We have compiled
some of the most popular questions regarding P.E.O.'s here, if you
find that your question is not answered here please contact us and
we would be happy to assist you with any questions you may have.
What is a Professional
Employer Organization, or P.E.O.?
A Professional Employer Organization is a dynamic outsourcing industry
that offers independent businesses or human resources outsourcing owners
a convenient and effect opportunity to come together and "level the
playing field" through group purchasing, economy of scale, and vendor
consolidation.
P.E.O. companies
are growing at an explosive rate (30%). Most experts predict this rate
of growth will continue to increase as more and more business owners
turn to P.E.O.s to provide the tools needed to increase productivity
and profit, thereby maintaining a sharper business focus.
What does a business
owner outsource?
Business owners outsource most of their human resources functions and
responsibility to a P.E.O. In this arrangement, the business owner
continues to retain full operational control over the employees' activities.
What are the major
benefits to the business owner?
Business owners often want, and need, to focus their time and energy
on the "business of their business" and not on the "business
of employment."
As business grow, owners often don't have the necessary human resources
training, payroll and accounting skills, knowledge of regulatory compliance,
or backgrounds in risk management, insurance and employee benefit programs
to meet the demands of being an employer.
What are the major
benefits to the employee?
Employees gain a 401k retirement plan; a pre-tax 125 cafeteria plan,
a choice of bigger and better benefits tailored to the employee's individual
needs; professional claims processing and assistance; increased take-home
pay; a regularly updated employee manual; direct deposit to savings
and checking accounts; and much more.
Who uses P.E.O.s?
Business owners with 5 to 1,000 employees benefit by outsourcing their
human resource functions to a P.E.O.
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