Hire Employees in the USA
The USA, blessed with technological advancements and economically strong and powerful resources, is also a target destination for remote jobs. With all the benefits, global employers prefer to hire employees in the USA for remote jobs from multiple industries.
In this guide, we will discuss every nook and corner about hire employees in the USA and demonstrate how professionals add value to your workforce.
Let’s begin with the basic information about the USA.
About USA – facts and figures
Capital: Washington DC
Population: 339,996,563 approx by mid-2023
Language: English
Currency: US dollar (USD)
Payroll frequency: Bi-weekly. Some employers prefer weekly and monthly.
Timezone: Eastern Standard Time (EST) – UTC/GMT -5:00
Cost of living index: 133.0
GDP: $143.4 billion
Hire in the US: the remote hiring and work trends in the US job market
The remote hire in the US and work trends in the job market are undergoing a significant transformation, creating exciting opportunities for employers and employees. Here’s a detailed breakdown of the key aspects to understand to hire in the USA:
Surge in remote hiring:
- 22% of the US workforce already works remotely, and it is expected to reach 32.6 million by 2025.
- This significant growth is driven by factors like:
- Talent pool expansion: Companies can access skilled professionals regardless of location.
- Cost savings: Reduced need for office space, commute subsidies, and other overhead costs.
- Employee satisfaction and retention: Offering flexibility and work-life balance attracts and retains top talent.
- Technological advancements: Tools like video conferencing platforms and cloud-based applications facilitate seamless remote collaboration.
Current work trends:
- Hybrid work models: Many companies are adopting hybrid models, allowing employees to split their time between the office and home.
- Focus on skills and experience: With a larger remote talent pool, employers prioritize skills and knowledge over geographical location.
- Emphasis on employee well-being: Remote work requires additional focus on employee engagement, communication, and mental health support.
- Importance of cybersecurity: As more work happens online, data security and privacy become even more crucial.
Specific professionals of remote job roles:
- Technical specialists: AI specialists, software architects, cybersecurity experts, cloud architects, data scientists, and DevOps engineers.
- Business professionals: Product managers, financial analysts, digital marketing managers, remote general counsel.
- Other roles: Customer service representatives, content creators, virtual assistants, sales and marketing professionals.
Overall, the USA job market is moving towards a remote-first mindset, offering tremendous benefits and challenges for employers and employees.
Top 10 highest paying jobs in the USA
Several factors drive the highest-paying jobs in the USA. However, industry trends, CEO salary variations, experience, and expertise are essential in remotely deciding the highest-paying jobs in the USA. Here is the list:
Technology:
AI Specialist – salary approx $200,000 (annually)
Software architect: salary approx $150,000 (annually)
Cyber security expert: salary approx $170,000 ( annually)
Cloud architect: salary approx $180,000 (annually)
Business and finance:
Data Scientists: salary approx $150,000 (annually)
Product Manager: salary approx $170,000 (annually)
Financial Analyst: salary approx $150,000 (annually)
Creative & Marketing:
Digital marketing manager: salary approx $140,000 (annually)
Legal:
Remote general counsel: salary approx $200,000 (annually)
Healthcare:
Telemedicine Physician: salary approx $384,154 (annually)
Employment laws in the USA
Employment laws in the USA are a complex and vast field, encompassing various federal and state regulations that protect workers and provide employers with a legal framework for managing their workforce. Here’s an overview of some key aspects to consider the frame to hire in the USA:
Federal laws:
Fair Labor Standards Act (FLSA): Sets minimum wage requirements, overtime pay rules, and child labor restrictions.
Civil Rights Act of 1964: Prohibits discrimination based on race, color, religion, sex, and national origin in employment.
Americans with Disabilities Act (ADA): Prohibits discrimination against qualified individuals with disabilities.
Age Discrimination in Employment Act (ADEA): Prohibits discrimination against individuals aged 40 or older.
Family and Medical Leave Act (FMLA): Entitles eligible employees to up to 12 weeks of unpaid leave for specific family and medical reasons.
Occupational Safety and Health Act (OSHA) Sets standards for safe and healthy working conditions.
State laws:
In addition to federal laws, each state has its own employment laws in the USA that may offer additional worker protections. These can vary greatly and cover areas including:
- Minimum wage, working hours, and overtime pay
- Paid time off
- Discrimination laws (e.g., sexual orientation, gender identity)
- Family leave policies
- Workers’ compensation
The Federal Employees’ Compensation Act (FECA) provides workers’ compensation coverage for employment-related injuries and occupational diseases. Benefits include wage replacement, payment for medical care, and, where necessary, medical and vocational rehabilitation assistance in returning to work and survivor benefits.
