work in each.
[Talk to an APAC expansion specialist]
A direct entity EOR is an Employer of Record that owns the local legal entity employing your staff. The company you sign with is the same company that issues the employment contract, runs payroll and makes statutory filings in that market.
AYP owns local entities in seven APAC markets: Malaysia, the Philippines, Vietnam, Indonesia, Thailand, Hong Kong and Taiwan.
In AYP's seven direct entity markets, AYP's local entity is the legal employer. It holds the employment contract and carries the statutory obligations that come with it.
Yes. You set priorities, manage performance and make decisions about each role. AYP handles the employment contract, payroll, contributions and filings.
Yes. AYP supports teams across multiple markets under one agreement, with one point of contact and consistent reporting.
Many companies use an EOR to enter a market first, then set up their own entity once the team grows. When your entity is ready, your employees move from AYP's entity to yours under new employment contracts.
AYP works with you on a planned handover, agreeing a transfer date and making sure final payroll, statutory contributions and filings under AYP's entity are completed. Matters such as continuity of service, accrued leave and notice are handled according to the rules of each market.
After the transfer, AYP's payroll services can continue to support your team under your own entity, so payroll stays consistent through the change.
