78% of CFOs Reported Losing Up to $1M Due to Noncompliance When Expanding Globally According to New Safeguard Global Report

Despite confidence in global hiring, the report found noncompliance and geopolitical disruption are keeping CFOs from pursuing global growth

AUSTIN, TEXAS, Aug. 4, 2026 /PRNewswire/ -- CFOs face economic volatility as well as skills shortages that lead them to look abroad for talent, yet according to a new report from Safeguard Global, a pioneer in workforce enablement and creator of the global employer of record (EOR) category, their confidence in hiring is often contradicted by restraint.

According to the report, "The Global Hiring Confidence Series: Untangling the CFO Paradox Between Confidence and Restraint," which surveyed 400 CFOs in the U.S. and the U.K., 97% of CFOs are interested in global hiring, and 96% believe their company is prepared to hire workers globally.

CFOs are also highly involved in global hiring, with two-thirds involved in all final decisions. Given their clear ownership of financial oversight, it's unsurprising that 79% of CFOs identified cost savings as the most important metric when hiring globally. However, their heavy focus on costs may be downplaying the complex nature of hiring in a specific country, leading to potentially high-risk decisions that ultimately undermine their global talent strategy. 

 How much are CFOs losing to noncompliance?

This disconnect highlights a broader CFO paradox between high confidence and significant growth challenges, causing CFOs to pause expansion. Facing geopolitical conflict, an ever-changing compliance landscape, and economic uncertainty, CFOs' global hiring actions do not match their enthusiasm.

Most notably, every CFO surveyed – 100% of CFO respondents – admitted their organization had suffered financial losses due to noncompliance when expanding globally. More than three-quarters (78%) of CFOs reported losing up to $1M, and 22% reported losing over $1M in noncompliance-related losses when expanding globally. Breaking it down across countries:

• 30% of U.S. CFOs reported losses of $1M USD or more.
• 14% of U.K. CFOs reported losses of $1M USD or more.
• 70% of U.S. CFOs reported losses of up to $1M USD.  
• 86% of U.K. CFOs reported losses of up to $1M USD.

While financial losses from noncompliance are a major reason organizations pause global hiring, the report also revealed that headwinds from geopolitical conflict have contributed to their hesitation, as they've increased budget to support employee relocation (38%), delayed or reduced hiring in affected regions (36%), and increased contingency or buffer budgets (36%). Additionally:

• Two in five (40%) CFOs said geopolitical disruption has made their organization more cautious about hiring globally.
• More than a third (38%) reported that it has hindered their company's ability to expand.
• Nearly one in five (19%) have relocated an existing employee to another country due to geopolitical conflict in the last 12 months.

 Why are CFOs pausing global expansion?

These challenges have contributed to an overall reluctance among CFOs to actively pursue global expansion. More than a third (37%) of CFOs said their organization is prioritizing domestic hiring over international hiring, planning to decrease cross-border hiring, or both. Just 22% of CFOs said their organization has plans to hire globally in the next six months.

Specifically, CFOs across both countries identified a variety of situations that created operational difficulties during global expansion. The top challenges were:   

• Making a first hire in a new country
• Testing hiring in a new country before deciding whether to expand there
• Managing workforce changes linked to an acquisition, merger, or restructure
• Supporting short-term, project-based, or seasonal hiring across countries
• Fixing or reviewing an overseas employment arrangement because of compliance concerns

"The challenges CFOs face in managing global hiring — from both inside and outside their organizations — are only becoming more complex. While they're confident in their ability to manage cross-border hiring and capitalize on global opportunities, many may underestimate the resources needed to navigate the realities of international employment," said Florence Cazemajou-Flint, chief financial officer, Safeguard Global. "That's the CFO confidence paradox in a nutshell: confidence is high, but execution remains difficult. To bridge the gap, CFOs need more than confidence — they need the right support to simplify compliance, reduce risk, and scale global hiring with certainty."

When asked what would enhance CFOs' ability to handle the complexities of global hiring, the top three responses were: help with local contracts, payroll, or benefits; clear, country-specific compliance guidance; and the ability to achieve faster onboarding timelines. Support and guidance from in-country global employment experts can reduce the challenges of global hiring and help CFOs translate their confidence into action.

Download the full report to learn more.  

About the Study

This report is based on a survey of 400 CFOs across the U.S. and U.K., conducted by Censuswide and commissioned by Safeguard Global.

About Safeguard Global
Safeguard Global enables global expansion without the risk. As a pioneer in global workforce enablement and employer of record (EOR) solutions, Safeguard Global helps organizations quickly and compliantly recruit, hire, pay, and manage teams in 187 countries, without establishing legal entities. The company's technology platform is backed by over 400 local experts working in 80+ countries who deliver human support when it matters most. With a breadth of global workforce solutions that also includes HR, benefits, accounting, legal, visa and immigration, and tax services, Safeguard Global guides customers with the expertise and support they need to scale faster and hire compliantly around the globe — wherever they are in their expansion cycle. Learn more at https://www.safeguardglobal.com. Follow Safeguard Global on LinkedIn.  

For media inquiries: safeguardglobal@pancomm.com