Hire Pakistani talent in weeks through an EOR in Pakistan. Get compliance, cost savings and quality, without setting up a legal entity.
Hashir Jamil
Growth Associate
EMPLOYER OF RECORD
PAKISTAN HIRING
INTERNATIONAL PAYROLL
REMOTE HIRING
WORKFORCE COMPLIANCE
EMPLOYER OF RECORD
PAKISTAN HIRING
INTERNATIONAL PAYROLL
REMOTE HIRING
WORKFORCE COMPLIANCE
EMPLOYER OF RECORD
PAKISTAN HIRING
INTERNATIONAL PAYROLL
REMOTE HIRING
WORKFORCE COMPLIANCE
Table of contents
Share
Why U.S. businesses need an Employer of Record in Pakistan
Hiring someone in Pakistan as a US business owner requires an Employer of Record. Without one, you cannot legally process payroll, withhold income tax or comply with Pakistan's labor law. Calling someone a contractor and wiring them money isn't a compliant structure. An EOR gives you a fast, legal path to building a team in one of the strongest talent markets available to North American companies right now.
Why US companies are hiring in Pakistan right now
Pakistan produces over 75,000 IT graduates annually from universities like NUST, LUMS, and FAST. Senior engineers cost $1,500–$2,500 per month, roughly 70–80% less than equivalent US hires. English is the medium of instruction in Pakistani universities and the default language in tech environments. Pakistan Standard Time gives a 4–6 hour overlap with the US East Coast. For North American companies, the combination of quality, accessibility and cost is increasingly hard to ignore.
0+
IT graduates Pakistan produces annually
0%
Average salary savings vs. equivalent US hires
0+
Daily overlap with US East Coast business hours
0+
IT graduates Pakistan produces annually
0%
Average salary savings vs. equivalent US hires
0+
Daily overlap with US East Coast business hours
0+
IT graduates Pakistan produces annually
0%
Average salary savings vs. equivalent US hires
0+
Daily overlap with US East Coast business hours
The cost advantage isn't marginal. A senior software engineer developer in Pakistan costs $1,500–$2,500 per month. The same hire in the US costs $15,000 minimum. That gap compounds as you scale.
Post-COVID, Pakistan's remote work infrastructure has kept pace with demand. Islamabad, Karachi and Lahore have 24/7 coworking spaces built specifically for teams working in US time zones. The workforce has adapted. The culture is there.
How a US fintech built a 12-person Pakistan team in six months
One of our clients, a fintech, started with one senior developer at $1,800 per month, a hire that would have cost $15,000 per month in the US. Within 6 months they had 12 people across engineering, sales, and marketing. Zero turnover in year one. Annual savings: over $800K compared to equivalent US hires.
How a US fintech built a 12-person Pakistan team in six months
One of our clients, a fintech, started with one senior developer at $1,800 per month, a hire that would have cost $15,000 per month in the US. Within 6 months they had 12 people across engineering, sales, and marketing. Zero turnover in year one. Annual savings: over $800K compared to equivalent US hires.
How a US fintech built a 12-person Pakistan team in six months
One of our clients, a fintech, started with one senior developer at $1,800 per month, a hire that would have cost $15,000 per month in the US. Within 6 months they had 12 people across engineering, sales, and marketing. Zero turnover in year one. Annual savings: over $800K compared to equivalent US hires.
What an Employer of Record in Pakistan does
An employer of record (EOR) in Pakistan is a local legal entity that employs workers on your behalf. You retain full control over the employee's work and direction. The EOR handles the legal employment relationship, payroll in Pakistani Rupees, tax withholding, EOBI contributions, social security, and compliance with local labor law. You get the talent. EOR handles the administration.
Without an EOR, a US company cannot legally hire a full-time employee in Pakistan. You'd need to register a local subsidiary, a process that takes 4–6 months, requires a local major shareholding partner and costs tens of thousands of dollars before a single person is onboarded.
Pakistani labor law requires a local entity to be the legal employer of any worker in the country. That means payroll in Pakistani Rupees, monthly income tax withholding, EOBI registration, social security contributions and statutory benefits. Termination requires 30–90 days' notice depending on tenure and severance is mandatory. Without a local entity or an EOR, none of this is structurally possible for a US company.
Entitlement
Details
Statutory working hours
Standard workweek is up to 48 hours, though many employers operate on 40 hours.
Paid public holidays
Employees receive paid leave on government-declared public holidays.
Maternity leave
Up to 180 days of paid maternity leave for the first child under applicable laws.
Sick leave
Paid sick leave is provided according to provincial labor laws.
Casual leave
Casual leave entitlement varies by province and employer policy.
Overtime compensation
Overtime is generally paid at 2× the employee's regular wage.
EOBI benefits
Eligible employers must make mandatory EOBI retirement contributions.
Employment contracts
Written employment contracts are required under applicable labor laws.
