ABSTRACT

The decision to outsource may be significantly influenced by matters relating to human resources. However, an alternative view would be that the formality of human resources legislation actually reduces the risks associated with staff transfer to a third party because the legislation provides a practical framework within which the transfer may safely occur. Staff will be keenly interested in any information relating to potential suppliers and their human resources track record. Existing human resources policies will need to be reviewed within the context of the outsourcing procurement; some may impose specific constraints upon the procurement whilst others may need to be changed. The acquisition of human resources and legal advice must be considered mandatory and should be sought as early as possible and certainly before any staff communications are made. The staff policies and support communications event should provide information on how staff is to be treated in terms of job security.