Yes, an EOR can help you set up compliance with a US Laws, especially when it comes to reporting and tax obligations related to foreign operations. An EOR is particularly useful for compensating individuals who do not reside in the U.S. or do not have a U.S. work visa.

Individuals employed through an EOR can indeed be considered employees of your company in a functional and operational sense. However, legally, they are employees of the EOR. This means the EOR is responsible for their employment rights, payroll, taxes, and adherence to local labor laws. Your company directs their day-to-day activities and integrates them into your team as you would with any employee.

Coincidentally, the reason I know this is because I currently work at a company that recently launched an EOR: https://www.justworks.com/blog/what-is-an-employer-of-record...