Why outsourcing your HR in 2025 suits your SME business
With another government being formed following November’s election and plenty of employment law changes on the horizon, employing people remains a complex aspect of running a business. Could bringing in outsourced HR be the perfect solution for you?
What are the benefits of outsourced HR?
If you employ people, HR is not an option but a necessity. It there is much compliance to meet. Get it wrong and you will find yourself in front of an employment tribunal and losing. You either try and make do yourself, hire someone in-house or outsource.
Trying to save money with a DIY approach will likely be counterproductive. And hiring in-house will be too expensive for many, and not without its other downsides, too. There are numerous ways, however, in which outsourced HR can meet your needs:
A cost-effective solution – For a relatively low retained fee (far lower than hiring in-house), you can get unlimited access telephone and email HR support. It’s there for you to sense check your instincts, get advice where you are stuck, receive bespoke policies essential for managing staff correctly and provide templates of key documents you may need from time to time.
Broad expertise – Rather than having a single person advising on HR, you get access to a wider team, who will have collectively encountered far more scenarios and hold higher professional qualifications. We also make it our business to stay up to date with all the rule changes, not just legislation that happens from year to year, but up to the minute case law that can turn things on their head.
An uninterrupted service – An outsourced service is there for you every day, never suffering from sickness or needing to take annual leave.
Operational improvements – Good HR is not just about legal compliance. By integrating the good practices which are recommended into your business, you can make gains on absence, performance, recruitment and retention – in fact anything people-related which can drive your business forwards.
Freeing up time – Whether it is saving you hours trying to Google search the answers, streamlining regular admin like annual leave management or being available to run a one-off project such as a disciplinary process, having an outsourced HR service will free you up to spend more time on your core role.
Tribunal indemnity insurance – If you follow our advice from the outset of an issue, you are also insured for the outcome of any tribunal should a case make it that far, giving you further peace of mind that you won’t be caught out by an HR issue.
What if I already have an HR lead in my business?
Many employers actually use us alongside some limited HR resource within their business, helping them with special projects, or being available when they go on holiday or are off sick. Outsourcing is scalable, making it easier to grow, or downsize if times are tough.
Find out more
If you would like to find out more about outsourcing HR to get you prepared for the challenging years ahead, please contact us and we can talk you through the attractive options we can offer.