Benefits of Outsourcing Staffing Functions in Australia

 William Lusk
  Sep 27, 2018

For your business and company, the greatest assets are your employees, regardless of whether they are permanent, part-time or hired on a temporary basis. Getting the right employees to fill up key responsibility areas is crucial for the success of your business. Given that this is so important, it is natural for you to assume that the hiring and recruitment of employees should be carried out in-house and under your tight control.

However, in reality, this is not always the case. For hiring the right people for your company and ensuring that they fit into your work culture and ethos, it is necessary that you outsource this activity to top of the line labor hire agencies. This is the current trend in Australia; in fact, it can be said with a degree of certainty, that top companies around the world have this line of thinking too.

Before going into the benefits, it will be relevant to understand the role of a hiring agency. For instance, take the functions of First Personnel, a top of the line agency for labor hire in Melbourne. Prospective job seekers fresh out of college or even those looking for a change for better career opportunities can send their updated resume for jobs. Career consultants at the agency call candidates for a preliminary interview and counsel them on the job market and likely openings. If all goes well, the names of the candidates are entered in a database with the agency.

Moving on to your requirements for employees against vacancies in your organization – as soon a vacancy arises you inform the labor hire agency which will then select the most suitable candidates from their database and send the names to you. The job of hiring is thus made easy as preliminary interviews have already been taken by expert consultants and you simply have to make a final choice.

Here are some of the benefits that accrue to you from outsourcing your staffing patterns to an external agency.

Quick Hiring

The hiring process is greatly expedited as a lot of layers in between are eliminated. For instance, you do not have to give advertisements in all the major dailies in Australia neither will you have to wait for suitable candidates to apply for the vacancy. The step of having to go through multiple screening processes too is eliminated. This is because labor hire agencies in all major cities of Australia have a pool of talent in their database that they can draw upon instantly. You inform your requirements for staff to them and the best candidates will be sent to you. This becomes crucial when you get sudden work orders and hiring personnel quickly to meet deadlines become crucial.

Low hiring costs

Think of the traditional hiring costs. Advertisements in newspapers, sending out call letters and man-hours spent in going through multiple tiers of interviews are only some of them. But once you inform a labour-hire agency, all these costs do not arise at all. You simply have to pay a nominal management fee to get matching candidates against your vacancy.

Quality candidates

This might be third on this list but is by far the most important benefit of outsourcing staffing functions in Melbourne to labor hire agencies. It is because the agencies have top career consultants on their roles who are instrumental in building up a pool of talent. You might be having a vacancy for a specialized technical position in which you or your executives are not very conversant with. How then do you select the right candidate? It is here that the external hiring companies can take a load off your shoulders. Their career counselors are all experts in various fields and can help you make the right choice by taking detailed in-depth interviews of the prospective candidates. You thus get the best and quality candidates for your organization. 

Following statutory requirements

Employment and labor laws and personal taxation requirements are continually changing. It is challenging for owners as well as hired HR professionals to be always updated with the latest rules. As an employer and business owner, you will be having your hands full ensuring business growth and development and looking after other core activities. But once you outsource your staffing functions on a comprehensive basis, all these things will be taken care of. Labour hire agencies to have specialized HR personnel whose primary and sole task is to track the changes in employment laws in Australia, both at the State and the Federal levels. Thus, you can be sure that you will never be on the wrong side of the law so far as staff matters are concerned. 

Savings in costs

It is true that outsourcing your staffing functions is not free; but then, compare the expenses for outsourcing and the quantum of investment in infrastructure to run your HR department, and you will be clear on this issue. To run a proficient HR department, you have to invest in sophisticated hardware and software for data entry and employee report processing and generation. Add to it the recurring salary expenses for running the systems, and you will have an idea of the enormous capital and recurring expenditure involved. The fees charged by outsourcing agencies for all this work is negligible in comparison. The savings in costs can be used for more productive purposes.         

These are some of the reasons why by outsourcing staff hiring functions to labor hire agencies, the large number of companies in Melbourne, Australia have benefitted to the hilt, both in terms of high employee productivity and profitability.  

Benefits of Outsourcing Staffing Functions in Australia

William Lusk

William is a seasoned HR professional who has headed HR department in some of the leading multinational companies around the world. Currently based in Melbourne Australia, Steven has now started his own labour hire agency. His firm offers a wide range of services including hiring, payroll processing and creating training programmes for employees of various firms.

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