MGIC - Personnel Classification

Personnel Classifications

Purpose

The purpose of this policy is to define and standardize the classification of personnel that Maryland Global Initiatives Corporation (MGIC) may engage to support the operational, programmatic, and administrative functions of the University of Maryland, Baltimore (UMB) and other constituent institutions using MGIC services (hereafter called Affiliate Entities).

Background

MGIC engages employees and independent contractor services across various countries to perform duties for Requesting Units. When employees are needed in foreign countries, MGIC retains personnel through Employer of Record (EOR) service providers to comply with applicable laws of the jurisdiction in which employees are retained. To ensure compliance with varying labor, immigration, and tax regulations and ensure fair, equitable, and lawful engagement of individuals, MGIC has established several personnel classifications in accordance with local laws and MGIC and UMB policies.

The International Operations (IO) division of UMB’s Administration and Finance department administers the MGIC mechanism and manages the MGIC human resources (HR) function.

Policy Statement

1. Employees: MGIC may employ personnel in the classifications below, in consultation with the applicable Requesting Unit and with the legal guidance of the EOR:
   • Local employee is a locally hired employee who is a citizen of the country in which they are employed. Employment visa(s) for this category of personnel shall not be sponsored by UMB, Affiliate Entities, or MGIC. Local employees are subject to all statutory benefits and obligations of the jurisdiction of employment.
   • Foreign National employee is an employee who is not a citizen of the country in which they are employed. These employees are required to comply with the country’s residency and work authorization laws, and they must meet all immigration requirements prior to engagement. Foreign National employees may have other benefits beyond those provided to local employees as stipulated in the employment agreement, including support to obtain an employment visa.
   • Full-time employee is an employee who is regularly scheduled to work at least forty (40) hours per week, or one hundred (100) percent of the full-time work week as defined in the employment contract. Benefits, such as annual and sick leave, are fixed, provided for full-time employees as mandated by local labor law. This is applicable to both local and foreign employees.
   • Part-time employee is an employee who is regularly scheduled to work fewer than forty (40) hours per week or fewer than the full-time work week as defined in the employment contract. Benefits, such as annual leave and sick leave will be provided for part-time employees as mandated by local labor law. This is applicable to both local and foreign employees.
   • Temporary employee is an employee who is regularly scheduled to work for a specified short-term period. Benefits, such as annual leave and sick leave will be provided as mandated by local labor law. Short-term employees are paid through payroll and must complete timesheets to receive compensation. This is applicable to both local and foreign employees.
2. Consultants: MGIC will procure the services of independent contractors, also called Consultants, rather than hiring employees, when the scope of work required by the Requesting Unit aligns with the labor classification of Contractor rather than Employee. MGIC must maintain clear differentiation between the roles and scopes of Employees and Independent Contractors (Consultants) to comply with international and local labor classification standards. See MGIC Procurement Policy for more information on retaining independent contractors.
3. Interns: MGIC may host internships for professionals in training or students. While these engagements may or may not be paid depending on local circumstances and requirements, interns are not considered employees of MGIC, and there is no obligation to hire individuals who have served as interns. All internship engagements must be carried out in accordance with local labor law.

Scope

This policy applies to MGIC personnel, to the UMB administrators of the MGIC mechanism, and to the Requesting Units of UMB or Affiliate Entities employing personnel through MGIC.

Responsibilities

1. IO division staff: Ensure the appropriate classification and category of employees hired through MGIC. Maintain accurate labor classifications between employees and independent contractors within MGIC. Advise Requesting Units on applicable legal requirements and employer obligations.
2. Requesting Units: Comply fully with this and related policies.

Procedures

See MGIC Standard Operating Procedures

Documentation Requirements

• Offer Letter
• Employment or Service Contract

References

• MGIC Global HR Handbook
• MGIC Policy on Procurement