PEOs provide services such as: human resources management; employee benefits; payroll; and workers' compensation. This allows PEO clients to focus on their core services to maintain and grow their bottom lines. An employer contracts with a PEO to assume these other responsibilities and provide expertise in human resources management.
In addition, a PEO:
- Provides integrated services to manage critical human resource responsibilities and employer risks;
- Establishes and maintains an employer relationship with the employees at the client's work site (shared employees);
- Contractually assumes certain employer rights, responsibilities and risk.
The links below will provide additional information employers need to know about PEOs and managing a client policy: