How Staff Leasing Affect Your Business

1. How Staff Leasing Affect Your Business Staff leasing is the action of hiring employees through a third-party company. The company and the business owner share employment responsibilities, with the staff leasing company providing support services such as payroll, benefits administration, and compliance with employment laws. It is a popular staffing solution for businesses in the Philippines because it offers many advantages. For businesses, staff leasing can provide a cost-effective way to staff a company, especially when compared to traditional methods of hiring employees. It can also help businesses avoid the hassle of dealing with HR and payroll issues. And because staff leasing companies are responsible for employment compliance, businesses can save time and money on compliance-related costs. For employees, staff leasing can offer greater job security and stability than traditional forms of employment. It can also provide access to better benefits and compensation packages. In addition, staff leasing companies often provide training and development opportunities that can help employees improve their skills and advance their careers. Staff leasing Philippines work by using PEO, a staffing agency, or a business process outsourcing Philippines company to hire another set of employees. Once an agreement has been set, the third party will be taking care of the recruitment processes and hiring of the

2. employees for them or they can also choose talents from their own pool. Once the hiring company approves, the third party will be charging the business or the company for their rate. PEO Professional Employer Organizations (PEOs) usually hand in full employment contracts. They are a cost-effective option for business owners that are looking for full-time staff. Staffing Agency The staffing agency compared to PEOs has a more limited function as they can only provide individual staff who can do the job for them. It acts as a middleman between employers and the employees. Staffing agencies are the ones responsible for making a match between the candidates and the companies that have current job vacancies. Advantages of Staff Leasing for Businesses There are several advantages of staff leasing or offshore for businesses. Perhaps the most significant advantage is that it's a cost-effective way to staff a company, especially when compared to traditional methods of hiring employees. It can also help businesses avoid the hassle of dealing with HR and payroll issues. And because staff leasing companies are responsible for employment compliance, businesses can save time and money on compliance-related costs. Due to the pandemic, remote employment has become increasingly popular. A third party can be a source of good help in providing companies talents that can contribute to the tasks on a fraction of direct employment. One of the main reasons why companies decide to do staff leasing is that it eases the burden when it comes to administrative services. In lieu of hiring new and additional employees comes additional tasks and paperworks. Another reason is that you can save much more in terms of recruiting costs. In anything within this world, we must accept that everything has its own advantages and disadvantages. One of the downsides of staff leasing is lack of direct communication. Having said this, employees will not often have the chance to talk to their employers also with the company HR or authorities once they need to discuss important matters when it comes to their job. Another thing is that the company has lesser control over employees. Therefore, the company should still communicate together with their agency if they want to hire or fire a certain employee. Lastly, lack of motivation and commitment might escalate given the fact that they will only be committed to the company for a short period of time. This might and can be the reason for the

3. demotivation when it comes to their working ethics and the employees as well since they are well aware that their stay with the business will be for a definite time only. Just like yin and yang, everything has to be balanced. Businesses who choose to go offshore are aware of the pros and cons when it comes to this industry. It should also come to their mind that it is an effort of two sides. Not just the employees hired by the staff leasing company. Bear in mind that in choosing the right staffing agency for you and your business, you must be aware of the things such as transparency, additional services, market knowledge, recruitment techniques, and the type of talent that your company wants to absorb. Being aware of these things makes you so powerful that you can decide whether or not to take into consideration the agencies that have an offer for you. Taking time to also explain your hiring needs when doing this is a must. Make sure and choose wisely when it comes to deciding which agency to hire. Lastly, check the budget and see to it that it is suitable for the agency that you plan to work with.