Wednesday, August 10, 2022

What is PEO and when should businesses use a PEO?

What is PEO and when should businesses use a  PEO?

Business scale-up is one of the most important parts of SMEs’ development plan to accelerate their growth.

This almost always includes workforce expansion. A small-sized business may run into a problem where

there is no dedicated department to manage hiring and requirements that come along with it, as well as

payroll and benefits administration. This is where a professional employment organization - PEO jumps in.

What is PEO?

PEO acts as a “co-employer” with the company that it is hired to support. This means a PEO will share responsibilities with its customer’s employeesPEOs typically help with hiring and referral processes, payroll management, employee benefits, and other human resource-related functions. In essence, PEO is a type of full-service HR outsourcing for business.