Influence of HR Outsourcing Decisions on Employees `Attitude and Firms` Performance

In current era, Human Resource Outsourcing (HRO) plays a significant role in an organization. It came into existence when there was need of an individual or any organization to hire someone else to perform a job which cannot be done by them. This results in influencing firms` performance. On the contrary some challenges like loss of confidential information, increment in the rate of conflicts, negative effect on motivation level of internal employees may affect employees` attitude. The present paper aims to study the effect of HR outsourcing decisions on employees` attitude and firm`s performance. Data has been taken from 136 HR managers who are working in Indian corporate sector. Factor analysis and regression has been applied on collected data. The findings suggest positive and significant effect of HR outsourcing decision on employees` attitude and firm`s performance.