This article explains how clients can transition a Direct Employee HRIS to a new worker type.
A Direct Employee in Deel HR (HRIS) refers to a worker employed directly by the company, whose payroll is not managed by Deel. The company handles all payments and employment-related processes independently.
Transitioning a Direct Employee HRIS to Another Worker Type
Clients can transition Direct Employees HRIS to the following worker types:
- Global Payroll: also known as Direct Employee - Payroll is an employee hired and paid through Deel's Global Payroll service. These employees are employed directly by the company utilizing this service.
- Independent Contractor: a self-employed professional who offers their services to clients on a project-based or fixed-term basis.
- Employer of Record: EOR employee is legally employed by the EOR organization (Deel), which acts as the official employer. The EOR handles all legal, compliance, and administrative aspects of the employment relationship on behalf of the client company.
✅ Step 1 - Select the worker to be transitioned
Select the People icon from the homepage, followed by the All People tab, and click on the contractor’s name. Next, click on the three vertical dots and select Change Worker Type.
Employees must have a valid personal address in their HRIS profile to complete the transition. Missing information will prevent the process from being finalized.
✅ Step 2 - Start the Transition
Select the worker type and click Next to begin transitioning.
✅ Step 3 - Provide the worker’s Information
Clients will be asked to provide:
- Employee’s personal details – This information will be pre-filled using data from the existing contract. Please review and ensure it's correct.
- Job details – Will have to be filled with the required information.
- Compensation and dates have also been pre-filled with information from the previous contract, but they can be edited. Clients must Ensure that the payroll start date aligns with payroll cycles and onboarding deadlines.
- Compliance documents - if applicable
- Benefits and extras – Any existing benefits associated with the worker will be carried over to the new contract unless otherwise requested.
By clicking Create Contract, the worker type change will be initiated. The worker will then be notified to complete the necessary onboarding steps and automatically invited via email to access the updated details in the Deel Employee App.
Specific Requirements and Differences for Each Worker Type
Transitioning to Global Payroll
To transition an employee to Global Payroll, the client must have an entity with Global Payroll activated.
Onboarding & Offboarding
After the new contract is created, the client or employee must complete the onboarding process to compliantly receive their salary.
Transitioning to Independent Contractor
If the contractor has more than one active contract, the client must select which contracts will be transitioned to the new worker type.
Onboarding & Offboarding
Once the contract is created, the contractor will receive an invite to complete the onboarding process. After the contract is active, the old HRIS entry will be marked as inactive.
Transitioning to EOR
Clients must review and accept the scope of work. Additionally, they will have the option to sign the EOR MSA if required.
Once all details are provided by the employee and agreements are signed, the client can click Complete Worker Type Change from the worker's contract overview.
Onboarding & Offboarding
After the contract is created, the employee will receive an invite to complete the onboarding process. Once the contract is active, the old HRIS entry will be marked as inactive.