India is a burgeoning economy that many companies are interested in both from a consumer and a workforce perspective. While India continues to develop, its future holds great possibilities. It is set to be the third-largest consumer market after China and the U.S. It is also among the top six markets for contingent workforce engagement. Tapping into this market before it is fully matured gives your company a foot up compared to your competition.
How HR Outsourcing Services Work in India
HR outsourcing in India makes it easier for companies to tap into tremendous talent while complying with the often-complicated local labor laws. A Professional Employer Organization (PEO) is a top way to leverage Indian talent. Many ask how exactly a PEO works and how it can work for your business.
Essentially, a PEO allows you to hire your employee through a local Indian entity so you can legally hire and pay the employee in India. This employee will be directly managed by you and working on your company’s behalf exactly as if he or she were your employee.
Hiring under the local entity means you don’t have to set up an entity in India, and that you can hire in days rather than weeks or months. Hiring, payroll services, and any other HR needs are taken care of through a PEO such as NNRoad’s HR outsourcing services.
The flexibility of a PEO allows you to retain local talent while the in-country requirements of an employer are fully taken care of.
Why Might You Outsource Your HR in India?
There are different reasons big and small businesses consider outsourcing their HR needs:
- Big Businesses: HR Outsourcing allows you to focus on your core business processes rather than complicated HR needs. This allows you to continue to grow your bottom line while payroll and HR are taken care of.
- Small-to-Medium Sized Businesses: For SMB’s HR outsourcing helps your company grow. HR outsourcing is more cost-effective than setting up your own HR in India. This allows you to focus on growth for the next stages of your business.
Regardless of the size of your company, HR outsourcing enhances your productivity and return on investment. It can help companies of any size further their reach and growth in India.


Advantages of Outsourcing HR Services in India
When you outsource your HR in India you can focus on core business needs while tapping into a highly skilled pool of talent.
Your HR functions are fully supported so you can bring more effective and efficient processes for your organization.
Payroll is completed accurately and on time allowing you to forgo any worries about HR in a foreign land. With your local Indian employees fully supported through HR outsourcing, you can save time, costs, and focus on the important growth factors for your business. Additionally, HR Outsourcing is an advantage to your business in the ways below:
- Saves of Investment: PEO or HR outsourcing means you don’t have to set up an entity to hire staff in India. This saves on the investment put into setting up a new legal entity in India.
- Risk Management: Because you are not setting up a company in India, you are at less of a risk of having to shut down those operations should something go wrong. With HR outsourcing you have the flexibility to hire and pay employees, and onboard new employees all at times that suit your business.
- Faster Results: Additionally, you can hire right away and don’t have to wait until a new legal entity is set up. You can launch your India projects and tap into your India talent much sooner than if you were going to set up a new entity. Which brings us to our next point…
- Top Talent: By hiring in India, you are able to tap into top talent worldwide. HR outsourcing allows you to have access to a large number of skilled people who are outside the main place(s) your business is operating. This will allow your business to grow and transform in faster and smarter ways.
Are you interested in learning more about HR outsourcing in India? If so, be in touch to set up a call with one of our experienced consultants today. We can discuss your specific requirements and how HR outsourcing can assist your business.
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