Why Outsource Your Employees In The UAE?

Whatever the size and type of your business, and at whatever stage it is at in its development, there are many benefits that an Employer of Record and employee outsourcing service can bring.

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Employee outsourcing is primarily seen as an attractive option for companies in the process of establishing a presence in the UAE, or for companies undergoing rapid expansion in the region.

However, in the last few years employee outsourcing has considerably widened its appeal and is now viewed as a strategic corporate option for organizations across the full business and industry spectrum. In particular, it is one that brings a range of benefits, from financial and commercial efficiencies, to administrative and regulatory compliance advantages.

Whatever the size and type of your business, and at whatever stage it is at in its development, there are many benefits that an Employer of Record and employee outsourcing service can bring.

The Outsourcing Philosophy  

Outsourcing became a popular global business model in the 1980s and was championed for three principal reasons: Saving money; Importing expertise; and freeing resources to focus on core business. These are still the major benefits of outsourcing and, together with other factors, have helped drive the trend for organizations to embrace employee outsourcing.

Factors Specific to the UAE

The employment and visa processes in the UAE can be complicated, especially for new start-ups and for international companies entering the market for the first time. They involve a number of detailed administrative processes, together with regulatory and compliance factors, that require experienced and dedicated staff to navigate them effectively.

A reputable employer of record and outsourcing partner will take full responsibility for their clients’ end-to-end onboarding, offboarding and visa processes, ensuring that all personnel are employed in accordance with prevailing national and international regulations. They will also be able to complete these processes faster, and in many cases more cost-effectively, than organizations are able to do using in-house resources.

Human Resources & Payroll Functions

HR & Payroll are two of the most important and costly corporate support services within an organization, often requiring large teams of highly qualified and skilled personnel. Using the services of an employer of record will significantly reduce the resources required by an organization to administer these functions, often reducing them to a small administrative team whose role is primarily to act as a conduit and liaison between the organization and the outsource partner.

Focus on Core Business

As with all outsourcing decisions, the ability to focus on your core business is a key factor for any organization. This is particularly relevant for companies entering new markets or territories, where the focus has to be on rapid, successful market penetration and business development. Devolving responsibility for all employee and associated HR functions to a third-party employer of record, will free valuable time and resources.

Competitive & Commercial Advantage
Cost-efficiency is a key benefit of using employer of record services, but there are many other commercial and competitive advantages, including:

Employer of Record (EOR) Commercial and Competitive Benefits

Easier Entry into Global Markets: An employer of record service makes it far simpler to establish offices and operations in new markets, regions and territories.

Reduced Risks: An employer of record will manage all official processes and documentation and mitigate risk by being responsible for many of your regulatory and compliance requirements.

Reduced Office Footprint: Using an employer of record, can reduce the requirements for HR, finance and legal resources, helping to minimize office space requirements.

Business Agility: Employer of record services enable organizations to react quickly to increases in business demand and resource requirements.

Business Flexibility: An employer of record can enable companies to deliver short-term and temporary projects and contracts, using flexible and temporary staffing solutions.

This article is written and produced by Auxilium, one of the UAE’s leading Employer of Record and outsource staffing solutions providers.
For more information on Employer of Record and Employee Outsourcing Services, please contact the Auxilium EOR Team.

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