What, exactly, is HR?
Human Resource management, or HR, is a function designed to maximize employee performance. HR is primarily concerned with the management of people, focusing on policies and systems, typically undertaking a number of activities, including employee recruitment, training and development, performance appraisal, and rewarding (for example, managing pay and company benefits).
Over the years, HR and payroll functions have evolved and integrated, ensuring greater efficiency in managing and processing the relevant data. The introduction of salary sacrifice and other flexible benefit schemes, and the impact of HMRC’s move to RTI (Real Time Information) reporting has necessitated a more structured and time-sensitive approach to HR matters which affect payroll processing.
Whilst larger companies may employ separate HR and payroll teams, trained in specific areas of people management, may other businesses, whether small, medium or large, choose to outsource the HR and payroll functions as it is the most cost effective solution.
What are the benefits of outsourcing?
Outsourcing means you can hand over your HR management and payroll, and meet your employee and statutory obligations, efficiently and effectively. Your staff can concentrate on their other important responsibilities without the worry of keeping up-to-date with changes in legislation affecting, for example:
- Holiday entitlement
- Parental leave
- Pension contributions
- Benefits in kind
Whether you are new to payroll management or have an existing HR and payroll person, outsourcing enables you to get on with building your business. Our team of experienced professionals are here to help.