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Top 3 Benefits of Human Resources Outsourcing

Posted by Stacey Jones


Aug 13, 2019 9:00:00 AM

adult-asking-blur-630839Outsourcing is a more popular choice than ever. More companies are choosing to team up with experts for the delivery of everything from IT services to accounting.

Outsourcing makes sense for an international company operating in several different countries. Each country will have different regulations about how your business performs certain tasks. In many cases, it’s beneficial to have on-the-ground service from a provider in that country.

Human resources outsourcing is one of the more desired options for companies with global reach. If you’re thinking about expanding, you may wonder if you should send your HR functions to a partner provider. These top three benefits should convince you that it could be the right move for your business.

1. Human Resources Outsourcing Saves Time and Money

The top reason any business leader decides to send a service to a partner is because it saves time and money.

It’s easy to see how HR outsourcing can do just that, especially for an international firm. Tasks like payroll and compliance monitoring are ongoing, which means you must continue administering them. These jobs eat up your HR team’s time, especially if your team isn’t familiar with the rules and regulations in another market.

Take a look at payroll. Differences between US payroll and Canadian payroll trip employers up repeatedly. The result is penalties, as well as a frustrated HR team who spends more time on this task than they need to.

When you decide to outsource, you partner with an expert team. They already know the ins and outs of providing payroll or employee management in your chosen market. With their knowledge in hand, administering payroll or calculating vacation pay becomes a breeze. Your HR team saves time, frustration, and money.

2. Outsourcing HR Provides More Flexibility

For global companies, “flexibility” has become more than a buzzword. It’s integral to your survival in a hypercompetitive international market.

Flexibility allows your company to go with the flow, responding swiftly to the market’s ever-changing demands. When you outsource HR, you bring that same flexibility to your personnel and employee management.

Your team can be as lean as you need, and the right HR team in your corner helps you both find and keep the talent you require to compete on the global stage. Better management helps you streamline your HR offerings and deliver more of what your employees expect of you.

Finally, your HR team itself becomes more flexible and adaptable. If you require more help during tax season, it’s easy to add the hands you need.

3. Outsourcing Gives Employee Satisfaction a Boost

Many of the benefits of HR outsourcing are focused on how the service directly aids the company. Have you thought about the impact it has on your employees?

An HR provider usually offers better, more efficient HR service, which can help keep your employees happy. The provider could help you administer benefits. Some providers will not only assist you in locating talent, but they’ll work with you to create employee development plans as well.

More efficient delivery of HR service also keeps your employees satisfied. They’ll know about changes to policies, and payroll will be done correctly and on time. Benefits, learning opportunities, and even workers’ compensation become more transparent.

Finally, working with an HR provider helps global companies improve HR communication with their team. Therefore, your employees will be more satisfied, as they know they will get clear answers sooner.

All of this adds up to employees who not only stick around longer, but who give you their all. When they arrive in the office, you know they’re ready to give you 110 percent.

Find the Right HR Outsourcing Partner

If you want more flexibility, happier employees, and a more efficient HR team, it’s time to talk to the experts. Discover how the right human resources outsourcing solution can help your company succeed on the global stage.

Topics: Outsourced HR Management, human resources, Outsourcing HR

What Are the Differences Between a PEO and a Staffing Agency?

Posted by Stacey Jones


Aug 1, 2019 8:00:00 AM

Any business owner or HR manager with a growing business knows that workforce expansion is necessary. This is especially true for international companies who are planning to enter new markets, as this will require a company to staff the new branch office in the new market or handle payroll and compliance for remote staff working out of country.

adult-businessman-contemporary-937481When it comes to employing people, you have a few different partnership options, which can make it difficult to know exactly which type of organization you should hire. Do you need the services of a staffing agency? Or do you require the services of a professional employer organization (PEO)?  

If you’ve ever wondered about the differences between a staffing agency and PEO, you’re not alone. Learn what sets these organizations apart and which could be right for your business.

