Although Professional Employer Organizations are mostly known for helping small companies with their HR and payroll responsibilities, businesses of any size can benefit from a PEO’s services. These services expand far beyond HR tasks, as working with a PEO can save you money, attract better potential employees, and help you grow your business. Despite the numerous advantages working with a PEO can provide companies, many business owners are still unsure about whether or not hiring a PEO is the right move for their company. If you are still on the fence, here are three questions you should ask yourself to determine if your company would benefit from hiring a PEO.
Staying up to date with government-regulated compliance laws can be a difficult task for companies with small HR teams. Employment laws are constantly evolving, which means there are always new regulations and updates to older codes to keep track of. Keeping up with compliance codes becomes even more complicated if you have employees working in multiple states. If you have been fined in the past for compliance violations or are worried that your HR team is becoming overwhelmed keeping up with government regulations, then your business could benefit from the services of a PEO.
Since typically only larger companies can afford top of the line benefits, many smaller companies have a tough time providing their employees with competitive benefits. Underwhelming benefits can lead to high turnover rates and make it difficult to hire capable employees. However, through hiring a PEO, many small businesses have been able to provide their employees with access to the top-notch health coverage and rates that previously only large corporations could afford. PEOs are able to attain these superior benefits packages for your company by grouping your employees with the rest of the PEO’s co-employees to form one large group.
As your business grows, your HR department will need to expand with it. If your HR team is already spread thin managing your current payroll and compliance paperwork, then your business should look into hiring a PEO before expansion. Overburdening your HR team during growth periods will only lead to employee burnout and weaken company morale. Instead of hiring more HR staff, a more cost-effective option is working with a PEO. By outsourcing the majority of your HR responsibilities to a PEO, you can free up your HR staff to focus on their daily tasks. Without hiring any new employees, you can improve the efficiency and happiness of your HR staff while PEOs handle tasks such as payroll, healthcare, and training.
Are you feeling overwhelmed when it comes to managing administrative and human resource-related tasks for your small business? OEM America can help. For decades, we have been helping companies across Connecticut and throughout the country transform their businesses into the pinnacle of efficiency.
Through the use of our time-proven model for managing employees, you can cut costs and decrease your turnover rate in no time. Stop worrying about Human Resources, employee administration, and benefits management. Leave all of that to us! With OEM as your human resource management team, you can focus more on the high-payoff activities that help you grow and profit.
Contact us for a free consultation today!