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More Businesses Saving Money by Outsourcing HR

February 23, 2012 | Comments: 0 | Views: 180

Almost every business has employees, meaning the need for human resources (HR) is a necessary must. Whether your business is small or large or somewhere in between, you can still benefit from an HR specialist.

In times where all businesses are feeling the sting of a tough economy, outsourcing certain needs such as HR to outside vendors may seem like another expense you don't need. If you think you've got your HR needs under control, think again! Top reasons business owners seek out HR consultant firms include:

It Takes Time

If you're tackling all the HR needs on your own or have assigned them to another person who is also time-strapped, the results will be poor. Even if you only have a handful of employees, HR means taking care of the "human" side of personnel. With payroll, benefits, tracking vacations, sick and personal days, one person can't do it all. In addition, what about federal and state quarterly reports, workers' compensation claims, retirement benefits and general HR policies and procedures? All of things should be dedicated to an entire department or by outsourcing your HR needs.

You Can Save Money

Really, save money? Your time or that of a department supervisor is valuable. Every moment spent on human resources means time you're not tackling your own tasks. How much is your time worth hourly?

Affordable Plans

Most HR business services have affordable plans in place for all business sizes. Or, HR outsourcing can rid you of tasks you have no time for, such as required reporting. Seek out companies who offer a plethora of menu choices where you pick and choose desired services. You don't need to outsource every element of your human resource needs-only the ones you feel stymied about or aren't qualified to perform.


Company audits are bothersome. These include business insurance audits, workers' compensation audits, and even compliance audits. For each of these audits you will need accurate records on time worked, employee hire and termination dates, and easy access to payroll reports. If you don't have a dedicated HR department, by outsourcing these needs, all you need to do is make one phone call to obtain these audit essentials.

State & Federal Rules

How knowledgeable are you about federal labor laws or the laws your state requires when it comes to employees? Do you know anything about the Americans with Disability Act (ADA) or the Family Medical Leave Act (FMLA)? What is an exempt and non-exempt employee? What is the minimum wage requirement in your state; is it the same as the federal minimum wage? What about overtime laws? If you don't pay attention to HR rules, which change often, especially on the federal level, by outsourcing, you'll save yourself many headaches-even avoid employee lawsuits.

These are just some of the reasons you should consider an outside vendor for all or some of your HR needs-you can probably think of even more! Many of these organizations will help you write policy and procedures manuals and help you create legal employee warning and termination forms. In actuality, hiring an employee means a lot more than saying "You've got the job." If human resources are not your expertise and you don't have an entire HR department, consider utilizing an HR specialist to help you be a smarter employer.

If you need help finding an HR consultant, why not look to some B2B marketplace options? These online sources will lead you to the professionals you need no matter what size your business.

Clay Taylor writes for, an online B2B services marketplace based in Austin, TX. SourceFound provides an easier way for businesses to find and connect with vendors for their service needs. Clay graduated with a degree in Journalism from Michigan State University and held a wide variety of positions before landing in Austin, including groundskeeping, freelance writing/editing, "sandwich artistry," zipline guiding and hotel night audit. His interests include yoga, serialized TV and sour candy.

Source: EzineArticles
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