What a Staffing Agency Does

Most people have heard of a staffing agency and they’ve been around a bit longer than PEOs. 

In the mid-20th century, agencies designed to help other companies with their staffing needs emerged in the United States. Most of the time, these agencies provided workers to a client work site on a temporary basis.

Today’s staffing agencies frequently offer additional services, and in many cases, can provide workers on a permanent basis. In fact, some staffing agencies specialize in finding and placing permanent employees, especially in certain industries where there is a high demand for specialized skill and talent.  However when you make a permanent hire through an agency, you assume responsibility for the employee and if you are not setup in that country as an employer you will not be able to compliantly payroll the worker and submit required taxes and burdens.. 

What a PEO Does

PEOs emerged in the 1980s in response to employers’ evolving needs. The 1980s and 1990s were an era marked by rapid global expansion, and many international companies found they needed more than what most temporary staffing agencies could provide.

The PEO was the solution. The PEO offers comprehensive HR services to the client employer. While some of these services overlap with some staffing agencies today, the PEO has traditionally offered payroll services, compliance monitoring, insurance, and more.  As they act as a co-employer it allows a company not set-up in country to hire staff out of country compliantly.  It also allows them to offer the worker similar offerings to their in country staff such as benefits and RRSP’s (401K). 

What’s the Difference?

While staffing agencies and PEOs do have a few services that overlap, there are at least two major differences between these two types of organization.

The first difference is key. Who will employ the workers

In the case of a temporary staffing agency, the agency supplies workers to client sites. These workers remain in the employ of the agency. The situation changes in the case of permanent employees. When you make a permanent hire through an agency, you assume responsibility for the employee and therefore would need to be set up in country to take on the employee onto your payroll.

The PEO, on the other hand, acts as a co-employer, which means they share responsibility for the employees. They’ll supply many of the HR services needed, but decisions about hiring, termination, and compensation are left up to the client employer.  If your employee is out of country the PEO will also assist with in country compliance, an important piece when hiring in a country where you are not aware of the employment laws and legislations. 

Another way to think of the difference is to think about what you’re outsourcing. Both organizations are focused on HR tasks around your workforce. With the staffing agency, you’re outsourcing your hiring process and the associated tasks, while with PEO, you’re outsourcing only the administrative tasks, payroll, and compliance associated with your workforce.


Finding the Services You Need

Global companies entering new markets face HR challenges from every direction. That can make it difficult to know who you should work with.

In some cases where you need assistance in finding the right candidate, it makes the most sense to work with a staffing agency. In other cases, where you already have your employee the PEO could be just what you need. There are even situations where it makes sense to call on both a permanent staffing agency and a PEO.

It ultimately comes down to knowing what services will best meet your business’s unique needs. 

Discover how the right partner can help you create a long and lasting relationship with those talented workers.

Topics: PEO Services, Outsourcing HR, Business Expansion

5 Reasons to Outsource Employer Services

Posted by Stacey Jones


Jul 12, 2019 11:00:00 AM

As an employer, you’re well aware of the responsibilities that come with hiring people to work for you. You must stay up to date on employment legislation, as well as confirm you have the right insurance, among other tasks. Payroll, employment contracts, and even employee benefits all have to be considered. 

Your responsibilities increase with each new market you decide to enter. As your business expands globally, so too does your workforce and your obligations to those workers.

You might wonder if it makes sense to outsource employer services. As it turns out, there are a number of reasons you should consider partnering with an expert team to deliver your HR activities.

1. Outsourcing Employer Services Improves Compliance

Complying with employment legislation is a challenge for companies that operate in just one marketplace. Laws are always changing, and you need to ensure your team is in step with the requirements. You may also have to keep records, which could pose its own challenge.

As soon as you expand your business to another marketplace, you take on additional compliance responsibilities. Your team now must learn additional sets of employment laws. Your policies and procedures will have to be reviewed and revised for each new country or state.

Outsourcing employer services can help. By bringing an expert team onboard, you’ll get the knowledge and advice you need to make sure every move you make is in line with the law.