Probation period
The standard probation period is 3 months unless otherwise agreed.
Notice period
Employees typically receive 30 days' notice or pay in lieu after confirmation.
Entitlement
Details
Statutory working hours
Standard workweek is up to 48 hours, though many employers operate on 40 hours.
Paid public holidays
Employees receive paid leave on government-declared public holidays.
Maternity leave
Up to 180 days of paid maternity leave for the first child under applicable laws.
Sick leave
Paid sick leave is provided according to provincial labor laws.
Casual leave
Casual leave entitlement varies by province and employer policy.
Overtime compensation
Overtime is generally paid at 2× the employee's regular wage.
EOBI benefits
Eligible employers must make mandatory EOBI retirement contributions.
Employment contracts
Written employment contracts are required under applicable labor laws.
Probation period
The standard probation period is 3 months unless otherwise agreed.
Notice period
Employees typically receive 30 days' notice or pay in lieu after confirmation.
Entitlement
Details
Statutory working hours
Standard workweek is up to 48 hours, though many employers operate on 40 hours.
Paid public holidays
Employees receive paid leave on government-declared public holidays.
Maternity leave
Up to 180 days of paid maternity leave for the first child under applicable laws.
Sick leave
Paid sick leave is provided according to provincial labor laws.
Casual leave
Casual leave entitlement varies by province and employer policy.
Overtime compensation
Overtime is generally paid at 2× the employee's regular wage.
EOBI benefits
Eligible employers must make mandatory EOBI retirement contributions.
Employment contracts
Written employment contracts are required under applicable labor laws.
Probation period
The standard probation period is 3 months unless otherwise agreed.
Notice period
Employees typically receive 30 days' notice or pay in lieu after confirmation.
How to hire in Pakistan through an EOR
The process runs in six steps from brief to first paycheck. Most placements complete in two to three weeks. The biggest variable is how clearly the role is defined at the start. A provider with genuine local presence in Pakistan compresses timelines at every stage. One routing through third-party partners adds delays at every stage.
1
Partner with an EOR
Choose a provider with their own legal entity in Pakistan, not one listing it as a market they nominally cover. Local entity means faster resolution when compliance questions arise.
2
Define the role and salary range
Be specific, title, function, must-haves, and deal-breakers. Typical Pakistan benchmarks: junior developer $650–$1,000/month; mid-level $1,000–$2,000/month; senior $2,000–$3,000/month; BDR/sales $800–$1,000/month; digital marketer $1,000–$2,000/month.
3
Source and interview candidates
Source through your EOR or independently. The interview process is the same as any hire, video calls, technical assessments, reference checks.
4
Extend and sign the offer
Your EOR drafts a compliant employment contract under Pakistani law, salary, benefits, notice period, and termination clauses. The contract is between the EOR and the employee. You approve all terms.
5
Complete compliance onboardingader
The EOR handles all onboarding paperwork: tax forms, bank account setup, EOBI registration, health insurance enrollment. Your employee starts fully compliant on day one.
6
Manage the work, not the admin
You manage performance and deliverables. The EOR handles payroll, tax filings, benefits administration, and any contract amendments or offboarding.
1
Partner with an EOR
Choose a provider with their own legal entity in Pakistan, not one listing it as a market they nominally cover. Local entity means faster resolution when compliance questions arise.
2
Define the role and salary range
Be specific, title, function, must-haves, and deal-breakers. Typical Pakistan benchmarks: junior developer $650–$1,000/month; mid-level $1,000–$2,000/month; senior $2,000–$3,000/month; BDR/sales $800–$1,000/month; digital marketer $1,000–$2,000/month.
3
Source and interview candidates
Source through your EOR or independently. The interview process is the same as any hire, video calls, technical assessments, reference checks.
4
Extend and sign the offer
Your EOR drafts a compliant employment contract under Pakistani law, salary, benefits, notice period, and termination clauses. The contract is between the EOR and the employee. You approve all terms.
5
Complete compliance onboardingader
The EOR handles all onboarding paperwork: tax forms, bank account setup, EOBI registration, health insurance enrollment. Your employee starts fully compliant on day one.
6
Manage the work, not the admin
You manage performance and deliverables. The EOR handles payroll, tax filings, benefits administration, and any contract amendments or offboarding.
1
Partner with an EOR
Choose a provider with their own legal entity in Pakistan, not one listing it as a market they nominally cover. Local entity means faster resolution when compliance questions arise.
2
Define the role and salary range
Be specific, title, function, must-haves, and deal-breakers. Typical Pakistan benchmarks: junior developer $650–$1,000/month; mid-level $1,000–$2,000/month; senior $2,000–$3,000/month; BDR/sales $800–$1,000/month; digital marketer $1,000–$2,000/month.
3
Source and interview candidates
Source through your EOR or independently. The interview process is the same as any hire, video calls, technical assessments, reference checks.
