Professional Employer Organizations (PEOs) enable clients to cost-effectively outsource the management of human resources, employee benefits, payroll and workers’ compensation while retaining complete direction and control of their staff. This allows PEO clients to focus on their core competencies to maintain and grow their bottom line.

Businesses today need help managing increasingly complex employee related matters such as human resources, benefits, workers’ compensation claims, payroll, payroll tax compliance, and unemployment insurance claims. They contract with a PEO to assume these responsibilities and provide expertise in human resources management. This allows the client to concentrate on the operational and revenue-producing side of their organization.

A PEO provides integrated services to effectively manage critical human resource responsibilities and employer risks for clients. A PEO delivers these services by establishing and maintaining a co-employer relationship with the employees at the client’s worksite and by contractually assuming certain employer rights, responsibilities and risk. Posted August 25, 2008 by Kevin Gramian at Optimum Outsourcing, LLC.