Why Your Business Should be Outsourcing HR


 

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The human resources department of any organization is vital to the overall function of a business. More often than not, businesses overlook HR responsibilities or let them fall through the cracks because of the amount of work it involves. But what we often forget is that HR is needed in order to maintain a positive level of productivity, efficiency and employee satisfaction. This is where HR outsourcing comes in. 

How HR Outsourcing Works

Working with an HRO provides you with a professional team to handle all HR related tasks for your business. Depending on your needs, and HRO can: 

  • Provide assistance with HR issues
  • Ensure compliance 
  • Work to increase employee morale and engagement
  • Provide support and expertise 

Whether you’re a large company looking to perform more efficiently, or a smaller company looking to grow compliantly, an HRO partner will help you every step of the way.

Common Outsourced HR Functions

Not every business is built the same, therefore every business has different needs. Luckily, HR outsourcing encompasses a wide variety of tasks including risk management, compliance, on-boarding and off-boarding, counseling, benefits, worker’s compensation, performance management, training, talent acquisition and payroll. 

Now that we have a basic understanding of what an HR outsourcing provider can do, let’s dive deeper into some of the more attractive tasks HROs handle. 

Compliance and Benefits 

One of the main reasons businesses look to outsource is for compliance and benefits. Any business owner knows the ever-changing environment of state and federal laws that need to be followed, not to mention the hefty fines you can get if you’re not in compliance. Businesses should also want a robust benefits package for employees as it promotes employee loyalty, good reputation and reduces turnover. With an HRO, you can get the best of both worlds as they specialize in staying up-to-date on latest compliance laws, and often work with insurance companies to provide clients with promising benefits packages. 

Recruitment and Training

Recruitment isn’t just about hiring to fill a position, it's about hiring the right people to work for your company. Outsourcing HR functions can help your business find top talent, as well as retain the workers you already have. Your provider can help you set up the right recruitment process in order to find a good fit for your company.

They can also handle the interview process, review applications, post job ads, and narrow down your perspectives so you can decide who the right pick will be. Once you hire a new employee, they can set up training programs to ensure your new employees are properly prepared for their job and more likely to succeed. 

Time and Money

At the end of the day, time is money. HR functions can take up a big chunk of time that could otherwise be spent on strategic planning, marketing efforts, and sales. The ability to free up your time to focus on building your business can be a huge asset, and outsourcing HR can do just that for you. 

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