More U.S. Businesses Are Outsourcing Payroll Management
It has been a long term trend among American companies, but indications are that outsourcing various aspects of HR management, especially payroll management, is on the rise.
Much of this move is due to another rising trend of increased regulation, complexity and compliance demands being placed on HR professionals. New labor laws and changing payroll requirements threaten to overwhelm many businesses.
What Businesses Are Doing With Their HR and Payroll Management
Outsourcing of payroll occurs at nearly half of the U.S. companies participating in the fifth annual benchmarking survey released jointly by staffing services firm Robert Half and the Financial Executives Research Foundation, the research affiliate of Financial Executives International.
Payroll Management Outsourcing Varies Among U.S. CompaniesThis infographic illustrates some of the more significant highlights of the survey:
Outsourcing is One Approach to Streamlining Payroll management
Paul McDonald, a Robert Half senior executive director, was quoted in a news release:
“What’s striking is the continuing high percentage of companies that rely on manual reconciliation of accounts—some with thousands of general ledger accounts.There is a significant opportunity for these firms to streamline the close and use their resources more efficiently.”
One of the problems many companies are facing is a rising trend in overtime hours needed to meet the demands of increased compliance.
In their survey, Robert Half and the Financial Executives Research Foundation, found that among the U.S. firms who responded, accounting and finance managers average 47 hours of work per week, while non-management staff averages 42 hours per week.
And these numbers are expected to increase under their current management models.
Discover the Benefits of Outsourcing Your HR and Payroll Management Processes
Considering alternatives such as outsourcing is increasingly becoming a cost-effective and strategic option. Accuchex can help you in managing your HR needs, payroll processes, and staying on top of compliance demands.