EMPLOYER REGISTRATION: CHARACTERISTICS, IMPORTANCE AND EXAMPLE - JOB - 2024

The employer registration is the process by which a natural person or legal entity registered with the appropriate government agency meant having to work to employ one or more persons determined during a specific part of the day.

The employer or employer is the legal or natural person who in his own name is in charge of a company, an operation, an establishment or a task, of any importance or nature, that employs workers, whatever their number.

The representative of the employer is the one who, on his behalf and on behalf of the employer, executes hierarchical administrative or managerial positions. Administrators, managers, directors, heads of personnel or industrial relations, captains of aircraft or ships, and other persons with administrative or management functions are representatives of the employer.

If someone is hired, the employer's key obligations include withholding the employee's income tax and calculating the contribution to be made to social health insurance, which varies according to total salary.

characteristics

The employer registration must be done before the first day of pay. Generally, it can take up to 5 days to obtain the employer registry reference number; You cannot register more than 2 months in advance of starting to pay people.

Employer registration must be done even if a person is only employing himself; for example, as the sole director of a limited liability company.

Types of employers or employers

Employers can fall into one of the following categories: people or groups who run a business, or people who employ domestic workers.

Companies can be classified by:

- The origin of your assets (public or private).

- Activity (commercial, service or industrial).

- Legal form (cooperative, limited company or stock company).

- Size (large, medium or small).

- Sole owners.

- Non-profit and charitable entities.

People who employ domestic workers can be:

- Private homes.

- Local chapters of the university.

- Local college clubs.

- Fraternities or brotherhoods.

When should the employer register be done?

- When you begin to hire or pay any employee, including the directors of the company.

- When any person who has obtained a pension or already has another job is to be employed.

- By covering expenses or providing benefits to employees, including the directors of the company.

- By using subcontractors under the construction industry scheme, or claiming deductions taken from those payments

Changes in the employer register

The employer or legal representative of any company has the duty to register in the employer register. In addition, you must communicate any changes related to:

- Legal representatives.

- Activity to which they are engaged.

- Company address.

- Changes in wages.

- Quantity of employees.

- Work accidents.

- Declaration of relatives.

Employee record

Every employing company must maintain a monthly record with the following data for each employee:

- Full name.

- Identity card number of the national registry.

- Occupation or position in the organization.

- Contribution details.

- Monthly wages.

- Assignments.

Employer contribution

The employer contribution refers to the monetary contribution that employers or employers must make for the social security of workers.

In the social security system that is financed through labor contributions, this financing is usually combined in two main parts.

On the one hand, there is the contribution given by the workers, which is deducted from their respective salaries; and on the other is the employer contribution, which is the contribution that corresponds to the employer.

It is possible to determine the participation in the financing corresponding to the capital factor and the labor factor, depending on the rate of the employer's contribution with respect to the contribution given by the workers.

In some contribution systems there is financing from a third party, corresponding to the State, which is designated as budgetary financing.

Because it is important?

The governments of different nations are obliged to protect the welfare of employees and workers who have a formal job in the country.

That is why, through labor and social security laws, companies and employers are ordered and obliged to guarantee that their hired employees are covered by a viable social security service.

Therefore, if you own a company and employ people to carry out the business, you must comply with the law and register the business with the Social Security system of the country where the employer's activity is taking place.

Among the benefits and contingencies covered by the majority of social insurance in the different countries for workers are the following:

- Comprehensive medical assistance.

- Daily compensation for rest.

- Old-age pension.

- Compensation for involuntary loss of employment.

- Pension for partial disability.

- Disability pension.

The employer registry also allows the State to know the country's formal employment rate, based on the population of working age, and from the employed persons who are formally registered in the employer's registry of their current employer.

Example

This example was taken based on the employer registration that companies must carry out in Venezuela, through the Venezuelan Institute of Social Security (IVSS), through the Business Management System, called TIUNA.

The way to register a company in the Venezuelan social security is through the link:

Registry information

Before beginning online registration, the following information should be known or available:

- Type of legal entity (corporation, sole proprietorship, LLC, etc.).

- Name of the legal entity as it was registered in the commercial register.

- Trade name, if it is different from the legal name.

- Physical address of the business.

- Postal address (if it is different from the physical address).

- Main commercial activity carried out by the organization.

Any company that has employed at least one worker must join the Venezuelan Social Security Institute, either through the legal representative or through a duly authorized person.

Form 13-12, which is the Employer Registry of the Insured, must be updated monthly. This format is as follows:

Below is the instructions to be filled out:

References

1. Wikipedia, the free encyclopedia (2017). Employer Registration. Taken from: en.wikipedia.org.
2. Gov.UK (2018). Register as an employer. Taken from: gov.uk.
3. Wikipedia (2018). Employer contributions. Taken from: es.wikipedia.org.
4. Minnesota unemployment insurance (2016). New employer registration. Taken from: uimn.org.
5. Vero Skatt (2017). Being an employer. Taken from: vero.fi.
6. Victorino Abrugar (2012). How to Register Your Business with the SSS. BusinessTips. Taken from: businesstips.ph.
7. IVSS (2018). Venezuelan Institute of Social Security. Taken from: ivss.gov.ve.