Benefits Of Outsourcing HR Functions during the COVID-19 Pandemic Era

Derrick Omollo | 23rd May 2021

Benefits Of Outsourcing HR Functions during the COVID-19 Pandemic Era

Benefits Of Outsourcing HR Functions during the COVID-19 Pandemic Era

Derrick Omollo | 23rd May 2021


In business, getting caught in the hassle and bassle of employee management can most times interfere with big picture thinking. This is mostly unfortunate for smaller to mid-sized companies that may not have the resources needed to set up an efficient and effective in-house HR department. In this regard, it could be necessary to consider outsourcing your HR functions. Companies that take this direction stand to benefit from: 

Cost savings

Businesses of all sizes have felt the financial burden of the pandemic, causing not only layoffs and furloughs, but strategic spending cuts in other areas as well.


During a time such as this, when establishing comprehensive employee leave and safety procedures are more important than ever, hiring an in-house HR manager, can be timely and costly. Outsourcing those services is an alternative way to help meet those critical needs, while minimizing overhead costs.


Risk management

Over the past several months, there have been numerous changes to laws and regulations at state levels. An abundance of policies must be created or updated based on recent legislative changes before doors can safely open, including several new and updated paid leave policies.


Before onboarding employees, companies must be knowledgeable about these changes and review current internal policies on hiring and rehiring to better understand any impact to the issuing or reinstatement of accrued PTO or vacation time.


Keeping up to date and compliant on updates to new and changing laws, regulations and governmental guidance requires a great deal of both time and energy. By bringing in outside HR expertise from an HR solutions provider who has staff focused on these compliance updates, business leaders can help to protect themselves by confirming required policies are properly implemented and in place before reopening.



Organizations should be aware of their obligations to provide certain documents to employees prior to or at the time they report to work. In some instances, these obligations may have changed or expanded due to recent legislative and regulatory changes, all of which can take a great deal of time to update and distribute.


It can be challenging to understand what documents an employee must complete.


Reopening also provides businesses with the opportunity to revisit and reinforce company HR policies, guidelines and employee handbooks. For example, these standard “new hire” documents should be updated to include new policies, as well as health and safety guidelines to help implement new regulations properly.


Additionally, many employees are considering requesting more permanent work from home agreements. According to a recent Paychex study, 25 percent of businesses plan to increase their telecommuting benefits following COVID-19. An HR professional can offer guidance and expertise on how to navigate these requests, address them in formal policies and documentation, as well as make recommendations on how to communicate changes with employees. By outsourcing HR tasks such as employee handbook creation and document management, employers can focus on the strategic tasks that will grow their business in this new landscape, instead of spending countless hours drafting policies and tracking down, organizing and executing employee documents.


Allocation of resources

By consulting on and outsourcing critical HR strategies and tasks, business leaders have the opportunity to focus on other strategic business goals, including helping employees feel safe when returning to work and getting their business back to pre-pandemic revenue levels.


There will certainly be a new normal when it comes to health and safety in the workplace, meaning businesses should determine if there are state requirements related to workplace health and safety. In addition, employers will want to review guidance from the Centers for Disease Control and Prevention (CDC), Occupational Safety and Health Administration (OSHA) and current guidance from state and local health agencies and continue to monitor for any new or updated guidance.



During these uncertain times, business leaders are all wondering when and how they will be able to follow through competently on their HR obligations while continuing to work toward their business’s financial goals. As states lift stay-at-home orders, complying with workplace laws and regulations and reviewing available guidance from government agencies is becoming more important than ever. With the right HR outsourcing partner, businesses can feel prepared to reopen knowing they’re effectively implementing new policies, managing costs and onboarding employees efficiently, all while keeping safety a top priority.

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