Issues with HR Outsourcing

As you probably know by now, HR outsourcing in UAE offers a lot of advantages. However, there may be a couple of issues that pop up. Before you invest your money, it is best to stay informed and get educated on what happens with outsourcing HR in UAE to professionals.

Employee resistance

With an inhouse Human Resource (HR) department, every single issue that is related to staff members is kept within the organization. Whenever a staff member is experiencing a problem, he or she will be able to go to the in-house HR department of the business and have the issue resolved.

So, what exactly happens when HR is outsourced to a third party or independent firm? As the inhouse HR team is non-existent, employees will have to reach out to a party that’s not integrated into the organization in order to deal with an issue. An issue can be magnified if it is personal like a problem with the workload, the boss, or with a coworker. Almost all employees are not very comfortable with opening up with an issue to an external party (often for privacy reasons). There are even those that are apprehensive as they don’t believe independent HR professionals hired by a business will be able to understand the perspective of the person complaining.

There is a way to go about this and that is by choosing a reputable and established firm that offers HR outsourcing in UAE. If you have chosen a service provider that has not yet been proven and tested, they won’t know how to deal with the resistance of employees. A firm that offers HR outsourcing in UAE and run by seasoned professionals knows that the key to overcoming employee resistance is through effective engagement with every single staff member.

Potential confidentiality issues

An HR department, inhouse or external, will handle a ton of confidential or sensitive information like the following:

  • Financial records of company staff
  • Employee complaints
  • Personal information of employees

Naturally, making sure that the information about employees confidential is very important. After all, the information taken and reaching the wrong hands won’t be very good not only for a business but the personal lives of the employees, too.

The problem with outsourcing HR activities, most especially to a service provider that is not very reputable, is the fact that an organization outside the business has access to confidential records! The last thing that a business wants is increasing the chances for data or security breach which compromises the safety and security of the business and the employees. This can only be solved by hiring a firm that is incredibly trustworthy. If a firm does not offer an NDA with a service contract, then that is not a good sign and you should look for another company to handle your HR issues.

Inability in monitoring HR activities of the business

The problem with HR outsourcing in UAE or any activity for that matter is this: it is very hard to monitor what exactly is going on. Just think about it.

When you are running a team of HR professionals within your business, you are able to see what their work is as they are in the same location as you. However, when you’re outsourcing, you are handing over the work to a third party that is not where you are.

It is often quite difficult to really know how productive the team is that you’ve sourced HR work too, including how focused they are during the designated work hours. Luckily, there is a solution to that and that is by making a schedule of tasks that an HR outsourcing team should accomplish within a predetermined period of time.

There are always solutions to issues; however, this will only be the case if you have managed to find a service provider that’s both trustworthy and experienced. If you are one of the lucky businesses that have acquired help from a reliable and reputable team of HR specialists, you will be able to enjoy a lot of benefits, including the following:

  • Cost savings – this is often why it is always a good idea for a business, especially one that is just gaining traction, to outsource its HR activities. HR outsourcing in UAE saves a lot of money as there is nothing to manage and maintain inhouse. Payroll expenses, as well as expenditure for the training of staff, are significantly reduced!
  • Reduction of the legal hassle – there are tons of paperwork involved with HR. That is not a problem anymore with the help of HR professionals! Remember: no hiccups mean no administrative penalties or even lawsuits!

Are you interested to know more about HR outsourcing in Dubai or anywhere in the UAE? If so, don’t hesitate to talk to HR professionals of Payroll Middle East!

Categories HR