Offshored Terms of Service for US clients

These Terms of Service explain what Offshored provides, how our partnership works, and what we both commit to. By engaging Offshored, you agree to these terms.

In these terms, "Offshored", "we" and "us" means Offshored Pty Ltd (ABN 84 664 866 433), the Australian company you contract with and pay, together with Australian Pathways OPC (Company Reg. 2023010082245-00), the Philippine company that legally employs your team members.

What we do

Offshored recruits university-educated Filipino professionals, who are employed in the Philippines by Australian Pathways OPC and assigned to work under your direction and supervision. Australian Pathways OPC handles all Philippine employment obligations, including salaries, benefits, social security and taxes, so you can focus on your core business. We also provide HMO private health insurance to all employees on completion of their six-month probationary period. For how this structure works under US law, see Is offshore staffing legal for US businesses?

Work arrangements are set in your Memorandum of Understanding (MOU). The standard structure is Monday to Friday, 8 hours per day, at times you specify. Employees work remotely or from our office as agreed.

Working US hours

Team members who work your US business hours work a night shift in the Philippines. The night shift differential required by Philippine labor law is included in your monthly fee and is never billed separately.

Holidays and days off

US federal holidays

Your Offshored team members take the 11 US federal holidays set by 5 U.S.C. 6103 as paid days off, in place of the Philippine public holiday calendar. Your monthly fee does not change in a month with a holiday. The full list and this year's dates are in the US FAQ.

Work on a Philippine regular holiday (Official Gazette of the Republic of the Philippines) needs your written approval, and the additional pay Philippine law requires for that day (twice the regular rate, Labor Code Article 94) is billed on your next invoice.

Paid leave allowance

Offshored team members receive the following paid leave allowances, which can be used for vacation or illness:

• Years 1 to 2: 10 days (prorated in year 1)
• Years 3 to 4: 15 days
• Years 5 and beyond: 20 days

Leave requests are at your discretion to approve, but you must allow your team members to use their full entitlement each year. A maximum of 3 days of unused paid leave can carry over to the following year, and additional unused leave is not convertible to cash.

You may direct your team to take time off over the holiday season to match your office schedule, but let them know early so they can plan accordingly.

In the case of unapproved absences for illness or personal emergency, your team member will notify you before the start of their shift. Any unapproved absence exceeding 2 consecutive days requires a medical certificate.

Leave in excess of the team member's annual paid leave allowance is unpaid, and your December invoice will be discounted accordingly.

Additional hours and overtime

If you need a team member to work extra hours beyond 40 per week, we can arrange it, but it is always the employee's choice to accept. We do not bill you for overtime. Instead, extra hours worked convert to paid leave (for example, 2 extra hours worked = 2 hours added to their leave balance). Any additional hours require your prior written approval to be compensable.

If your business observes a state or local holiday that is not a federal holiday, your team member can take it as paid leave from their allowance, with your approval.

Attendance and timekeeping

Your team members log into our timekeeping platform at the start and end of each shift (via desktop or laptop browser). Early logins and late log-outs are not converted to additional leave unless you request it by email.

If a team member logs in late, it counts as tardiness. For every hour of cumulative tardiness, one hour is deducted from their paid leave balance. Repeated tardiness is subject to disciplinary action at your request.

You can request attendance records or leave balance summaries at any time.

Communication expectations

During work hours, your team member will be responsive and proactive. They are required to keep notifications on and monitor any communication platforms you require. Messages you send must receive a response within 10 minutes, except during meetings, approved breaks, or when preparing a detailed response.

Performance reviews

Annual reviews

Your team members submit an annual self-assessment covering their strengths, areas to improve, and progress on their goals. We then hold a collaborative review with you, us and them in November.

Salary increases

During the review, they can make the case for a salary increase based on their performance. We will share their attendance and any disciplinary records; you make the final call. Any agreed salary increase takes effect on January 1 and our monthly service fee will be adjusted accordingly.

Performance issues

If your team member is not meeting expectations, let us know immediately. We will ask for your feedback after the first month, then annually in October.

In the first instance, we will mediate between you and your team member to address the issue. If there is a serious breach, or their performance does not improve, we will terminate the employee at your request and assume liability for any resulting dismissal claims.

If you request that a team member be terminated, we require a written report from you documenting the performance issues and the steps taken to address them before termination. We also require two weeks' notice before the termination date. This ensures all terminations are conducted respectfully and in compliance with Philippine labor law.

We will provide replacement candidates for your review before the termination date, to keep disruption to your business to a minimum.

Ending your partnership with Offshored

If you decide to end your partnership with Offshored, we require 30 days' notice. If notice is given part-way through a month, the following month's invoice will be prorated based on the remaining notice period.

For example, you give notice on March 15 and your March invoice has already been paid; your April invoice will be prorated to half of the monthly service fee. If the termination is due to redundancy, we cover the employee's legally required separation pay (30 days' notice plus one month's salary per year of service).

Invoicing and payment

You pay an all-inclusive monthly fee set in your MOU. There are no additional charges except approved Philippine regular holiday work and the late payment fee below. Our service is free of charge until you select a team member to join your team and sign an MOU.

Currency

Offshored Pty Ltd invoices US clients in US dollars. No GST or VAT is charged on the fee.

Invoice timing

Invoices are sent on the 15th of each month (unless requested otherwise) and are due on the 30th, in advance of the work period (for example, payment for October 1 to 31 is due on September 30). You pay by domestic US transfer, ACH or Fedwire, to Offshored Pty Ltd's US dollar account. We ask that you treat our invoice due dates with the same priority as paying your own direct employees.

If you select a start date that is not the 1st of a month, the first month is prorated. You will be invoiced for the prorated first month plus the second month, and this is due before your selected start date.

Late payments

A late payment fee of US$30 per day, per employee, applies to invoices not paid by the due date. If you foresee a late payment, let us know in advance with a realistic timeline for payment and we can waive the fee at our discretion.

If an invoice remains unpaid for 7 days past the due date, we may suspend service. During suspension, we still pay the employee, but they will not perform any work duties. Billing continues and you remain liable for all fees. Service resumes immediately once we receive full payment of the overdue amount.

Tax forms

Offshored Pty Ltd provides a completed IRS Form W-8BEN-E to any US client on request.

Data security and confidentiality

Your team member commits to protecting any confidential data they access. You provide the security protocols and can update them at any time. They must comply with your policies on data handling, cybersecurity, access control, device and network security, password management, and data retention or deletion. The controls we put around every team member are set out on our data security and quality assurance page. How we handle personal information is set out in our privacy policy.

Any unauthorized access, disclosure, copying, transmission, loss, misuse or theft of data is a serious breach and may result in immediate termination, civil liability including claims for damages, and criminal prosecution under Philippine or other applicable data protection laws (including the Philippine Data Privacy Act).

We ensure employees understand these obligations through their employment contract and onboarding. You can require a separate Non-Disclosure Agreement if needed.

Healthcare clients

If your business is a HIPAA covered entity, Offshored will sign a business associate agreement with you before your team member has access to protected health information.

Governing law

These terms and your MOU are governed by the law of the Philippines.

Questions

If something is not clear or you wish to discuss these terms, email connect@offshored.net or WhatsApp +61 485 065 141.

Acknowledgment

By engaging Offshored, you agree to these Terms of Service.

Offshored Pty Ltd, ABN 84 664 866 433. Terms of Service for US clients, 2026 edition.