HR Outsourcing Trends to Keep an Eye On in 2022

Outsourcing HR services has been on the rise since the 1990s, with many companies deciding to hand over their full HR responsibilities to outsourcing firms. Outsourcing allows companies to save time and money that would otherwise be spent searching for new employees, finding qualified workers, managing employee benefits, and meeting other HR-related needs. And when it comes to HR outsourcing trends, there are a lot of things you can look forward to in 2022 and beyond.

Let’s take a look at some of the hottest trends to watch this year and beyond!

1. The rise of artificial intelligence in hiring

You’ve probably heard of using AI for things like customer service and chatbots, but did you know that it’s also being used in the hiring process? Some companies are using AI to help screen resumes and identify the best candidates. This trend is expected to continue as AI becomes more sophisticated.

For example, a company called HireVue claims their AI can predict with 70% accuracy whether someone will be a good hire or not. But some people are skeptical about how reliable this technology is because they worry the bias built into algorithms could end up excluding certain people from getting hired even if they’re qualified. 

It’s important for job seekers and employers alike to understand how these technologies work. One of most common concerns about using AI in hiring is that it can perpetuate bias in hiring. Just as algorithms have been shown to perpetuate gender and racial biases through facial recognition, researchers have also found that they can do so when analyzing a resume or other employment application.

2. The rise of outsourcing jobs and functions

Over the past decade, there has been a steady rise in the number of businesses outsourcing various jobs and functions. The most popular functions that are being outsourced are human resources, accounting, and IT. This trend is expected to continue as more and more businesses look for ways to cut costs and improve efficiency. Many large companies have already moved significant portions of their human resource departments overseas to take advantage of cheaper labor rates.

For example, over 100 million customer service calls per year are handled by centers in India alone. In addition, recent studies show that 46% of US employers outsource at least one function with 61% planning on doing so within the next five years. While some consider outsourcing to be a form of offshoring, which involves sending jobs or parts of a business outside the company’s country or national boundaries, this new wave of offshoring relies on short-term contractors who typically work from remote locations domestically. These contractors offer flexibility and can be brought on quickly during periods when business demands exceed current staff levels. And while not all organizations agree that this practice is beneficial, many see it as cost-effective way to boost productivity and save money.

3. The rise of remote work

One of the biggest trends we’re seeing in HR outsourcing is the rise of remote work. With more and more companies offering remote work options, it’s no surprise that this is becoming a popular trend. Here are seven reasons why remote work is on the rise: 

  1. It’s more cost-effective for companies. 
  2. Employees can work from anywhere in the world. 
  3. It increases productivity and decreases absenteeism. 
  4. It allows employees to create a better work/life balance. 
  5. It attracts top talent from around the globe. 
  6. It helps reduce environmental impact by decreasing commute times and office energy consumption. 
  7. It increases employee satisfaction and retention rates

4. The rise of mobility

The ever-growing popularity of smartphones and tablets has spurred a trend in mobile recruiting. Now, potential employees can apply for jobs, and current employees can access their HR information, from anywhere at any time. This convenience is quickly making paper applications and employee portals a thing of the past.

The way we communicate is changing, and social media is leading the charge. These days, more and more businesses are using social media to reach out to potential customers and connect with current ones. And it’s not just marketing; HR departments are also getting in on the action. By creating a presence on social media, they can engage with employees and applicants where they already are: online.

As Facebook continues to grow as one of the most popular platforms, companies will have no choice but to continue adapting. Furthermore, Twitter is becoming increasingly popular among HR departments as well. Some companies use it exclusively for recruitment purposes, while others use it as a customer service channel or even as a crisis management tool (in fact, last year McDonald’s became one of the first major brands to respond directly via Twitter).

The global economy means that mobility will become increasingly important. As remote work becomes more common due to high unemployment rates around the world, employers will need help finding qualified candidates who are willing and able to travel overseas for extended periods of time if necessary.

5. The rise of automation

Automation is one of the trending HR outsourcing trends. Technology has been transforming the world of work for years, and that trend is only accelerating. In fact, a recent study found that nearly half of all jobs could be automated by 2033. As automation continues to become more sophisticated and widespread, it’s likely that even more jobs will be affected. This means that companies will need to find new ways to stay competitive and keep their employees engaged.

One way they can do this is by outsourcing HR functions. A number of companies are already doing this, including Google and IBM. With these organizations leading the charge in terms of implementing innovative solutions, we expect other businesses to follow suit in order to stay ahead in an increasingly digitized world.

6. The rise of greater data security

In a world where data breaches are becoming more and more common, it’s no surprise that security is a top concern for businesses when outsourcing HR. After all, your employee data is some of the most sensitive information you have. Fortunately, there are a number of steps you can take to ensure your data is safe when outsourcing HR. 

  1. Make sure the vendor has a robust security system in place. 
  2. Choose a vendor that encrypts data both in transit and at rest. 
  3. Avoid vendors that store data in the cloud unless you’re confident in their security measures. 
  4. Ask about the vendor’s incident response plan in the event of a breach.

7. The rise of new, specialized roles

In recent years, we’ve seen the rise of new, specialized roles within the HR outsourcing industry. These roles are often focused on specific areas of HR, such as benefits administration or payroll processing. This trend is likely to continue as businesses seek out more specialized services.

The growth of cloud-based solutions: Cloud-based solutions are becoming increasingly popular among the HR outsourcing trends. These solutions offer a number of advantages, including scalability and flexibility. We expect this trend to continue as more businesses move to the cloud.

The rise of mobile solutions: Mobile solutions are also on the rise in the HR outsourcing industry. These solutions offer a convenient way for employees to access their HR information and request assistance from their employer.


The ongoing pandemic has forced organizations to get creative with how they operate. Many companies are looking for ways to cut costs, and one way to do that is by outsourcing HR functions to top HR outsourcing companies in India. Before outsourcing, you must keep the above-mentioned HR outsourcing trends in mind.

Also read: Tips to Follow While Hiring a UI/UX Designer

Related Articles

istanbul escort

Leave a Reply

Your email address will not be published. Required fields are marked *