Vermont has voted to raise its minimum wage to $10.50 by 2018, according to CNN. This will make it easier for employees who earn minimum wage to survive the increasing cost of living. By contrast, the federal minimum wage is $7.25.
Companies that seek to benefit from workers who earn minimum wage may not consider that some of the cost of an employee doesn't come from wages but from other challenges, such as compliance with government regulations having to do with HR. One way of handling the influx of paperwork that must be filled out for every employee is to hire an HR back office company that will do the work other HR professionals must usually do instead, which can be a major time sink.
The Moscow Times reported hiring an HR outsourcing company can make it easy for companies to save money through a simple form of cost cutting. It also streamlines their enterprise, so they need only focus on their primary money-earning business. It also allows companies to play to their strengths. An HR company by nature will be better at its job than an HR department because it serves as HR department to several companies, gaining far more experience with different HR laws.
