Finding good employees can be difficult for small employees. Especially when small businesses don’t have the same tools to compete with larger corporations in the job market.
Job positions open quickly and are filled quickly. Unless you have a decent offer, you might not be attracting top-quality candidates to your business.
A PEO company can help in attracting quality candidates to your business. PEO companies can offer companies to assist in recruiting employees, and additional services to help stand out in the job market.
What is a PEO?
A professional employer organization (PEO) is a service that your business outsources to help with managing payroll-related taxes, human resources, and any other administrative functions that are employer-related.
A PEO company is a subcontracting service that can provide human resources, safety consulting, risk mitigation services, workforce management technology, training, and development.
Due to a practice called co-employment, PEO companies can take on human resources and administration roles.
Through a co-employer agreement, the PEO service and your business share the responsibilities of the employees and business.
By sharing responsibilities, your business can leverage benefits for employees, handle payroll administration, tax filing, HR support, and recruiting. Also, in the case of multiple PEO companies, you have to compare PEO companies so that you can reach the best one.
How Can a PEO Company Help Your Business?
There are advantages that your business can receive when it goes into a co-employer agreement with a PEO company.
- Cost Savings on Employee Benefits – A PEO company can offer employees comprehensive benefits, such as health and dental, at rates on par with bigger businesses.
- Cost Saving through Hiring – A PEO company provides HR support, and manages employee paperwork with new hires.
- Protect Against Risk – A PEO company employes experts with employee-related compliances, such as employment laws and regulations, and can help with making sure your company is being compliant in their business dealings.
- Get Time Back – When in a partnership with a PEO company, because of the shared responsibilities, they take over the paperwork and offer HR-support so that an employer’s time is freed up to focus on growing the business.
Getting into Business with a PEO
A PEO company will help small businesses by providing cost-savings, such as employee benefits, hiring, risk protection, recruiting, and compliance.
Below are three reasons why you should recruit a PEO company:
Cut Costs & Network Research
PEO companies can alleviate the burden of recruiting for businesses shoulders and can save employers on the cost of maintaining an internal recruiting team. A PEO service will make the process of hiring easier and close open positions quickly, which helps in saving recruiting costs and productivity loss. PEO companies have access to experts in recruiting who are knowledgeable in the best ways to advertise your job and leverage your reach to find top-quality candidates for your job openings.
Salary Negotiations & Guarantee Compliances
Salary negotiations can set the tone for employee expectations down the road. A PEO company that handles the payroll, benefits, and budgets have the proper insight to work through fair salary negotiations with potential new hires. Not following appropriate rules can lead to problems with compliance. Absolute compliance needs to be adhered to when dealing with recruiting, salary and benefits offerings, interviews, background checks, onboarding new employees, and scheduling. Hiring through a PEO company guarantees that state and federal guidelines are being followed.
Employee Onboarding & Improve Experience
Onboarding employees involves preparing new employees for how the business runs and will communicate job expectations, the business’s culture, missions, and values. A PEO company will help with the recruiting process and navigating a new hire with starting their new job, from filling out their paperwork, training, and accessing handbooks and procedures. The recruiting process should be a pleasant experience for all candidates involved, and negative experiences can affect your business’s brand. Since a PEO has specialists in recruiting, they can guarantee that the process will be efficient and positive for all involved.