Professional Employer Organizations - Your Virtual HR Department

March 5, 2013

Across the U.S., businesses are finding that full-service Professional Employer Organizations (PEOs) can more easily support HR functions. As we predicted in 2012, you’re hearing more about PEOs now, and we believe that trend will continue.

A virtual HR department for small/medium-sized businesses, PEOs can often more efficiently handle personnel-related services (i.e. payroll processing, payroll tax fillings, employee benefits management, employer liability management, employment taxes, workers’ compensation coverage and claims resolution).

PEOs have become a viable option for smaller enterprises simply because HR is the only thing they do all day, everyday. Also, PEOs can spread operational costs across multiple clients rather than one business covering the expense of full-time employees, and all that is needed-from computers to electricity-to support HR functions in-house.

PEOs often provide additional services such as employee recruiting, background checks, interviews and development of effective job descriptions and compensation structures. Other benefits of PEOs include tuition reimbursement and management training courses, which help to attract/retain the most talented people to see that your business progresses.

While larger companies may always need to manage HR and accounting onsite and have more budget to rationalize related costs, PEOs make sense for smaller enterprises looking to do more with less while enabling teams to focus on core business functions, strategy.

PEOs will soon be the norm and easier than you’d think to plug into your organization. Contact us if you should have any questions about PEOs or expanding to new markets.

Mercy Mildener
Public Relations and Marketing Consultant

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