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How Does Staff Leasing in the Philippines Work?

The Philippines' talented, English-proficient workforce and low labor costs are often the main reasons expats, foreign entrepreneurs, and multinational firms choose to outsource and offshore jobs to the country. Recruiting the right talent and building your Filipino team, however, can be a challenge especially for businesses who are new to the Philippines. It can also be very costly and time-consuming for startups and small businesses who follow a shorter timeline. Staff leasing is a cost-efficient solution for companies that do not have much manpower and who are in need of quick results. It is a form of outsourcing service that allows companies to hire a third-party provider to perform certain job functions so the owners and their existing team can focus on managing the business and income-generating activities.

How does it work?

Basically, the business owners/companies would be leasing employees and services under KMC Solutions. In most cases, employees are hired under KMC Solutions in the Philippines, and technically, the subscribing firms/clients are paying for their services. Clients also have the option to outsource only HR management and payroll services or the option to engage KMC Solutions in managing the records, files, benefits, compensation, payroll, tax, etc. of their offshore teams. In a nutshell, staff leasing process can be summarized in 5 steps.

1. KMC Solutions meets with prospective clients and discusses the following:

Step 1

Requirements: This involves determining scope of project. Which services will the client require: recruitment, HR management, payroll? If recruitment is involved, how many employees is required? What skills and level of work experience would you require?
Budget: How much are you looking to spend per employee? What type of benefits would you like to offer?

2. KMCS team or account manager creates a proposal and agreement based on the discussion.

Step 2

Costs are computed and packaged depending on the client's requirements. Discounts and other special considerations may be applied depending on client's budget or anything that the two parties agree upon.

3. KMCS' recruitment team will start looking for candidates.

Step 3

The recruitment team will review job descriptions from the client, advertise openings online, and basically, perform all the legwork necessary to attract talents. The team will also screen sourced candidates based on their resume and then endorse to the account manager who will then evaluate the selection and endorse to the client.

4. Candidate screening by KMCS' recruitment team.

Step 4

Once the shortlisted candidates are complete, the client can screen the resumes or CVs of endorsed candidates and decide if they are qualified for initial interview. The recruitment team will schedule qualified candidates for an initial interview, and if he or she passes, he or she will be scheduled for an interview with the client.

5. Job offer, employee onboarding, etc.

Step 5

With the client's go signal, the recruitment team will prepare the job offer and discuss it with the candidate. Afterwards, HR collects required documents, prepare employee for onboarding and orientation, and he or she can start depending on the client's preferred date.

The entire process can take 2 weeks or 2 months, depending on the complexity of the client's requirements in terms of qualifications and experience.

The entire process can take 2 weeks or 2 months, depending on the complexity of the client's requirements in terms of qualifications and experience.

And there you have it. Should you have more questions about the process of leasing employees in the Philippines, contact KMC Solutions today!


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