Let us help you outsource your human resource functions.

Professional Employer Solutions

A professional employer organization (PEO) is an organization that enters into a joint-employment relationship with an employer by leasing employees to the employer, thereby allowing the PEO to share and manage many employee-related responsibilities and liabilities. This allows employers to outsource their human resource functions, such as employee benefits, compensation and payroll administration, workers' compensation, and employment taxes.

PEOs typically serve as a professional employer of their clients' employees. The client company reports its wages under the PEO's federal employer identification number (FEIN), and employee liability shifts to the PEO. Employers gain economies of scale by having more benefits options, sometimes at lower rates.

The advantages

  • Benefits administration
  • Recruiting and hiring
  • Payroll administration
  • Unemployment administration
  • Workers' compensation administration
  • Compliance assistance
  • Drug testing programs
  • Family and Medical Leave Act administration

Some disadvantages

  • Loss of control of essential processes and people
  • An outside company's influence on your culture
  • Diminished value of internal HR department
  • Lack of control and security over employee paperwork
  • A loss of institutional knowledge
  • Security issues with the vendor's system
  • Resistance from employees

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