Business challenges – HR Support Services

The past two years have really shaken up the corporate landscape and how employers and employees are looking at their roles within the organization. For many companies, remote working or working from home (WFH) has become the order of the day and companies such as Zoom and CrowdStrike have benefitted enormously as they tailored their platforms to meet surging requirements.

Recognizing the shifting patterns and developing corporate landscape, Mazars is augmenting its suite of corporate solutions with a focus on Human Resource (HR) Support services. As companies are expected to continue generating cash flows and profits, getting the same performance levels out of staff to a pre-pandemic level is a challenge. Outsourcing an often overlooked department to a global team of HR administrators and advisers is a trusted route companies with a small workforce consisting only front-office staff on the ground can now consider as a viable option.

Imagine having the flexibility of tapping into a global HR administration and advisory service with local sensitivities that can be tailored as a one-off service or as a monthly package. Conducting business in a new country should be a facsimile of doing business at home and with Mazars’ scalable solutions, one more element to a successful launch is in place. From large multi-nationals to small local start-ups, all aspects of corporate HR can be taken off your hands and placed in the hands of professional teams.

Moving operations into new territories throws up a list of questions such as how do you manage staff working overseas, how to lessen administrative budgets, how to keep abreast of possible business threats and, perhaps more importantly, how to protect valuable company data? Mazars has a track record of excelling in this area, especially where knowledge of local statutory requirements and nuances must be considered.

It is not uncommon for some organizations to assign HR support tasks to a regional or even global HR team and eliminate the local factor altogether. However, this route raises the question of expecting employees on the ground to submit their own Social Security Office (‘SSO’) and insurance documentation to the relevant authorities. Another option would be to have a low-level HR admin support or an office manager to handle the task.

But what would the level of in-house HR support need to be to support your company’s requirements? Furthermore, would it be fully utilizing their time? And, one more point of issue, would be the personal data and potentially confidential information that could be at risk. Businesses that need to run lean operations and focus on their core operations tend to limit staff levels, especially in HR team. So, that poses two questions: How do you manage the needs of your workforce remotely? And, what are the main challenges doing business in Thailand?

The first challenge to an international company in Thailand would be language and dealing with the various regulatory authorities and their particular requirements. While countries such as Singapore have the distinct advantage of publishing corporate laws and regulations in English, Thailand does not provide that option at present. Some obvious pitfalls include different rules depending on the number of employees and dealing with officials at the SSO, Revenue Department, and Ministry of Labour district offices.

Outsourced HR services must ensure issues pertaining to local SSO and Provident Fund (‘PVF’) requirements such as submitting documents online, responding to queries, processing leavers and joiners, claiming benefits as well as retirement and unemployment matters are all covered. It is also important that companies seeking outsourced HR services are supported when establishing a PVF, when they need to contact financial institutions, or when they require consultations on selecting the right Provident Fund manager to prepare and submit their company’s application.

Other staple HR requirements that deserve consideration include, but are not limited to, what you want in your policy i.e. contribution rate, contribution an employee receives when they resign; which fund you want to use; managing employee registration and resignation as well as PVF contribution percentage adjustment (e.g. employee / employer changes the amount that he / she / they contributes); changing your PVF director, obtaining a refund if a staff member resigns; transferring an employee’s PVF; and applying for e-provident fund services.

At Mazars, we combine HR support services with access to a dedicated Legal team who are experts in employment law. So, if there is a termination, dispute or a change in working regulations, they are well placed to provide advice. For example, an error when handling an employee’s termination can have serious repercussions, the most obvious being liability for a greater payout than if it had been handled correctly. 

If you would like to explore Mazars Thailand’s HR admin and HR advisory services, please contact us today at +66 (0) 2670 – 1100. 

In our next Business Challenges next column, we will look in greater details at compliance, maintaining employee records, keeping staff records updated, local rules and regulations, and administration of health insurance claims from employees.