Payroll services, benefits administration and training and development are the most common HR activities outsourced in the region, according to Gartner.

The Asia Pacific (excluding Japan) HR BPO market is expected to reach US$1.3 billion in 2006, representing 24.7 percent of the total BPO market and an increase of 9 percent from US$1.2 billion in 2005.

The overall BPO market in Asia Pacific is expected to reach US$5.4 billion in 2006, an increase of 13.5 percent over 2005.

Australia experienced growth rates higher than the Asia Pacific average for HR BPO, at 10 percent from 2005 to 2006.

The total BPO market in Australia will expand from A$779 million (US$569 million) in 2005 to A$855 million in 2006.