EOR (Employer of Record) services act as your legal employer and help manage everything related to employment. This enables for both Thai locals and expats to work legally in Thailand without the company needing to establish a local entity.
If you’ve previously employed under an EOR arrangement or used EOR services before but encountered issues that disrupted your workflow such as unclear communication, tax calculation errors, or visa/work permit processing delays that could put you or your expats legal risk.
If these negative experiences have led you or your employer to think about switch your EOR provider in Thailand to ensure smooth and compliant employment for local and foreign staff, this guide will walk you through the process of switching EOR providers and help you make a more informed decision.
What are Key Criteria for Switching an EOR Provider in Thailand?
1. Accuracy and Reliability in Payroll & Compliance
Check whether your current provider has a history of incorrect payroll and tax calculations. These non-compliance issues affect the trust of both employees and employers.
2. Expertise in Visa & Work Permit for Expats
A good EOR provider must be able to handle visa and work permit applications efficiently and correctly to ensure employees maintain their legal status without risk.
3. Transparency of Service Fees and Contract Terms
Review whether there are hidden charges, such as document renewal fees, monthly processing fees, or penalties. Also check if the SLA clearly guarantees service quality.
4. Quality of Communication & Customer Support
Consider whether your current EOR responds quickly, provides accurate guidance, and assigns a dedicated coordinator. Even small delays can lead to major issues—like visa expiry.
What are the Steps to Switch Your EOR Provider in Thailand?
1. Finalize Your Decision and Sign with the New Provider
Once your company signs a service agreement with the new EOR provider, their team will guide you through the transition process and provide a list of required documents to initiate the transfer for all employees.
2. Prepare Required Documents for the Transfer
In most cases, employee documents are similar to switching jobs:
- National ID card
- House registration
- Book Bank
- Educational certificate
- Medical certificate
- Resident Certificate / TM.30 for foreigners
A recent payslip (1 month) is also required to show the YTD income from the previous provider. Alternatively, employees may provide the Withholding Tax Certificate (50 Tawi). These documents allow the new provider to process accurate payroll without interruptions.
3. Transfer the Employee’s Visa & Work Permit
For foreign employees, even if the employer remains the same, changing EOR providers requires canceling the old visa and work permit and reissuing them under the new provider. Procedures are handled at Immigration and the Department of Employment.
4. Issue New Employment Contracts
The new EOR provider will prepare employment contracts for all employees being transferred, which need to be reviewed and signed.
5. Transition Payroll & Social Security
The new provider will run parallel payroll alongside the old provider during the transition to avoid any salary delays. Employees will also be registered under the new employer for social security.
6. Employee Onboarding
The EOR team will hold an onboarding session to explain their role—acting as the internal HR team to support employees on benefits, documentation, and payroll matters.
7. Start Working
Once onboarding is complete and all documents are processed, employees can continue working as usual.
What are Risks to Consider Before Switching EOR Providers?
1. Employee’s Year of Service
Since the legal employer changes, employees may worry that their years of service won’t carry over, which could affect future severance eligibility. Clear communication between both providers, the employer, and employees is important to ensure continuous Year of Service.
2. Provident Fund Transfer
To increase this benefit, the new EOR Provider should be notified to enroll employees in a provident fund if the old provider did not. If the old provider had a provident fund, the new provider must offer at least the same or better benefits to avoid any loss of employee benefits.
3. Key Areas to Watch Carefully
- Employee benefits
- Payroll continuity
- Correct tax submission
- Proper visa and work permit transfer
These factors ensure compliance and protect employees from unnecessary risks.
What are Costs to Expect When Using EOR Services?
1. Deposit Fee
A security deposit held by the provider to cover any liabilities. If unused, it is fully refunded at the end of the contract.
2. Service Fee
Charged either as a percentage of salary or as a fixed monthly fee, covering administrative and HR-related costs.
3. Visa & Work Permit Processing Fee
Annual fees for handling visa and work permit applications for foreign employees.
FAQs
Is switching EOR legal in Thailand?
Yes, it is fully legal as long as all visa, work permit, and employment processes follow Thai labor law and immigration regulations.
How long does it take to switch your EOR in Thailand?
Most EOR transitions take around 2–4 weeks depending on document preparation, visa status, and coordination between providers.
Can expats transfer their EOR provider without losing the visa?
Yes, you can switch EOR providers without them losing the visa as long as the transfer is handled correctly and within immigration timelines.
What happens to expat’s visa and work permit during the switch?
Their existing visa and work permit must be canceled by the old EOR provider and reissued under the new EOR provider to keep your employment status legal.
Will the employee’s salary and tax records be affected during the EOR switch?
No, the employee’s payroll should continue smoothly, and the tax records will stay accurate as long as the new EOR receives latest payroll and withholding tax documents.
Can I keep working during the transition to a new EOR provider?
Yes, you can continue working as long as your visa and work permit are managed correctly during the transfer.
Summary
Switching your EOR provider in Thailand ensures smoother payroll, documentation, and visa/work permit management for both Thai employees and expats. A reliable provider offers accurate payroll, compliant visa processing, clear fees, and better overall support. Before switching, review year-of-service continuity, employee benefits, and provident fund arrangements to protect your team’s rights.
Looking for a smoother, more reliable EOR experience in Thailand?
At RLC, we combine deep expertise with responsive, transparent support to ensure your local and expat employees stay fully compliant without the stress. Our team understands the challenges you face and is here as your trusted EOR partner, offering smarter, modern solutions that keep your operations running seamlessly.
