Gartner: HR Outsourcing to Grow

Filed in archive Outsourcing News on September 3, 2006

It seems like HR Outsourcing is destined to grow despite the news saying the contrary. Research firm, Gartner recently revealed the results of their research report stating that HR Outsourcing is likely to grow by 4.7% worldwide towards the end of this year.

Aside from that, the research firm also mentioned that the market for HR BPO (Business Process Outsourcing) would be able to reach 24.6 billion dollars this year amounting to a total value of 134.7 billion dollars for the whole year. These figures just show that HR outsourcing is heading towards a positive direction showing a tremendous growth.

Some of the roles in HR outsourcing are payroll and benefits administration. HR Outsourcing is not only a business strategy that is applicable for multinational firms because even small and mid-sized companies would be able to benefit from this type of outsourcing. Robert Brown, research director for Gartner emphasized this thought stating that "payroll outsourcing could also a key area for consideration among small and midsize businesses which are often underserved by larger, more-strategic forms of BPO."