Employees are perhaps the most important assets of a business, it does not matter if they are working full-time, part-time, or temporary; in all aspects, they are responsible for performing all the activities the company needs. Outsourcing is what allows businesses to focus on their company’s growth.
In this article, you will learn everything about staff outsourcing in Dubai and the UAE and why it may accommodate your business needs. Similarly, we will ensure you understand its advantages and what it offers. In the same vein, make sure to learn why you need qualified staff. Let’s observe:
- What is staff outsourcing?
- 5 advantages of workforce outsourcing
- Why do businesses outsource?
- How to choose the best staff outsourcing service?
- What does a staff outsourcing service offer?
- Importance of choosing qualified staff
- Choosing high-quality candidates
- Staff outsourcing process
- How can ConnectHR provide you with staff outsourcing services in Dubai or the UAE?
1. What is staff outsourcing?
The practice of Staff Outsourcing is the calculated use of Professional Employment Organization (PEOs) to assist the HR department in tasks usually performed by internal HR individuals. Similarly, it is a plan of action where companies contract out HR duties to an expert and professional PEO.
Therefore, this PEO contractor becomes an important business partner in assisting the company to improve its growth and achieve its business goals.
If you explore methods to stay competitive and save money at the same time, staff outsourcing is your best choice. In other words, this practice removes the overwhelming step of increasing internal headcount while your business achieves more. However, if you outsource additional headcount to a specialized PEO; it will allow your management staff to focus on important matters
There are several reasons why a business chooses to outsource some tasks of their company, one of them could be that they need employees for a specific area that are hard to find.
We know government-related tasks can be overwhelming, learn how a global PEO may suit your business.
2. 5 advantages of workforce outsourcing
- Highly skilled candidates: one of the most important reasons to contract an outsourcing business partner is to get access to better employees. In the same vein, their recruiters have the means to locate highly skilled employees that may help you improve your company. However, when you outsource staffing services, you take advantage of the expertise and hiring experience of recruiters.
- Faster hiring: having empty positions for a long time can damage your business. It can not only lead to a reduction in productivity and lost opportunities, but it can also reduce your current employee’s efficiency and morale. That is to say, when your workers face bigger workloads and work longer hours, they will become stressed and unhappy.
- Lower costs: this practice is not free, but its cost is significantly less than all the expenses associated with training employees in-house and hiring. All the costs of advertising, interviewing, background checking, and recruiting are included in one easy-to-manage fee.
Certainly, outsourcing reduces the costs of training new candidates since your partner will find the right candidates that have the experience and skills needed for the position.
- Employees’ flexibility: companies have lots of work in one week, but next week may not have. One of the best advantages of staff outsourcing is that you can obtain temporary workers whenever you need them. When you hire temporary workers, you fulfill your current need without a big financial commitment of a permanent worker.
- Temporary-to-permanent opportunities: companies sometimes make the mistake of hiring the wrong candidate so this is a good optionto test your new hires before extending an offer. When you outsource your staffing process, you can bring on new employees, test them, and after that; make the decision of hiring them permanently or not.
3. Why do businesses outsource?
To reduce costs: a great example is a worldwide engineering company that needs to execute a time-bound project assignment, overseas. Likewise, this project requires the deployment of both local and international resources. In this case, outsourcing the staffing services is the best model to use due it is highly expensive to repatriate all the company’s functions require for the success of the project.
These would include finance, operations, procurement, payroll and HR management. It would make sense to just repatriate the crucial operational tasks.
HR management is one of the most important tasks within a company, we have an article about HRMS and its advantages.
Moreover, all other non-core tasks including payroll and HR management may outsource to a reliable and specialized PEO. This would substantially reduce costs; however, the same situation would not happen if you invest in a full project team in a foreign country for a short period of time.
Your internal resource can focus on more important tasks: if we use the same example as above, the internal workforce would focus on the core project tasks. In addition, they would not even worry about HR functions overseas.
However, professional outsourcing businesses handle all the functions mentioned below:
- Recruitment of project staff.
- HR/onboarding task management of the deployed workforce.
- Compliance with the local mandatory employment laws.
- Payroll tax and payroll management compliance.
- Work permits and visas of ex-pats working on the project along with other crucial functions.
4. How to choose the best staff outsourcing service in Dubai?
If you are in the process of establishing in Dubai or the UAE, you cannot ignore choosing the right PEO/staffing agency. Before you decide to employ any outsourcing service provider, you must check some key factors. This will confirm if they are capable of properly supporting your company.
We made a list of the most critical factors you must think about before you outsource your hiring:
- How long is has been in business?
You must ask for proof of the business registration and all documents provided to validate the information. Likewise, these documents must include their registration and business permits with government bodies.
- Observe if they have in-depth knowledge and understanding about your business
Apart from all the important information the potential partner shares in relation to insights related to knowing your company, you must validate this critical information. In other words, you may also ask for reference details or recommendation letters from similar clients they have worked with in the past.
