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Benefits Of HR Outsourcing Services

The decision to utilise HR outsourcing services is typically driven by a combination of factors. Perhaps your business is at a tipping point and you know that you need additional resources to overcome a challenging or busy time. Perhaps you’re planning ahead and understand that you need to streamline your HR processes to continue to grow your business. It might be that you need to reduce your overheads without compromising your HR delivery, and so want to outsource to reduce your costs.

Whatever the reason, HR outsourcing services are increasing in popularity and gaining momentum. If you’re considering this route, here are 6 of the key benefits of HR outsourcing services.

1. Improved Productivity

Did you know that businesses are reported to spend an average of 120 working days per year on administrative tasks? These non-strategic business activities take away from core roles and responsibilities.

If you already have a HR manager or HR team in place, it’s likely that they often become too bogged down with HR administration or fielding HR queries from employees to be able to focus on the more strategic activities that ultimately contribute to the future of your business.

By outsourcing business activities such as HR, your team will be less distracted from those all-important tasks that drive your business forward, ultimately giving productivity levels a boost.

2. Save Time & Money

Do you ever find yourself working late to get a contract to a new starter? Or wishing you had the time to schedule that probation meeting before an employee automatically passed? Maybe you have lost a great candidate because you couldn’t send the offer letter to them for a week as you were busy dealing with other major priorities.

HR outsourcing services can save your business precious time and money. It also ensures that you don’t lose those all-important new starters and that your current employees have a good experience with HR. You can focus on important projects, safe in the knowledge that your HR administration is being completed and employee records are being maintained.

If you were to employ a team of HR professionals, you’ll find yourself with salary expenses, taxes and benefits to pay for. Not to mention the potential demand for a larger workspace. By outsourcing HR services to a third-party partner, you just have one cost to consider; their monthly retainer. This is typically a far more cost-effective way of accessing a broad spectrum of high-quality HR services without the costly overheads.

3. Onboard New Employees Smoothly

HR administration is a crucial part of your onboarding process. First impressions count, especially in this competitive market for talent. Getting it wrong could result in a negative experience for your new starters and/or increased dropout rates during your recruitment process.

Many companies spend a lot of time, effort and money on their attraction and recruitment. However, research has shown that nearly a third of new starters that quit before day one cite poor or no follow-up or a bad experience with the organisation after accepting the offer as the reason.

Don’t miss the mark when it comes to onboarding your new talent. Outsource your HR and ensure that new starters are given the time and attention they need and deserve. We understand that it can be hard to find the time to onboard alongside your daily roles. An outsourcing provider can ensure everything runs smoothly so that you don’t have to squeeze these extra responsibilities into your day.

Want to know more? Check out our blog: ‘Is poor HR administration causing your new starters to quit?

4. Mitigate Risks

It can be tricky to keep up with employment laws and regulations when you are time-poor. However, failing to do so can land you in hot water. It can potentially leave you faced with fines and much wider ramifications. This can, in turn, negatively affect your company’s reputation, resulting in a whole other set of issues.

Protecting your business is a core part of an HR outsourcing partner’s role. They have a strong understanding of employment laws and legislation and have the foresight to safeguard you against all that can go wrong.

This can be especially valuable when working with contractors. You can easily be exposed to risks around legal liabilities, reputational damage and financial losses. HR outsourcing services can protect you from these risks as much as possible and will maintain your employee records, files and documentation in accordance with the law, meaning it’s one less thing you need to worry about.

5. Access HR Expertise

Whether you currently have a HR team or not, utilising HR outsourcing services can give you access to a variety of HR expertise. HR is an incredibly multi-faceted space. From recruitment, pre-employment screening and onboarding to the maintenance of HR policies through to learning and development, a HR expert’s areas of expertise span across many areas.

When you work with a HR outsourcing provider, you’re working with a team of people who have the skills and knowledge to effectively manage all of these things and more. Consider them the best in class! And with this expertise in mind, you reduce the risk of human error with tasks completed efficiently and in line with all the relevant compliance.

6. Improve & Maintain Your Company Culture

Although your business is constantly adapting and developing, it’s important to maintain your company culture. It can be easy to dismiss just how important a role HR plays in this. HR is often at the centre of employee wellbeing initiatives, internal communications and policies and handbooks.

Utilising HR outsourcing services will ensure your processes and procedures continue to comply with your best working practices and the way you want your business to operate. This ensures your internal brand message and ways of working are communicated consistently.


Convinced? These benefits just scratch the surface of what HR outsourcing services can do for you. If you’d like to discuss how we at The Curve Group can help you, get in touch with us today. We offer comprehensive HR administration and Employee HR Assistance services. These are designed to make your business run more efficiently whilst saving you money and time.

You can also download our ‘Business Case for Outsourcing HR Administration’ for more information on whether HR outsourcing services are right for you.

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