Other rules and regulations in the USA
- Wages and hours: Ensuring employees are paid fairly for all hours worked.
- Discrimination: Protecting workers from discrimination based on protected characteristics.
- Employee benefits: Providing access to health insurance, retirement plans, and other benefits.
- Workplace safety: Maintaining safe and healthy working conditions.
- Employee rights: Protecting workers’ rights to organize, collective bargaining, and whistle-blower protections.
Competitive benefits to hire in the USA
Competitive benefits in the USA are more flexible and vary from industry to industry. However, the standard and compulsory benefits must allow employees in every sector in the USA. Here is the breakdown:
Health insurance:
- Comprehensive health insurance plans covering medical, dental, and vision expenses are a standard expectation for most competitive packages.
- Some companies offer options like high-deductible health plans with health savings accounts (HSAs) for more cost-conscious employees.
Retirement savings:
- Employer-matched contributions to 401(k) or other retirement plans are highly valued, helping employees build long-term financial security.
- Automatic enrollment features encourage participation and ensure employees start saving early.
Paid time off (PTO):
- Generous PTO policies providing vacation, sick leave, and personal leave days allow employees to prioritize their well-being and balance work-life responsibilities.
- Some companies offer additional paid holidays, bereavement leave, and sabbatical programs.
Flexible work arrangements:
- Remote work options, flexible scheduling, and compressed workweeks are increasingly sought-after, allowing employees to manage their time effectively and maintain work-life balance.
- Hybrid models combining remote and in-office work offer flexibility while fostering team interaction.
Wellness and financial well-being programs:
- Employee Assistance Programs (EAPs) offering confidential counseling and support for mental health, legal, and financial issues are becoming more common.
- Financial wellness programs provide resources and tools for debt management, budgeting, and financial planning.
The USA salary structure
The USA salary structure depends on various metrics such as the candidate’s experience, educational background, skill sets, etc.
The below discussion show the industry-specific USA salary structure of multiple sectors:
| Industry | Experience level | Positions | Approx salary range (annually) |
| Median to senior | AI specialist | $150,000 – $200,000+ | |
| Technology | Median to senior | Software architects | $130,000 – $150,000+ |
| Median to senior | Cyber security experts | $120,000 – $180,000 | |
| Median to senior | Financial analyst | $100,000 – $150,000 | |
| Finance | Median to senior | Data scientists | $140,000 – $200,000 |
| Median | Investment bankers | $150,000+ | |
| Healthcare | Median to senior | Telemedicine physicians | $150,000 – $200,000 |
| Creative & marketing | Median to senior | Digital marketing managers | $150,000 – $200,000 |
Types of leaves in the USA
According to rules and regulations in the USA regarding employee benefits, employers must provide paid or unpaid leave, as decided by the employment laws in the USA.
Unlike in other countries, there are two variations of leaves: paid and unpaid. Let’s see:
Paid leaves:
- Vacation/annual Leave: Earned based on worked hours; this allows employees to take paid time off for rest.
- Sick leave: Paid time off for personal illness or caring for a sick family member.
- Holiday leave: Paid time off for designated holidays observed by the company.
- Personal leave: Paid time off for personal reasons not covered by other leave types, often determined by employer policy.
- Parental leave: Paid leave for new parents to bond with their newborn or adopted child. Some states and companies offer specific maternity and paternity leave, while others provide a combined parental leave policy.
Unpaid leaves:
- Family and Medical Leave Act (FMLA): Up to 12 weeks of unpaid leave for severe medical conditions, childbirth, child adoption, or to care for a sick family member. To qualify, employees must meet specific eligibility criteria.
- Military leave: Unpaid leave for qualifying active military service or certain types of reservist duty.
- Jury duty leave: Unpaid leave for employees summoned for jury duty.
- Bereavement leave: Unpaid leave to grieve the death of a close family member.
- Other unpaid leaves: Some employers offer optional unpaid leave types, like sabbaticals or educational leave, depending on company policy.
On-boarding rules in the USA
When employers select a candidate remotely, the onboarding rules, including notice period, probation period, termination policy, etc., have to be informed prior to him/her joining as an employee.
Probation period:
For the employee in the USA, the typical range is from 30 days to 6 months.
Notice period:
In the US, the standard notice period for employees to resign from their jobs is not set by law and varies significantly depending on several factors.
