Employee outsourcing helps to reduce enterprises' risks in violent economic setting

Ho Chi Minh 3276

Since the beginning of February 2020, thousands of businesses have been seriously affected by the Covid-19 pandemic. What are effective strategies to help businesses overcome "it is what it is"? The problem of human resource which is one of the headaches needs to be solved in this difficult period.

Gloomy economy during Covid-19 pandemic 

Acute respiratory infection has become a pandemic and spread nearly 200 countries and territories. The epidemic situations have been worse and worse, causing many blockaded countries, critical effects on the worldwide economy.

The Covid – 19 pandemic has fierce effects on universal economy system

Due to the Covid-19 epidemic in Vietnam, there have been nearly 1,000 businesses stopping operating and narrowing manufacturing to be able to hold out. This makes the labor market change quite complicated.

Business and enterprise are under the pressure of personnel reduction problem

Many different fields of industries have suffered heavy losses while facing the coronavirus crisis. Streamlining personnel and cutting costs have priorities to save businesses in a crisis period. A great deal of businesses have had to apply several measures such as shift stretch, no overtime work, especially on Saturdays and Sundays, even if asking employees to leave temporarily with the aim of avoiding the effects of the pandemic.

Cutting personnel resource and saving costs have become businesses’ urgent measures


Employee outsourcing service becomes a savior for enterprises which may have financial difficulties at the moment due to following persuasive reasons:

• It is really necessary for enterprises to retain important personnel positions for core activities, making business value and to avoid cumbersome organizational apparatus.

• It reduces Businesses’ large amounts of management costs, allowances, ... for full-time employees.

• Personnel outsourcing not only ensures the flow of work, but also helps saving as being in hot water.

• The costs of personnel outsourcing will be more economical than hiring full-time personnel, because there are fewer projects in the current difficult situation.

In addition to the above benefits, what are the advantages that make outsourcing services the most considered solution during the period of personnel model change due to the impact of long-term epidemic?

Other advantages "cannot be ignored” of personnel outsourcing service

Personnel outsourcing service has become a favorite choice of many businesses at the present time

• Enterprises can save office space, costs of facilities, working equipment (computers, tables, chairs, stationery, ...). External staff hire only gets a small part of those costs.

• Outsourced personnel are usually experts in the area in which they are trained, have deep knowledge, problem solving experience or good risk handling if they are in trouble.

• The compact organizational structure creates flexibility which helps the enterprise easily cope with unpredictable changes in the business market.

• With outsourcing contracts, the business does not need to think about human issues in the working environment, only focus on results, duration and process of the work. 

Many Vietnamese businesses have transformed their business models, seeking outsourcing services as life buoys to maintain their survival. However, it is wise to select companies that provide reputable personnel to cooperate.

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