Pay-as-you-go (PAYG) contractors are businesses or individuals who provide services to clients on a pay-as-you-go basis. This means that the contractor charges for their services according to the number of hours worked, rather than in advance or after the work is completed.
PAYG contractors are typically used for short-term projects or one-time tasks, as they offer flexibility and can be more cost-effective than hiring a full-time employee.
PAYG arrangements can be beneficial for both parties, as the contractor can choose to work as much or as little as they like, and the client only pays for the work that is actually carried out. However, it is important to remember that PAYG arrangements do not provide the same level of job security or benefits as a full-time contract.
Hiring contractors may seem like a simple way to scale your team quickly. But if a contractor actually operates like an employee, your company could be exposed to various legal, financial, and operational risks.
Not to worry. Oyster’s contractor conversion solution can help you assess your risks in different countries, weigh the costs and benefits of both employment models, and compliantly transition contractors to full-time employment.