How do Professional Employer Organizations (PEO’s) benefit Employer’s and Employees

There are many Payroll Companies and Professional Employer Organizations (PEO). When choosing the best option for your company, you need to keep in mind that there are the substantial differences.

Benefits of PEO’s to Employers

• Controls payroll costs
• Saves time and paperwork hassles
• Provides professional compliance (e.g., payroll, IRCA, EEOC)
• Reduces turnover and attracts better employees
• Provides claims management (e.g., workers’ compensation, unemployment insurance)
• Provides better benefits packages
• Provides professional human resource services (e.g., employee handbooks, forms, policies and procedures)
• Reduces accounting costs

Benefits of PEO’s to Employees

• Comprehensive benefits previously unavailable
• Better employer/employee communications
• Payroll on-time and accurate
• Professional assistance with employment-related problems
• Professional orientation and employee handbook
• Up-to-date information on labor regulations and workers’ rights, worksite safety
• Efficient and responsive claims processing
• Portable benefits (employees can move from one PEO client to another without loss of eligibility for benefits)

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