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4 Reasons to Outsource HR Responsibilities

Tulsa Accounting Services

It should not come as a surprise that HR responsibilities are in demand! According to a recent article in Forbes.com, more companies are finding it difficult to focus entirely on their “core business”. HR functions can be incredibly time-intensive, making it a deterrent from focusing on your business activities.

From meetings and phone calls to lunch appointments, reports, and emails, today’s CEO maintains a busy schedule! However, even with all of these tasks on your plate, you must factor in HR responsibilities to protect your investment in your staff and internal policies. So, what is the solution to this ever-growing problem? Outsourcing your HR responsibilities to a professional! 

Reasons to Consider Outsourcing Your HR Tasks

While there are countless reasons to consider outsourcing your HR tasks to an outside team, here are four of the most important considerations:

Performance Issues

One of the greatest challenges to any organization’s HR department is to consistently and accurately document employee performance problems. Failure to do document things such as policy violations, complaints, and performance issues can quickly turn into a legal nightmare! By outsourcing this task to a professional, you eliminate any potential for error in this crucial documentation process.

Non-Compliance Issues

Second only to performance issues in the workplace is occurrences of non-compliance. As a business, you must have policies to govern workplace conduct. With these policies in place, you must ensure they are applied consistently throughout the organization. An outsourced HR team will act as a second set of eyes, identifying and documenting any non-compliance issues in your business.

Regulate Contractors & Employees

When your business hires both contractors and employees, you must understand the many differences between pay structure and legal matters. If you improperly compensate contractors who are later deemed to be employees or fail to pay overtime as required by the Fair Labor Standards Act, the consequences can be ruinous. It is best to work with an HR professional who can ensure that all workers are properly classified for tax and overtime purposes.

HR Oversight During Recruitment

When HR is left out of the hiring process it can result in unbalanced levels of employee compensation. This is often because hiring managers don’t understand where an employee fits in the company’s overall compensation structure. An HR professional will help your organization implement a centralized recruiting process to avoid this type of hiring.

Among the many other reasons for considering outsourcing to resolve your HR issues, small business owners agree it’s not a topic of “if” but more importantly “why not”. More and more companies are looking to cut costs and improve operating finances. By working with a professional HR outsourcing service, businesses of all sizes can achieve these goals. 

LUXA Enterprises specializes in HR services, outsource accounting, bookkeeping, and payroll services. We match up with ideal candidates for services by allowing small to midsize businesses to increase focus on their growth through outsourcing. If you want to know how we can help you, contact us today!

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