The great resignation and labor shortage?
Outsourcing HR functions offers relief for companies navigating complex regulations and allows them to focus on their core strengths. Successful collaborations between businesses and outsourced HR providers, such as ExtensisHR, have resolved issues like wage-hour violations, underscoring the significance of efficiently addressing such audits to attract and retain employees.
Companies are now turning to professional employer organizations (PEOs) and outsourced labor providers for flexibility in managing their workforce. Reports indicate that the global value of outsourced business services exceeded $250 billion in 2022, with an expected annual growth rate of nearly 10% until 2030. This shift has sparked discussions about the future of the traditional employment model. SMBs, in particular, are embracing alternative employer models like co-employment to address the complexities of changing workforce needs while focusing on growth. Co-employment allows businesses to share employment responsibilities with PEOs, reducing costs and liabilities and enabling business owners to concentrate on core competencies.
How is the rise of outsourced labor affecting you?
Is an independent worker sourcing platform already here?
Industry leaders LiveHire and People2.0 have collaborated to launch a comprehensive solution addressing the rising demand for independent workers in large organizations. This innovative solution enables companies to efficiently engage and manage skilled independent workers worldwide while ensuring compliance and strategic alignment. By leveraging leading freelancing platforms and talent marketplaces, organizations gain access to a diverse pool of technology, strategy, and creative talent.
How to get international payroll right?
PEOs (Professional Employer Organizations) and EORs (Employer of Record) simplify global payroll management by acting as co-employers or legal employers of record. They handle employee or contractor management worldwide, eliminating the need for local entities in each market. These platforms also offer comprehensive HR services, including health benefits, life insurance, and retirement plans. In addition to payroll solutions, PEOs and EORs leverage global payment platforms to ensure timely and compliant payments, providing a seamless experience for employees and contractors across borders.
Cadana, a payroll platform focused on Africa, emphasizes the importance of customer experience in this field. Understanding the unique requirements of each market is crucial, as the way contractors are hired and paid can vary greatly. Owning robust infrastructure and demonstrating experience in specific markets are essential considerations when choosing a partner. Global B2B payments providers, like Nium, play a key role in enabling global payroll platforms to function effectively. These payment partners facilitate secure fund transfers in various currencies, conduct compliance checks, and offer flexible payment options, such as bank transfers, mobile wallets, and existing payment cards, ensuring that workers can access their funds quickly and meet their financial needs.
Vietnam and The Philippines attract thousands of jobs from APAC
Vietnam and the Philippines are attracting jobs from the APAC region despite the economic downturn. Companies are leveraging global payroll and EOR solutions to hire talent from these countries, benefiting from cost savings and regional proximity. Southeast Asia, particularly Vietnam, is becoming an alternative to China for companies seeking to relocate due to geopolitical tensions and rising costs. Major tech companies like Samsung and Bosch are expanding their operations in the region.
