Free Human Resource Management System (HRMS) Software Options
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Human resource management can have a multitude of job functions. To perform those functions efficiently, software experts have built human resource management systems to fill the gaps in the workforce. With new growth and expansion, you’ll need a digital program to scale your hiring or employee management efforts. Even if you don’t have the funding yet to pay for a premium tool, there are still high-quality options available on the market to consider.
Here at Matchr, our certified HR software experts use a comprehensive testing and evaluation process to provide unbiased HRMS software recommendations.
We analyzed various HRMS platforms and then assembled a list of the top free HRMS software solutions based on their functionality and features. Our selections are based on detailed research to ensure you make the best HR software decisions.
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Matchr’s List of 3 Free HRMS Software Recommendations
Matchr has partnered with several HRMS software programs for company management to choose from. We’ve compiled a list of some of the latest free software options to choose from.
1 Open HRMS
Open HRMS, a free open-source HR software, prioritizes employee well-being by handling various HR processes.
It covers onboarding, attendance management, time tracking, and appraisals, making it suitable for businesses of all sizes. The real-time attendance processing integrates seamlessly with biometric hardware and works in tandem with the payroll and leave management system. Supporting multiple sources for attendance capture, such as biometrics, login portals, and swipe cards, Open HRMS offers configuration options for various leave types. With automatic leave request and approval features, it ensures a smoother HR workflow for enhanced workforce management.
2 Orange HRM
OrangeHRM offers an open-source version that mirrors its paid, cloud-based counterpart, making it an attractive choice for small and medium businesses capable of self-hosting the software.
The free version provides all features found in the paid one, enabling companies to manage employee databases, track attendance, conduct performance reviews, and more. While OrangeHRM Open Source lacks payroll integration and imposes customization limitations, its cost-effectiveness appeals to businesses with technical expertise for self-hosting. However, there’s no customer support for the open-source version, and additional costs may arise for bug fixes or security updates, impacting its practicality for smaller businesses.
3 Deel
Deel emerges as a powerful yet budget-friendly HR software tailored for small businesses, offering free HR features for entities with under 200 employees.
With a user-friendly self-service platform, Deel enables secure access for employees and contractors to manage their information efficiently. The platform supports integrations with various HR workflows, providing comprehensive reporting tools for informed decision-making. Deel’s capabilities extend to payroll, benefits, and compliance administration across 150+ countries, ensuring global support. While the free plan includes onboarding, offboarding, payroll processing, benefits, time-off tracking, expense management, document management, and government declarations, scalable paid plans are available for those seeking additional features. Clear per-user pricing and no hidden fees make Deel an ideal, transparent choice for businesses of all sizes.
Features Typically Found in Free HRMS Software
Even in free HRMS software, there are a vast number of features to help businesses and HR staff. Some of the most sought-after features include things like employee onboarding and administration, compensation benefits, data organization, and comprehensive candidate recruitment.
Recruiting
Having a streamlined recruiting process is important for companies looking to grow their business. HRMS software can help with applicant tracking, resume database management, career portals, job postings, and interview management. Finding the best talent for your team is easier with free HRMS candidate pools to choose from.
Onboarding
Once you’ve chosen new professionals to join the company, you’ll want to be sure they have access to the best training and onboarding resources. Free HRMS software can help new hires complete a simple onboarding checklist that highlights key position milestones. This can help define internal processes in a company and ease the stress of onboarding new team members.
Payroll
Administering payroll is necessary in any company. The details of employee finances such as net pay, or taxes, can all be securely housed in a free HRMS digital platform. These records can include files for each employee, and even provide payroll reports for the entire organization.
Attendance and Time Tracking
Having a system where employees can easily log their time is invaluable to any organization’s everyday operations. If employees are out of the office for the day, a free HRMS software platform can act as a user-friendly tool for employees to log their time individually. This helps HR manage company time and efficiency.
Administrative Reporting
All company stakeholders will need access to real-time administrative data. These data reports can show company stats on key performance measures such as employee growth, recruitment efforts, compensation management, and onboarding progress. HRMS software can compile records of data into interactive reports for any management team.
Business Succession Planning
If you have highly skilled performers in your company, you’ll need help identifying them and where they may fit for future leadership promotions. Free HRMS software can help HR managers with higher-level succession planning so they can utilize the talented staff they already have.
Benefits of Using Free HRMS Software
HRMS software can offer administrative, financial, and future business support benefits for a variety of industries. The digital tools available can offer a streamlined technological approach to everyday workforce monitoring and evaluation.
Productivity Monitoring
To understand how much time employees are spending working, or if they’ve completed key onboarding training, there’s the added benefit of HRMS productivity monitoring. For everyday performance management, the software programs can track key performance indications of success.
Increases Candidate Data Accuracy
In the recruiting process, candidate data accuracy is important to be sure you have a clear picture of prospective talent. Housing these applications in one HRMS software tool can help compile data record segmentations and ensure accuracy in company reports.
Aids in Compliance
On the legal side of things, compliance is another added benefit of using free HRMS software. Instead of HR managers spending a lot of time researching and verifying that their processes are on par with government standards, the digital tool can do that complicated work for them. This in turn can save companies time and money in compliance.
Potential Limitations of Free HRMS Software
HRMS has a host of benefits. Despite these benefits, companies need to assess all of the pros and cons of implementing new software before moving forward to the next step. While HRMS programs can be great for many organizations, you will want to consider if these tools make sense for your everyday functions.
It’s Not Built for All Types of Employees
If you work with contractors, HRMS software may not have the specifics you would need for those kinds of employees. This is important to consider for future growth planning on whether you foresee a need for full-time staff or temporary employees.
Training Time
The many features of a free HRMS program can make it versatile, but it also can take a fair amount of time for employees and management to understand. This training time should always be taken into account when deciding if you need a new online administrative tool.
Data Migration
Migrating data can be complicated. The intricate details involved with changing systems can be a headache for some companies, so this could be a potential downside of opting for a new HRMS software. With any new tool, always consider the bandwidth your current team has and if they are ready to adapt to a new software.
