Human Resource Outsourcing (HRO) is a contractual agreement between an employer and an external third-party provider whereby the employer transfers responsibility and management for certain HR, benefit or training-related functions or services to the external provider. The reliance on HR outsourcing has been significant. Increasing complexities in HR-related functions, changing laws and regulations and an inherent pressure to cut costs will continue to drive the market in 2012. In multi-national companies the recent economic crisis increased the appetite for HR outsourcing.