A lot of companies feel they can get a higher level of service by outsourcing to a human resources specialist. Other companies want to know exactly how much they're spending on human resources. By outsourcing, they can really isolate that cost. Also, a lot of companies want to know if their HR functions are appropriate. Because we see so many companies, we know what a human resources department should look like.
Companies are so quick to hire people without checking their references.
We always check references, but I've seen more and more crises resulting from companies having not done that. In the past two weeks, we've had two separate clients who haven't checked references and then had to terminate those employees. If they had checked the references, those people would not have been hired. It's changed as the job market has changed. HR used to be looked to for payroll and benefits functions.