PEO - Thus lowering The Burden of HR and Providing A Sigh Of Relief
PEO - A professional employer organization (PEO) is a single source provider of integrated services which enable business owners to cost-effectively outsource the management of human resources, employee benefits, payroll and workers’ compensation and other strategic services, such as, recruiting, risk/safety management, and training and development. It does this by hiring a client company’s employees, thus becoming their employer of record for tax purposes and insurance purposes. This practice is known as co-employment.
The above was the meaning of PEO. Since the meaning is now clear to us let us also clear some more myths related to it.
Services that a PEO provides include
Employment Administration Relief
Quality Employee Benefits
Employer Liability Management Services
Productivity Improvement Resources
The services that they provide no doubt relief the hiring organization from the HR related issues and work, but when recruiting gets outsourced the chances or risks arising from the same rises. Apart from the above mentioned services things that they provide in supplement are tax management, payroll, they also transfer risk from small business by providing assistance in administration of HR. They also look after the background screening, as well as discounted drug testing.
The better side of this service is that they provide services to all and hence they aren’t industry specific and provide services to everyone. But with all the above myths about PEO let us clear out those myths too.
The control of the employees is endangered when you outsource HR services; there lies an agreement between both the organization and service provider. The required clauses as agreed by both the parties are mentioned in the agreement. The company losing its control over its employees is a myth, hence there lies no doubt over outsourcing HR to PEO.
The concept of PEO is popular in few states and not everywhere and hence the condition differs according to the condition prevailing in that state. Hence they will provide the job aspirants with the list of benefits that they will be receiving once they get in into the organization. PEO’s are not payroll only providers, but they also provide full employment that are possible within their constraints.
PEO - A professional employer organization (PEO) is a single source provider of integrated services which enable business owners to cost-effectively outsource the management of human resources, employee benefits, payroll and workers’ compensation and other strategic services, such as, recruiting, risk/safety management, and training and development. It does this by hiring a client company’s employees, thus becoming their employer of record for tax purposes and insurance purposes. This practice is known as co-employment.
The above was the meaning of PEO. Since the meaning is now clear to us let us also clear some more myths related to it.
Services that a PEO provides include
Employment Administration Relief
Quality Employee Benefits
Employer Liability Management Services
Productivity Improvement Resources
The services that they provide no doubt relief the hiring organization from the HR related issues and work, but when recruiting gets outsourced the chances or risks arising from the same rises. Apart from the above mentioned services things that they provide in supplement are tax management, payroll, they also transfer risk from small business by providing assistance in administration of HR. They also look after the background screening, as well as discounted drug testing.
The better side of this service is that they provide services to all and hence they aren’t industry specific and provide services to everyone. But with all the above myths about PEO let us clear out those myths too.
The control of the employees is endangered when you outsource HR services; there lies an agreement between both the organization and service provider. The required clauses as agreed by both the parties are mentioned in the agreement. The company losing its control over its employees is a myth, hence there lies no doubt over outsourcing HR to PEO.
The concept of PEO is popular in few states and not everywhere and hence the condition differs according to the condition prevailing in that state. Hence they will provide the job aspirants with the list of benefits that they will be receiving once they get in into the organization. PEO’s are not payroll only providers, but they also provide full employment that are possible within their constraints.