2. Offer More with Expanded HR

Sending employer services out of house is a smart move for many small and mid-sized businesses, because it allows them to offer more to their employees.

You might be concerned with payroll, but working with the right team can also give you access to the insurance and banking services you need in an international marketplace. You may even be able to offer more training opportunities or employee benefits that you couldn’t offer on your own.

3. Working with the Experts Saves Time

One of the reasons you can offer more with outsourced employer services is that you’ll have access to the experts. Their knowledge lets them work more efficiently, which means it’s easier to get more done in a day.

This time-saving effect translates into efficient operations, which also affect your bottom line. With both more time and more money in hand, you could ask the team to carry out another task or fund another training and development workshop.

4. The Advice You Need, When You Need It

Did you know that companies who work with a professional employer organization are 50 percent less likely to close their doors?

There’s an easy explanation for this. When a business expands to a new country, there’s a steep learning curve. You may not be familiar with the laws, but you may also lack the information you need to make informed business decisions.

A PEO can help with more than the administration of payroll. They can offer insights into tax efficiency or the job market in your area. Since the PEO’s already been operating there for some time, they have the knowledge you might otherwise spend years gathering.

5. Get Back to What You Do Best

Perhaps the best reason to outsource employer services is to free up your time. If you’re a small business owner, your time might be better spent on interviewing job candidates or even working on the new marketing campaign.

Outsourcing employer services can also free up your HR staff’s time. Instead of leaving them to wrestle with payroll on a weekly basis, let someone else handle it. Your team can then turn their attention to the tasks that truly need their expertise.

If you’ve been thinking about outsourcing employer services, don’t hesitate to talk to the experts. They could help you assess your business needs and determine if outsourcing is the best move to help your business grow.


Topics: Outsourced HR Management, HR Management, Outsourcing Payroll, Outsourcing HR

Outsourcing HR: How Small Businesses Can Save Big

Posted by Corinne Camara


May 2, 2016 9:00:00 AM

Outsourcing_HR-_How_Small_Businesses_Can_Save_Big.jpgHuman resources can be a massive undertaking, whether you’re the head of a small business, the team leader of a start up, or even in charge of a massive corporation. It's never easy—so much is involved. It’s no wonder that more and more businesses have been outsourcing HR. Sometimes a simple decision can make a huge impact on how a company operates, effecting the brightness of its future. In this case, outsourcing HR could make a massive difference in your budget. Here are some reasons why.

Compare the Costs

Human resources and payroll are two of the most highly specialized, and expensive, areas of business. Because of that, only the largest companies with the biggest budgets can truly afford all the people they need to deal with those tasks effectively. Many smaller companies come up short, forced to make due with the limited resources that they have. This might mean one or two people working full-time to accomplish the job, or one person working part-time, which not only puts a strain on that one employee, but everyone else, too. For those companies that do make room in the budget for more people, they're sacrificing what little margin they have to deal with a peripheral. Not to mention the cost of hiring these specialized employees is also a cost many small businesses and startups can't bear.

When you consider outsourcing HR, you're looking in an excellent direction when it comes to cutting costs. Effectively, an HR provider is a third-party company that can handle any and all HR tasks that come their way for a single, agreed upon fee. Because this is their sole duty, they have all the resources needed to complete the job, meaning you get the expertise of a full team without the cost of one. You also save on training, since HR provider stay up-to-date on any and all changes in the field—which means they can handle anything you throw at them, regardless of policy changes and legal updates.

Save Your Resources

Your people are your most important asset and that's why, as a small company, you don't want to pile the duties of three employees onto one. As evidenced by any successful business, when you overwork an employee, the quality of work tends to suffer, and the same is true when it comes to human resources. When you have one or two people doing a job that can require a whole team of people, it can lead to mistakes and other errors that end up costing big in the long term—legally, financially, reputation-wise, and more.