Considerations for giving notice:
- Professional courtesy: It’s generally considered professional and courteous to provide the employer with a reasonable notice period, typically 2-4 weeks. This allows them time to find and prepare for your replacement, minimizing disruption to your team and workload.
- Contractual obligations: Some employment contracts may stipulate a specific notice period must be adhered to.
- Company policies: While not legally binding, some companies have internal policies outlining desired notice periods. Checking your company handbook or contacting HR can clarify their expectations.
Termination policy:
According to employment laws in the USA, the termination policy must not be partial; instead, addressed to the respective employee with proper reason.
The termination policy is designed based on legal and illegal aspects:
Legal reasons:
Performance-based: Employers can terminate employees for poor performance, misconduct, or failure to meet job expectations.
Layoffs: Economic downturns or restructuring can lead to layoffs, terminations for business reasons rather than individual employee performance.
Illegal reason:
Termination based on discrimination (race, religion, gender, age, disability, etc.), retaliation for protected activity (whistleblowing, reporting harassment), or violation of public policy is illegal.
Payroll policy in the US
Payroll policy in the US is a comprehensive set of rules and procedures governing how companies pay their employees. It encompasses various aspects, from wage calculation and deductions to payment schedules and record-keeping which is basic to know to hire in the USA.
See the below considerations:
- Payroll policy should be communicated to employees. A written policy document is recommended.
- Compliance with federal and state laws is crucial to avoid penalties. Consulting with a tax or HR professional for guidance is advisable.
- Payroll accuracy and timely payments are essential for employee satisfaction and retention.
Here is the breakdown of the crucial elements regarding payroll:
Wage and salary:
- Minimum wage: Determined by federal and state laws, varying by location. The federal minimum wage is $7.25 per hour and 30 hours/week, but many states have set higher minimums.
- Overtime: Employees working past a certain number of hours (typically 40 hours per week) must be paid overtime at 1.5 times their regular rate. Certain exemptions apply to specific professions, and overtime rules may differ by state.
- Pay periods: Companies choose payment intervals, often bi-weekly or monthly.
- Wage classifications: Different employee classifications (e.g., salaried, hourly, exempt, non-exempt) may have different pay arrangements and overtime rules.
Deductions and taxes:
- Withholding taxes: Employers must withhold federal and state income taxes from employee paychecks, remitting them to the government.
- Social security and medicare taxes (FICA): Both employers and employees contribute a percentage of earnings towards these social safety programs.
- Additional deductions: Some employers may offer health insurance, retirement plans, and other benefits, with employee contributions deducted from paychecks.
Payment methods:
- Direct deposit: Most companies pay electronically directly to employee bank accounts.
- Paychecks: Some companies still write paychecks for distribution.
Record-keeping:
- Employers must maintain detailed records of employee pay, deductions, and taxes when planning to hire in the USA. Depending on federal and state regulations, these records must be retained for specific periods.
Tax in the USA
The Federal tax is implemented in the USA and follows seven Federal income tax brackets, including 10%,12%,22%,24%, 32%,35%, and 37%.
Check out the chart below to see what your top marginal tax rate is for the tax year 2023, which will be filed by April 2024:
2023 Federal tax brackets
| Rate | Single | Married filing jointly | Married filing separately | Head of households |
| 10% | $0 – $11,000 | $0 – $22,000 | $0 – $11,000 | $0 – $15,700 |
| 12% | $11,001- $44,725 | $11,001 – $89,450 | $11,001 – $44,725 | $15,701 – $59,850 |
| 22% | $44,726 – $95,375 | $89,451 – $190,750 | $44,726 – $95,375 | $59,851 – $95,350 |
| 24% | $95,376 – $182,100 | $190,751 – $364,200 – | $95,376 – $182,100 | $95,351 – $182,100 |
| 32% | $182,101 – $231,250 | $364,201 – $462,500 | $182,101 – $231,250 | $182,101 – $231,250 |
| 35% | $231,251 – $578,125 | $462,501 – $693,750 | $231,251 – $346,875 | $231,251 – $578,100 |
| 37% | $578,126+ | $693,751+ | $346,876+ | $578,101+ |
Why do employers prefer to hire in the USA
While global talent pools offer diverse candidates, several factors incentivize employers in the USA to prioritize hire in the USA:
Legal and regulatory ease:
- Visa sponsorship: Hiring foreign workers often involves complex visa sponsorship processes and legal compliance, adding time and cost burdens. Local candidates avoid these complexities.
