Dramatic changes in store for HR in outsourced future

The future was always meant to be about space-rocket commutes into work and
canteen meals in pill form. Nobody ever said it would all be about outsourcing and
caring for your parents as stress drives you to the brink.

A new report, Surviving and Thriving in The Future World of Work, predicts
that 75 per cent of organisations will be outsourcing HR by the year 2020.

It also points to eldercare overtaking childcare as the big work-life
balance issue, and the cost of absenteeism tripling due to rocketing stress
levels.

As the workplace comes under increasing pressure to work ‘smarter not
harder’ and raise productivity levels, the study predicts successful businesses
of the future will depend on HR getting out from under the administration
function and finding ways to make a real impact on the bottom line.

This approach will allow the HR function to become a change agent, an
employee champion, an admin expert as well as a strategic player.

At present only 10 per cent of HR time is dedicated to strategic work,
according to the Industrial Relations Service.

However, the report by HR consultant Ceridian warns the words ‘without
harming the business’ need to be written at the top of any proposal to
outsource.

"You have to be very clear about the messages you are sending to your
staff," said Bruce Thew, executive vice-president of the Ceridian
Corporation. "If it becomes clear you are thinking solely about cost, you
risk tearing up the psychological between you and your people."

The research also forecasts a demographic tidal wave, with the first
generation of employees expected to spend more years being responsible for the
care of ageing parents than their own children.

Carers UK set the amount of people already combining work and care in excess
of four million.

By Michael Millar

It’s HR Jim, but not as we know it in 2020

– 75 per cent of organisations will be outsourcing their HR
function

– Eldercare will overtake childcare as the big work-life issue

– The cost of absenteeism due to stress is likely to triple

– Business leaders will be younger and their profile more
diverse

– An increase in virtual working and outputs will supersede
presenteeism

– Employers will increase their focus on strategies designed to
retain older workers; there will be a greater war for talent at the top end of
the youth market

Source: Ceridian Corporation

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