Paulinian employees’ perspectives on human resource outsourcing

Abstract

Human Resource Outsourcing (HRO) has become popular in
business firms today as it is considered effective in reducing overhead
costs, gaining expertise from outside agencies, minimizing the regular
workload of HR staff and improving quality and efficiency of the
organization. Utilizing mixed method, this study aimed to examine
the views of Paulinian employees on the contribution of Human
Resource Outsourcing on the delivery of services as well as problems
and challenges encountered by the department. Participants involved
administrators, faculty members, support staff and maintenance
personnel. A validated questionnaire and interview were the
main data gathering tools. Data were treated using descriptive,
inferential statistical tools and thematic analysis. Results reveal that
participants perceived that Human Resource Outsourcing scheme in
hiring employees reduces operating expenses on manpower services;
frees employees from laborious duties; saves time for training and
development of employees; shares risk with human resource provider.
Among the perceived challenges in Human Resource Outsourcing were
as follows: employees do not share the vision of the school; employees
feel like an outsider from the organization; employees are dependent
on their agency; employees show lack of motivation. As an offshoot
of the study, it is recommended that St. Paul University Philippines
and the Management of the Human Resource Outsource Agency must
clarify terms and conditions that employees should adhere to attain
higher level of customer satisfaction.