Compliance requirements 'driving HR outsourcing'

HR specialist firm Ceridian has claimed that uptake of outsourcing is on the rise as a result of the need for compliance.

Managing director of the firm Doug Sawers said that this is particularly the case for smaller firms, as they wish to focus on other considerations.

He added that making a list of what they want to do and granting someone else responsibility for this can be a huge convenience, particularly when they have matters such as tax with which to concern themselves.

Indeed, HM Revenue & Customs recently announced the rollout of a slew of new tax taskforces, with the government body's director-general of enforcement and compliance Mike Eland underlining the fact that the threat of crackdown is not an empty one.

"There's always been that demand to some extent, but compliance is driving more need for it," Mr Sawers commented, adding "I think the HR outsourcing industry is becoming more relevant to small or mid-size companies."