5 indicators that you need to outsource your HR

Blog Posted: Wednesday 16th March 2022 by

As important as proper employee management is, you may not have the capacity (or desire) to handle everything in-house, so you may consider outsourcing HR. When you care for your employees appropriately, you improve retention, productivity, and reduce risk. Here we have the top 5 warning signs you need to outsource your HR.

You’re spending too much valuable time managing HR problems

It takes a long time to deal with HR issues. The more time you spend trying to learn about employment law or searching for candidates for a new role, the less time you spend dealing with revenue-generating tasks in your business. Outsourcing your HR allows you to spend time on your business.

You are worried about or have experienced liability exposure

Whether or not you have in-house HR, making sure all your policies, contracts, and practices comply with UK laws is critical. When you outsource your HR, you are ensuring the responsibility lies with someone specifically trained in the legal aspects of HR. the cost of just one unfair dismissal claim could pay for a year of outsourced HR.  

You need to save money

Outsourcing saves money in a variety of ways. For starters, you’ll receive the experience of someone you won’t have to train or reward with company benefits. When you outsource your company’s HR to a skilled outside firm, you invest money, but you also gain time to dedicate to vital business operations and limit your exposure to legal risks. 

The HR lines of accountability are not clear in your business

If your HR functions are spread out amongst your managers and department heads, it is easy for HR tasks to get muddled up as employees may not know who to report a problem to. When you outsource HR, your managers and department heads can focus on their departments without worrying about HR obligations, and you can be certain that you will not encounter legal issues because of carelessly allocating HR tasks.

Your in-house HR staff can’t respond to changes as quickly as you need with hiring tasks and employee management.

When a fantastic opportunity arises, you may need to find and hire employees quickly in order to meet your obligations and fuel business growth. When you outsource HR, you have a lot more resources at your disposal for swiftly seeking and employing the people you need. Losing an opportunity because of an overburdened HR manager who is suddenly assigned additional hiring duties on top of everything else provides your competitors an advantage.

If you’re considering outsourcing your HR but don’t know if it’s right for you or where to start contact us today at 01952 288361 or email alasdair@human-results.co.uk, so we can suggest the right HR and employment law solutions for you and your business.

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