2025 Average Onboarding Time Statistics: EORs VS Direct Hiring

PwC Saratoga data shows requisition to day-one runs close to 100 days, because it includes all the post-offer administration.

Multiple industry summaries and platform data point to an average time-to-fill a position is around 42 days across broad employer datasets as of 2025 — note this varies by country and industry.

Bersin and AMS analysis shows hiring averages around 44 days in many markets.

Remote reports an average of three days to onboard once workers complete self-enrolment.

Independent market reviews note most EOR onboarding setups fall between two and six weeks, depending on country and complexity.

Some providers (e.g., Deel, Remote) advertise timelines of 2–10 business days if documents are ready.

Market summaries confirm typical onboarding takes one to six weeks in practice.

Indian vendors promote onboarding within 2–10 business days, compared to months for setting up a new entity.

Trade.gov notes foreign companies usually wait about three weeks to open a U.S. bank account.

Companies House can form a UK company in a day, though banking and KYC add delays for non-residents.

UK guidance shows business accounts for non-residents can take four weeks to three months to approve.

German GmbH/UG formation typically takes two to eight weeks, depending on court and notary schedules.

Global payroll providers note that new country payrolls often need one or two full cycles to settle.

Payment KYC usually clears within one to three business days if systems are optimized.

Mandatory tax and benefit registrations may add days before a hire is fully integrated.

Most checks finish in two to five days, though cross-border cases can stretch longer.

Work permits remain one of the longest delays, often taking weeks or months depending on country.

SHRM surveys show nearly half of candidates accept but later back out of offers.

SHRM reporting links ghosting to slow processes and poor communication.

Multiple market analyses project sustained EOR sector growth averaging around 6.8% annually from the mid-2020s to early 2030s, as businesses increasingly adopt global employment solutions.

Deel exceeded $1B in annualized revenue for the first time in Q1, powered by a 75% YoY uptick in revenue. This rapid scale, coupled with sustained profitability and growing margins, highlights the surging global demand for EOR and HR tech services.

Public benchmarks show monthly fees ranging from $199 to over $1,000 per employee, or 5–15% of payroll.

Providers promote EOR as the quickest way to hire in a new market without entity setup.

A Brandon Hall/Glassdoor study found that organizations with strong onboarding programs see an average 82% improvement in new-hire retention; they also report >70% gain in early productivity.

Case studies show teams filling urgent roles in days-to-weeks through EORs versus months when building an entity.

Many providers support moving people from EOR payroll to a company’s direct payroll once an entity is ready.

Some global payroll vendors don’t just process payroll — they also control the payment rails (the actual transfer networks). By bypassing slower intermediary banks, they can guarantee employee funds arrive within 2–3 business days after payroll approval.

Even when you hire through an EOR, you can’t skip local employment law. In unionized or heavily regulated markets, onboarding can still take extra days or weeks because of rules like mandatory notice periods, collective bargaining agreements, or statutory registrations. Example: in parts of Europe, you might need to register with a works council or notify a labor authority before the hire is fully compliant.

An EOR can handle payroll and compliance fast, but immigration is always a government-controlled process. If your candidate needs a new work permit or visa, the timeline isn’t days or weeks — it’s often months. The EOR doesn’t change that; at best, they can help with the paperwork. This is the single biggest variable you can’t compress.

If the hire already has work rights in the country, onboarding through an EOR is typically a few days to a few weeks (once documents are in). If you need to set up a legal entity and bank account, onboarding stretches into weeks or months. This “rule of thumb” is useful for HR teams setting expectations with hiring managers and executives, it explains why EORs are seen as the fast-entry option for urgent roles.

Employees who have a positive onboarding experience are 70% more productive in their roles. This higher productivity often comes from better clarity about expectations, faster confidence in their work, and a stronger sense of belonging.

Despite the benefits, only 12% of U.S. employees say their company has a good onboarding process. This shows a massive gap between what employees expect and what organizations are currently delivering.

Almost half (47%) of businesses face onboarding challenges due to infrastructure issues, such as system access, hardware availability, or coordination delays. These logistical problems can slow down the process and create frustration for new hires.

About 26.5% of HR professionals report that their company lacks dedicated onboarding technology. Without digital tools, HR teams often rely on manual processes, which increases the risk of errors, delays, and a poor employee experience.

During the COVID-19 pandemic, remote onboarding created unique difficulties. 51% of managers reported that engaging candidates was the hardest challenge. Without in-person interactions, many employees felt disconnected during their first weeks, impacting morale and integration.

As remote work grows, onboarding has shifted online. By 2024, 38% of businesses were conducting onboarding through dedicated platforms. These digital-first approaches streamline compliance and training, making remote hiring more scalable.

Even with technology, 37% of HR professionals say the lack of physical presence remains a big challenge. Building culture, trust, and engagement is harder when face-to-face interaction isn’t possible.

The demand for onboarding solutions is driving rapid growth in the tech market. By 2026, the global onboarding software market is projected to reach $1.7 billion, reflecting how organizations are investing heavily in tools to improve the employee experience.

Forward-looking companies are testing immersive technologies like virtual reality (VR) and advanced AI to create interactive onboarding. This can simulate real work situations and give employees a more hands-on, engaging introduction.