4
Extend and sign the offer
Your EOR drafts a compliant employment contract under Pakistani law, salary, benefits, notice period, and termination clauses. The contract is between the EOR and the employee. You approve all terms.
5
Complete compliance onboardingader
The EOR handles all onboarding paperwork: tax forms, bank account setup, EOBI registration, health insurance enrollment. Your employee starts fully compliant on day one.
6
Manage the work, not the admin
You manage performance and deliverables. The EOR handles payroll, tax filings, benefits administration, and any contract amendments or offboarding.
Here's the link for the complete official document (see page no. 81) for tax rates in Pakistan.
Annual taxable salary (PKR)
Tax rate
Up to 600,000
0%
600,001 – 1,200,000
1% of the amount exceeding 600,000
1,200,001 – 2,200,000
Rs. 6,000 + 11% of the amount exceeding 1,200,000
2,200,001 – 3,200,000
Rs. 116,000 + 20% of the amount exceeding 2,200,000
3,200,001 – 4,100,000
Rs. 316,000 + 25% of the amount exceeding 3,200,000
4,100,001 – 5,600,000
Rs. 541,000 + 29% of the amount exceeding 4,100,000
5,600,001 – 7,000,000
Rs. 976,000 + 32% of the amount exceeding 5,600,000
Above 7,000,000
Rs. 1,424,000 + 35% of the amount exceeding 7,000,000
Annual taxable salary (PKR)
Tax rate
Up to 600,000
0%
600,001 – 1,200,000
1% of the amount exceeding 600,000
1,200,001 – 2,200,000
Rs. 6,000 + 11% of the amount exceeding 1,200,000
2,200,001 – 3,200,000
Rs. 116,000 + 20% of the amount exceeding 2,200,000
3,200,001 – 4,100,000
Rs. 316,000 + 25% of the amount exceeding 3,200,000
4,100,001 – 5,600,000
Rs. 541,000 + 29% of the amount exceeding 4,100,000
5,600,001 – 7,000,000
Rs. 976,000 + 32% of the amount exceeding 5,600,000
Above 7,000,000
Rs. 1,424,000 + 35% of the amount exceeding 7,000,000
Annual taxable salary (PKR)
Tax rate
Up to 600,000
0%
600,001 – 1,200,000
1% of the amount exceeding 600,000
1,200,001 – 2,200,000
Rs. 6,000 + 11% of the amount exceeding 1,200,000
2,200,001 – 3,200,000
Rs. 116,000 + 20% of the amount exceeding 2,200,000
3,200,001 – 4,100,000
Rs. 316,000 + 25% of the amount exceeding 3,200,000
4,100,001 – 5,600,000
Rs. 541,000 + 29% of the amount exceeding 4,100,000
5,600,001 – 7,000,000
Rs. 976,000 + 32% of the amount exceeding 5,600,000
Above 7,000,000
Rs. 1,424,000 + 35% of the amount exceeding 7,000,000
Common concerns about hiring in Pakistan, addressed
The most common hesitations are political instability, data security, time zone friction, and talent quality. All four are addressable. Companies that have moved past these concerns have built some of their most stable, cost-efficient teams in Pakistan. The ones still waiting are watching competitors get 6 months ahead.
Isn't Pakistan politically unstable?
What about data security?
Can Pakistani workers manage US time zones?
What about H-1B visa changes?
Isn't Pakistan politically unstable?
What about data security?
Can Pakistani workers manage US time zones?
What about H-1B visa changes?
Isn't Pakistan politically unstable?
What about data security?
Can Pakistani workers manage US time zones?
What about H-1B visa changes?
How East Consulting places talent in Pakistan
East Consulting is headquartered in Boston with operational presence in Islamabad. We source, vet and place talent across engineering, business ops, sales, marketing, finance, etc. Most placements close within 6 business days. Employment, payroll, and compliance are handled end to end, with transparent flat-fee pricing, we become your people function.
Why East Consulting?
We source talent from Pakistan and the wider South Asian region, an untapped talent market for many North American businesses.
We source, vet, and place talent within 6 business days, delivering speed without compromising quality.
We provide transparent flat-fee pricing with no hidden setup or offboarding fees.
Your dedicated account manager is just a Slack away, never a ticketing queue.
Why East Consulting?
We source talent from Pakistan and the wider South Asian region, an untapped talent market for many North American businesses.
We source, vet, and place talent within 6 business days, delivering speed without compromising quality.
We provide transparent flat-fee pricing with no hidden setup or offboarding fees.
Your dedicated account manager is just a Slack away, never a ticketing queue.
Why East Consulting?
We source talent from Pakistan and the wider South Asian region, an untapped talent market for many North American businesses.
We source, vet, and place talent within 6 business days, delivering speed without compromising quality.
We provide transparent flat-fee pricing with no hidden setup or offboarding fees.
Your dedicated account manager is just a Slack away, never a ticketing queue.
