Outsourcing HR Services for New Employees: The Benefits for Your Business
Many employers are facing unprecedented challenges due to the current economic conditions and the state of the labor market. At the start of the year, the market is highly competitive, meaning employers will have to focus on retention to keep current employees. Attracting new talent will be a challenge. In many instances, a competitive salary and benefits package may not be enough. Great candidates will also want to appreciate the culture of any workplace.
A great way to differentiate your organization from others in your industry is by focusing on delivering high-quality HR services. This benefit can help ease the transition for new hires and help them achieve maximum productivity faster than one might normally expect.
There are multiple benefits to outsourcing HR services directly related to new employees. These benefits include:
- Cost efficiencies: By outsourcing employee onboarding, companies can reduce their overall administrative expenses. While many business owners assume that outsourcing HR services will break the bank, the reality is that they can often benefit from enhanced services at a lower overall cost than retaining an in-house team. While outsourcing can reduce staffing expenses, it also frequently eliminates the expenses of maintaining physical space for this team.
- More responsive services: Onboarding is a complex process that can take weeks – or even months – to complete fully. During this time, the new employee’s talents are often underutilized. When you outsource these HR services, you can rely on a team of experts to prioritize each aspect of onboarding so that the entire process can be completed quickly, allowing your new hire to start contributing faster than may have traditionally been the case. You can also ensure that if the new employee has questions, someone is dedicated to assisting them, meaning they won’t wait until you have free time to respond. This level of service is one great way to showcase an employee-centric culture, which is crucial to staying ahead of the competition in a competitive hiring environment.
- Increased employee retention: Meeting the labor needs of your business will likely be challenging for several years to come due to massive levels of attrition and fewer candidates for skilled positions. Hiring is only part of the solution. Many companies can reduce the efforts related to hiring if they can increase their employee retention rates. Over two-thirds of employees report that they will stay with a company for at least three years when the onboarding process is exceptional. This reaction makes sense since onboarding is the company’s first step ‘in the door.’ It’s the first time they can genuinely see your organization’s inner workings. If you are able to make a good impression, you can likely increase employee retention, lowering your overall hiring costs.
- Expert advice and guidance: Let’s face it: hiring is a far more complicated process than it used to be. Many employers now rely on background and credit checks to ensure candidates have the right education, certification, and experience. Unfortunately, many of these checks have federal, state, and local laws governing what is permitted and what isn’t. Often, it can be a tangled web of intersecting laws and regulations, which can be a pitfall for employers who don’t specialize in labor law. Outsourcing HR services ensures that you have access to the best and brightest professionals in their field who can ensure that your hiring and onboarding practices are legal at all levels of government. This approach lowers your risk exposure and guarantees your company’s reputation won’t be hurt due to an inadvertent violation.
- Creating an exceptional organizational culture: While outsourcing HR services has many financial benefits, the most significant benefit likely comes in the form of an enhanced company culture. When you have responsive HR professionals there to assist employees, they feel valued and respected. It can be one crucial step in creating a highly competitive work environment. After all, most employers strive to have their business known as an excellent workplace. Outsourcing HR services can be one of the best moves you can make to help your organization stand out – and that will be key in continuing to attract the top talent in your industry for years to come.
There is no denying that hiring and onboarding will be a challenge in the coming years. Employers can boost their company in this area by working with a reputable HR service provider. To learn more about the benefits of outsourcing HR services, contact CA HR Services today!
CA HR Services specializes in working with small and medium-sized companies to help develop legal, efficient, and appropriate H.R. processes and procedures that meet state and federal labor law requirements.