Background of the Study
Human resource outsourcing (HRO) is a strategic approach adopted by organizations to enhance operational efficiency and focus on core business functions. It involves delegating HR functions such as recruitment, payroll, and training to external service providers (Belcourt, 2023). In Nigeria, HRO has become a popular practice, especially among large firms like Flour Mills, which aim to reduce costs and improve service delivery.
However, HRO poses significant challenges, particularly regarding job security for employees. In Sokoto State, where unemployment rates are high, outsourcing raises concerns about job loss and employee morale (Okafor, 2024). This study investigates the impact of HRO on job security, focusing on Flour Mills as a case study.
Statement of the Problem
While HRO offers cost and efficiency benefits, its impact on job security remains a contentious issue. Flour Mills in Sokoto State has increasingly outsourced HR functions, raising concerns among employees about job stability and career growth. Studies have shown that perceived job insecurity can lead to reduced employee morale, increased turnover, and decreased organizational commitment (Olayemi, 2025).
This study addresses the critical need to balance the benefits of HRO with its implications for job security, particularly in regions with high unemployment rates like Sokoto State.
Objectives of the Study
Research Questions
Research Hypotheses
Scope and Limitations of the Study
This study focuses on Flour Mills in Sokoto State, examining the challenges and implications of HR outsourcing on job security. Limitations include access to organizational data, employee cooperation, and the generalizability of findings to other industries.
Definitions of Terms
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