One of the best aspects of outsourcing HR is the ability to leverage one of your most valuable resources—your people. Instead of being bogged down by paperwork, your employees can expand their know-how and challenge themselves by taking on more critical objectives. With the extra money and time saved, you can hire more talent and invest in your company’s growth. You can attract better employees by being able to offer benefits or have your workers focus on operations instead of day-to-day peripheral work. Outsourcing HR is a great way to make the best of your resources.

Risk Management

Staying compliant can be a difficult thing, especially as laws and policies seem to change monthly. A lot of smaller companies struggle with compliance, since they can't necessarily afford to hire a full-time lawyer to keep an eye on everything. This means the duty of remaining compliant tasked to an overworked human resources team and that's when costly mistakes can occur.

The best thing you can do for your company is to consider outsourcing HR—not just for the time and cost savings, but for the legal protection it offers. They're experts in the law and can ensure the best protection for your company.

What Are You Leaving to Chance by Handling Payroll on Your Own

Topics: Outsourcing HR

4 Things You Won't Need to Worry about When Outsourcing Payroll and HR

Posted by Karen McMullen


Mar 23, 2016 10:30:00 AM

4_Things_You_Wont_Need_to_Worry_about_When_Outsourcing_Payroll_and_HR.jpgBy a large margin, the most complicated and expensive aspect of doing business tends to be payroll and human resources (arguably, it can also be the most frustrating as well). That's why so many businesses have started considering outsourcing payroll and HR, in a desperate bid for efficiency, simplicity, and compliance. There's a lot to think about when it comes to making a decision, but there's also a reason why a lot of businesses have already made the switch. We can highlight four reasons why outsourcing payroll will help ease the burden.

1. Navigate Complex Legal Requirements

Perhaps one of the most difficult parts of business is managing all the daily legal requirements, from payroll law, human rights and employment policies, health and safety codes, worker classification, taxes, and more. Additionally, it can all change dramatically depending on the province you operate within. This means a big headache for your payroll department—one that occurs on a regular pay cycle to boot. When you outsource payroll and HR, these are all concerns you can leave to a team of professionals who are constantly trained to stay up to date. This means for every change in methods, new tax filings, special requirements, and more, they have it covered and you don't have to worry about it!

2. Stay on a Budget

We know how expensive in-house payroll and HR can be, so how expensive is outsourcing? When you consider that many businesses simply don't have to funds to employ a full team to manage payroll, human resources, and legal compliance, it seems like there are few options but to get one or two people to try to manage it in-house. But outsourcing is actually a lot cheaper than one might think—for a simple monthly fee, all of it can be managed for you and because there are no hidden costs, what you see is what you get. This helps you stay financially on course and is definitely a great way to relieve your daily stress.

3. Save Time and Resources

Have you ever considered how much time human resources and payroll actually eat up? Whether it's a small team, a large team, or simply a single individual, a great deal of power, resources, and time goes into processing all that complicated information. When a company wants to focus on their own goals, it can be frustrating to spend so much effort on a peripheral aspect of the business that isn't related directly to growth. This is where outsourcing payroll and HR is perhaps most popular—when you delegate these important, but non-operational tasks to a third-party, you're freeing up not just your time, but your employees as well. That means they can spend their valuable time working more directly on the companies goals with a great deal more efficiency and efficacy.

4. Simpler Business Expansion

For those companies looking at expansion, there can be a lot of obstacles in the way. When you consider the amount of time and energy that goes into registering a business (which can take weeks or months, depending on the filing), the drawbacks can seem too intimidating, even despite the gains. Therein also lies another problem—when it comes to hiring employees from another country, it can become even more complex. So what does this have to do with outsourcing payroll and HR? Simple: many payroll providers can act as employers of record too, which means you can skirt a great deal of this trouble while maintaining full legal compliance. They'd hire employees on your behalf, pay them, and manage their HR. You can work directly with your new staff as you'd like. Let's be honest—in business, anything that helps you worry less is a great investment.

What Are You Leaving to Chance by Handling Payroll on Your Own

Topics: Outsourcing Payroll, Outsourcing HR

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