HR outsourcing service in Philippines

Until recently, companies used to outsource only payroll and benefits administration to other companies. However, HR outsourcing is a relatively new phenomenon. HR business process outsourcing in Philippines has grown immensely over the years. HR outsourcing can perform all the recruitment functions like the assessment of departmental needs and placement of employees in appropriate business departments.

Human resource outsourcing in Philippines has become increasingly popular, especially for employee data organization and payroll calculation. However, many organizations prefer to handle recruitment and termination of staffs locally. An external organization handling it may not understand the internal requirements of the company.

Outsourcing saves a lot of money as many service providers are able and willing to perform the tasks at pretty low costs. HR outsourcing enables companies to concentrate on their focal functional areas. However, the main disadvantage with outsourcing human resource functions is that there is no personal contact between the personnel and the human resource department. This means that the personnel problems of employees cannot be easily addressed or communicated. Occasionally, outsourcing may also pose a security threat in terms of breach of sensitive personnel information.

Cost is the deciding factor while selecting an HR outsourcing service provider for most companies. On the other hand, some companies place more importance on the compatibility of work ethics. It is advisable to hire outsourcing service providers that have adequate experience in human resource functions and the necessary infrastructure and employee to carry out the job.