What is HR outsourcing?
HR outsourcing involves hiring a third party company to manage human resources instead of employing an in-house HR team. Should you hire a third party to manage your HR? Read more in our guide to HR outsourcing.
- Your business can redistribute any or all of its HR processes to a human resources outsourcing (HRO) service.
- An HRO can save your company money you would otherwise spend on salaries and wages for HR personnel while introducing a heightened level of HR expertise to your company and employees.
- HROs can help your business comply with several rules and regulations in various areas, including employment law, payroll, benefits management, recruiting, hiring/firing and more.
- This best picks page is for business owners and decision-makers who are considering whether they should partner with an HRO to conduct some or all of their HR processes.
A growing number of small and midsize companies are partnering with human resources outsourcing services, or HROs, to help alleviate the complexity and burden of managing various HR administrative processes. HROs have expertise in labor laws, employee benefits and compensation management, hiring and onboarding, employee tracking, and retirement planning, and they can be a smart way to help manage your HR department.
In addition to our reviews, we walk you through the do’s and don’ts of choosing an HRO. Since an HRO effectively becomes your HR department, including the primary contact point for your employees whenever an issue arises, you want to choose an effective partner who won’t let you down.