These days a big number of HR professionals talk about HR outsourcing particularly in the Middle East. Discussing the facts whether it is a helpful practice or not! Is it a step toward HR transformation? Many might think of this solution to help them cut the HR administrative costs and focus more on the strategic value of HR. According to the market (shrm.org; kennedyinfo.com; Dataquest Inc.), there is a strong increase in HR outsourcing spending in the United States and Europe. This will gradually affect the market in the Middle East. In fact, there are a good number of corporations in that area performing HR Business Process Outsourcing (HR-BPO). Hay-Group for an example is a major leader in the area designing HR frameworks and supplying benchmarking data. However, this is not what intended in this article. We are here discussing the outsourcing of some or all the HR functions (tasks) and not the business processes.
To begin with, let us view the possible areas where outsourcing most likely will take place. According to a survey (Esen, 2004) respondent (168 HR professionals) reported the following functions/tasks are outsourced completely:
| Background checks | 49% |
| Employee counseling | 47% |
| Account administration | 43% |
| Health care administration | 24% |
| Temporary staffing | 21% |
The list expands more but the percentages decrease. For this reason, let us think of the above as an example and consider the high percentages reported. If we ask ourselves, do we already outsource these tasks/functions in the Middle East? Yes, sure we do.






