Tag Archives: employee leasing

How PEO helps businesses gain control

We are often perplexed by companies that come to us looking for a solution and seem to be under the misguided perception that PEO (professional employer organization), sometimes referred to as employee leasing, would mean a loss of control.

On the contrary, PEO allows business owners to know exactly, to the penny, how much their total labor burden is or will be.

Currently, their payroll processing, benefits costs and risk management are in differing departments or services. With PEO, it all comes together, neat and tidy. The rates charged, plus benefits, are already pre-negotiated. In addition, the employer risk is shifted entirely to the PEO. Meaning, if there is a workers comp claim or unemployment claim or workplace tort for harrasment or wrongful termination, that responsibility all falls upon the PEO.

PEO overview article

Check out the link below for a very good article on PEO, professional employer organization.  Sometimes referred to as employee leasing, but there are some differences in the models of hr outsourcing.

Some good quotes from NAPEO (National Association of PEO) as well.

http://www.womenentrepreneur.com/2010/02/dont-get-bogged-down-by-employee-issues.html

HR outsourcing versus offshoring

A common misconception is that HR outsourcing will take over jobs and move the offshore.

A search for outsourcing leads to this article:

http://employeeleasing.blogetery.com/2010/01/03/how-to-outsource-their-tasks-most-feared-small-business/

Totally different concept.  What we (HROplus) is talking about is lowering your overall labor costs by more efficiently handling non-revenue generating operations within a small business (payroll, workers compensation, risk management, benefits administration, labor law compliance) and saving client companies thousands in administrative and hard-dollar costs thanks to immediate economies of scale.