- Confirm they have the necessary expertise required to assist your company
When you outsource your staffing functions you can check the competencies of the staffing partner. After you review the recommendation letters from their previous customers, request the profiles of their hey teams. This is very important since these people will handle your accounts as well as the business profiles.
Above all, if you want to outsource all your HR functions, ask for a Tax Compliance certificate of the agency you want to work with.
- Request a meeting
Due to technology development, it is possible to have online meetings when you cannot meet in person. This will help you examine further competency signals during the meeting period to assist you and your company during the decision-making process.
- Discuss the costs upfront
5. What does a staff outsourcing service offer?
This type of service handles from payroll outsourcing to payroll administration, from recruiting new workers to training them. These are some of the tasks businesses look for when hiring an external HR agency. Likewise, we offer our clients customized services based on their needs. We manage the duties of an offsite location and provide onsite assistance.
Workers are the foundation of companies, learn how to find highly skilled workers in the UAE.
Likewise, the services offered by a staff outsourcing company are listed below:
- Hiring formalities, background checks and verifications.
- Maintenance of your worker’s personal files.
- Salaries and pay packages of your workforce.
- Income tax management for workers.
- Insurance management/medical benefits.
- Pre-requisite control.
- Terminal advantages management.
- Performance evaluation and coordination.
- Training needs facilitation and analysis.
- Employee custodial services and loan processing.
- Motivational analysis and staff surveys.
- Social security and other UAE regulations.
6. Importance of choosing qualified staff
- Maximize productivity: hiring the right employees for the right job determines their work performance. Finding new workers qualified for the position and inspired to actively work towards your company’s vision is what will make the difference. In the same vein, an inspired and motivated workforce will go the extra mile for your company.
- Boost the team’s morale: the foundation of businesses is made of employees that work together to achieve its vision and goals. Certainly, new hires must fit well in your company as well as bringing inspiration, and bringing new skills to the workplace. Hiring a worker that has a bad attitude or does not get well, may affect negatively your workforce’s overall productivity and morale.
- Keep your company’s image: companies spend years shaping their image to their customers, clients and stakeholders. Hiring the right workforce is as important as having a productive team. When the employees are not committed to the business’ vision, it does not look well, or if it leaves your company quickly, it may reflect you badly as an employer.
- Reduce the cost of onboarding and hiring: studies have shown that the cost of hiring employees can be more than AED55,000. Now imagine this with every new hire; managers will take time out of their schedules to interview them and can take to a full year for trainers to bring new employees to the company’s speed. Likewise, hiring the right employee will save your business financially.
- Protect key business information: with today’s technological development, workers are given plenty of confidential business data vital for the stability of the organization. Above all, businesses must be able to trust every new employee. Finding the right employee you can trust is an important factor when you are in the recruiting process.
7. Choosing high-quality candidates
High-quality specialists and employees in the various industries in Dubai and the UAE are underrepresented. Likewise, keep this in mind when you are in the hiring process and do not discharge a potential candidate who does not meet your criteria.
It is advisable to choose a recruiter who can assist you in this process, either by screening potential employees before they make a formal application or presenting you to a highly-skilled workforce. Fortunately, with ConnectHR you can find the right employees in no time and hassle-free.
There are 2 important parts when you are selecting the right candidate, you must screen them for both attitude and aptitude. One of the most effective ways to do this is to stick to a checklist. Likewise, write down the skills the best candidate must have, and stick to them as you review their application.
In case you want to keep learning, we have an in-depth article about labor cards in the UAE.
Most importantly, always remember that the hiring process does not finish on your worker’s first day. Nor is it completed after the successful completion of their probation process. Establishing in a new business take time, even more if your employee is an ex-pat arriving recently to Dubai or the UAE.
8. Staff outsourcing process
Recruitment process outsourcing (RPO) is a method of outsourcing where the employer hands off the hiring process to a provider. However, this provider can assume the business’ staff or provide its own.
9. How can ConnectHR provide you with staff outsourcing services in Dubai or the UAE?
We are glad to have taught you everything about staff outsourcing services in the UAE and why it is the best opportunity for some businesses. With ConnectHR working side-by-side with you, you can reach your company’s different vision and goals. We are focused to offer the best professional services in the different industries of the UAE.
We can help your company’s HR department in the areas of:
- Payroll and WPS.
- Staff and HR management.
- Reduction of errors.
Learn about the best payroll system in the UAE for 2021 and 2022.
In case you decide to work with us, we will stay with you side by side to ensure your business’ growth through our different services.
We have two decades working with businesses across the UAE giving them the most efficient solution and business services.
Would you like to contact ConnectHR to discuss staff outsourcing services?
If you have any inquiries or if you want to learn additional information you can call us on +97143316688 and you will speak to one of us and we will answer all of your questions.