In today’s competitive marketplace, deciding to outsource a portion or all of your human resource administration could go a long way toward increasing your bottom line. By entering into a co-employment relationship with a Professional Employer Organization (PEO), you will have the time and freedom to focus on growing your business, and here is why:
1.) Reduce Administrative Costs and Time
Administrative tasks and paperwork surrounding payroll processing, benefits administration, and employee management can be quite cumbersome and time-consuming. Additionally, this type of work does nothing for your company’s bottom line.
When you partner with a PEO, you have experienced HR professionals that will take care of about 90% of that burden, so you and your staff can focus on revenue-generating activities.
2.) Ensure Government Compliance
PEOs are responsible for staying up-to-date on the latest federal and state labor laws and regulations. This not only saves you time, but also the frustration that comes with trying to make sense of and implement many of these changes.
By staying up-to-date on these changes, you can avoid hefty fines and disgruntled employees.
3.) Receive Expert HR Advice When You Need It
Whether you have to fire an employee or address an employee harassment claim, it is nice to know you have an HR expert on-call to help guide you through the process. A PEO’s HR team can walk you through the necessary steps to avoid conflict, mitigate risk of a lawsuit, and ultimately protect your business.
4.) Attract and Retain Quality Employees
Partnering with a PEO enables small businesses to offer a more comprehensive benefits package for less. PEO’s often have many employee perks such as discounted memberships and tickets. Additionally, a PEO may able you to offer a retirement plan, that alone you may not be able to afford.
By having solid HR policies, a comprehensive benefit package, and employee perks, you are able to create a safe and happy workplace that helps you attract quality employees and retain them to reduce the cost of turnover.
5.) It’s Proven.
A 2014 study showed that small businesses that partner with companies like Focus HR grow on average 9% faster than those who handle HR internally. Read the study here.