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1 Click here to see the presentation Outstaffing

2 Prerequisites What does “outstaffing” mean? Cases of outstaffing application Mutual cooperation of sides in the frame work of outstaffing Services in the framework of outstaffing Advantages of using outstaffing service Economic advantages Accounting department Financial division Advantages for the HR department Advantages for employees Your choice Recruiting company “Megapolis” Contents

3 Main Business Staff adjustments Calculating and paying out salaries (payroll) Accounting Governing body Company Rising complexity and extra requirements of legislature in the labour sphere Large number of constant employees makes the company being less flexible and dependent on it’s staff Staff adjustments Calculating and paying out salaries (payroll) Prerequisites

4 Company becomes a formal employer of your staff and takes on the whole legal and financial responsibility of it Megapolis takes the employees on its own staff and takes care of all payrolls, taxes, and maintenance of staff, correspondence of labor relations to Russian legislature. Governing body Main Business Staff administration Calculating and paying out salaries (payroll) Accounting Company Megapolis What does “outstaffing” mean?

5 -Hiring the temporary staff, probationers -Making the compensation package for the employees avoiding any additional fiscal expanses -Facilitation of work of the accounting department and the human resources department, restricting the maintainable costs -Overcoming the limits of manning table -Establishing the additional motivational tools for the staff -Enhancing the attractiveness of the company on the stock markets at the expense of improving its economic indices calculating for each employee -The necessity to give efficient account the Management Company or stockholders of the level of labour indices -Legalizing of the staff hired according to the civil contracts -Planning to hire in the regions without opening a representative or branch office; -Observance of the limited quantity of a small-scale enterprise Cases of outstaffing application

6 Megapolis Company state employee Client civil contracts - administrative expenses fulfillment of engagements labor relations Accounting and legal liability Mutual cooperation of sides in the frame work of outstaffing

7 taking workers on staff and formalizing labor relations with them; handling HR paperwork and keeping labor records; calculating and paying out salaries (payroll); collecting income tax and established withholdings; processing paperwork for sick leaves, vacations and other employee-related requests. non-intercourse with a requirement of the Client Labor conflict settlement Services in the framework of outstaffing

8 Salary Survey Enhancement of flexibility of the company Possibility to focus on the key directions of the activity Management of the staff having no labor relations Advantages of using outstaffing service

9 Conditional cost of maintenance calculated for each employee maintenance costs Cсотр.= S + T + E S – salary T – taxes E - operational expanses _________________________ S – constant T – additional possibility to balance the taxation E – cost cutting on administration, reduction of staff Economic advantages

10 Reduction of work on staff accounting administration Cutting of time and scope of work of the control authorities Accounting department

11 increase of economic indices calculated on each employee efficient redistribution of issues of the budget (salary – services). As a result – saving of income tax because reimbursement of civil law contracts refer to expenses and is not with the profit tax. Financial division

12 Enhancement of social program and raising the employees’ loyalty Correspondence to the manning table, reduction of number of employees avoiding the reduction of the current staff Outsourcing of staff working on the short term projects Estimation of potential of an employee (trial period) avoiding taking the responsibility for labor relations Reduction of staff administration work Ensuring of legality of the whole volume of work concerned the staff Advantages for the HR department

13 Formalizing of labor relations Giving of the annual paid leave according to the current legislation Providing insurance (medical, accidental, legal etc.); Providing advance payments to employees and full administration of related paperwork. Esurience of unbroken record of seniority and concerned social guarantees Advantages for employees

14 Services provided by Megapolis Company afford appreciably balance activities of Your Company gaining more flexibility in managing personnel, control headcount and increase savings through the regressive scale of the Unified Social Tax Our advantages Significant experience of our staff in the sphere of human resources management; Flexible approach to each Client or Partner Legal basis of outstaffing Special package “Recruiting plus Outstaffing” Your choice

15 Address: Russia, Nizhny Novgorod, Okskiy syezd, 2, office 504 Tel.: +7 (8312) 39-44-80 Fax: +7 (8312) 39-44-80 E-mail: http// Recruiting company “Megapolis”

16 Thank you!

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