- Labor laws: Understanding and complying with US labor laws and regulations regarding employee rights, benefits, and taxes is simpler for domestic employees.
Cultural similarities:
- Communication and understanding: Local candidates share similar cultural contexts, languages, and communication styles, potentially fostering smoother collaboration and workflow.
- Work ethic and expectations: Employers may feel local candidates align better with US work expectations and professional norms, reducing the need for extensive cultural onboarding.
Talent availability:
- Large and diverse workforce: The US boasts a vast talent pool of skilled professionals across various industries and disciplines.
- Educational system: US universities and colleges produce a steady stream of qualified graduates, readily available for employers to tap into.
- Established career paths: Defined career paths and professional development opportunities within the US to attract and retain skilled individuals.
Additional factors:
- Security and data privacy: Some sensitive jobs or industries prioritize hiring local candidates due to concerns about data security and national security.
- Reputation and brand image: Hiring within the US can be seen as supporting the local economy and workforce, potentially enhancing a company’s image and reputation.
Hire in the USA – salary and benefits
Hiring in the USA involves more than just the initial offer! The cost of hiring goes beyond salary and encompasses various expenses incurred throughout the process. Checkout the breakdown:
Direct costs:
- Base salary is the fixed annual amount you pay the employee, constituting the most extensive direct cost.
- Benefits: Health insurance, retirement plans, paid time off, and other benefits significantly add to the overall compensation package. Cost can vary depending on company policies and benefit options.
- Payroll taxes: Both employers and employees contribute to Social Security and Medicare taxes, impacting the total employment cost.
- Recruiting costs: Expenses associated with finding and attracting candidates, including agency fees, advertising, and internal staff time dedicated to recruitment.
- Onboarding costs: Training materials, equipment, software licenses, and other resources needed to integrate new employees can incur charges.
Indirect costs:
- Productivity loss: Time spent interviewing, hiring, and onboarding new employees takes away from existing team members’ productivity, impacting output and potentially requiring temporary replacements.
- Lost opportunity costs: The company might miss potential revenue or opportunities due to the reduced workforce while filling a vacant position.
- Employee turnover: Hiring the wrong candidate or high turnover rates leads to repeated recruitment and onboarding costs, further impacting the budget.
- Training time: Investing in training new employees to reach total productivity involves trainer time, resources, and potential lost revenue during the learning phase.
Ultimately, whether to hire in the USA should be made on a case-by-case basis, considering specific job requirements, talent availability, legal feasibility, and the company’s strategic goals.
How do you minimize the hiring cost?
While minimizing the hiring cost, employers can follow specific methods regarding hiring the new candidate, conducting the onboarding process, etc., to avoid hefty charges. Employers can do:
Streamline the hiring process:
Managing a good recruitment team is crucial in this method. The team must be active on social media and other job portals to filter the candidate list. Even with the help of software and technology like ATS, will help them to track the suitable candidates for your organization.
Optimize your onboarding process:
Develop reusable training modules and resources to reduce the need for customized training for every new hire. Encourage experienced employees to mentor new hires and utilize online training platforms and tools for cost-effective learning and knowledge sharing with new employees.
Sign up with Global Squirrels:
Global Squirrels assists employers in finding the best candidates for organizations from the global talent pool. Besides hiring, the platform also helps in payroll management so employers can sum up all the onboarding processes under one solution.
Why do you sign up with Global Squirrels?
Global Squirrels is a SaaS product designed to help employers find the best employees for their organizations remotely. The platform helps optimize the hiring process to save time and money for employers.
The platform assists in many ways, including:
- It helps employers find suitable candidates from a global talent pool.
- It’s the most cost-effective way, as the pricing plan starts at $199/employee/month – the most economical option in the hiring and payroll industry.
- Global Squirrels never charges bloated markups or agency fees but only a license fee per hire.
- In payroll management, it assists in compensation calculations, leave and benefit sheet management, tax calculations, etc.
- It also helps in compliance with international laws.
- The platform further assists you in local labor laws and other employment rules and regulations.
The best part is you can sign up for free, access the candidate profiles, finalize the candidate, and then pay for the payroll. The platform helps you save time, effort, and money.
In conclusion
Hire in the USA involves multiple factors that employers need to consider before hiring candidates. Further, employers must understand the employment laws in the USA to avoid complexities during the onboarding process. Additionally, if you want to simplify the hiring process, sign up with Global Squirrels and manage the hiring efficiently.
