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Onboarding Requirements for EOR Employees in Ecuador & Their Purpose

Globalli ensures that mandatory registrations are completed before payroll processing.This article outlines the required onboarding documents and registrations in Ecuador and explains their purpose

Updated over a month ago

1. Tax Identification (RUC / Cédula)

Requirement:

Employees must provide valid tax identification:

  • Ecuadorian nationals: Cédula de ciudadanía

  • In some cases: RUC (Registro Único de Contribuyentes), if applicable.

Purpose:

  • Enables income tax withholding

  • Required for payroll reporting

  • Ensures compliance with Ecuadorian tax regulations

The Cédula number is typically sufficient for employees under standard employment.

2. ID Card or Passport and Visa

Requirement:

  • Ecuadorian nationals: Valid Cédula

  • Foreign nationals: Valid passport and appropriate visa/work authorization

Purpose:

  • Verifies identity and nationality

  • Confirms legal right to reside and work in Ecuador

  • Required before employment begins

Foreign nationals must have the correct visa category permitting employment.

3. IESS Registration (Social Security)

Requirement:

Employees must be registered with the Ecuadorian Social Security Institute from their first day of work.

Coverage Includes:

  • Healthcare benefits

  • Pension contributions

  • Disability and maternity benefits

  • Workplace risk insurance

Purpose:

  • Provides access to social security benefits

  • Mandatory employer and employee contributions

  • Required for legal payroll processing

Failure to register employees with IESS may result in penalties.

4. Bank Account Details

Requirement:

Employees must provide local bank account details for salary payments.

Purpose:

  • Enables compliant electronic salary transfers

  • Ensures payroll transparency

  • Required for accounting and reporting compliance

5. Written Employment Contract

Requirement:

A written employment contract must be signed and registered.

Purpose:

  • Establishes the legal employment relationship

  • Defines salary, working hours, and duties

  • Must be registered in the Ministry of Labor’s online system (SUT)

  • Required for labor compliance inspections

Contracts must generally be registered within 15 days of signing.

6. Work Schedule Registration (SUT System)

Requirement for Gloaballi:

Globalli will register employment information and work schedules in the Unified Work System (SUT).

Purpose:

  • Officially records employment details

  • Ensures compliance with labor regulations

  • Required for Ministry of Labor oversight.

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