PEO – Running your own business can be incredibly rewarding – you wake up each day knowing that you get to do what you love with your dream team. Managing that dream team also comes with a laundry list of cumbersome but necessary tasks like hiring and firing employees, taxes, benefits administration, workers compensation, and more.
Co-employment with a Professional Employer Organizations (or PEOs) can be an excellent solution to alleviate these tasks and reduce some of the risks associated, by transferring all or some of them to professionals who specialize in those areas. Here’s how working with a PEO can help reduce risk for your business:
#1 Ensure You Remain Compliant
State and federal laws are constantly changing and impacting the way you run your business. PEOs can help ensure that employee policies and company operations remain compliant with complex state and federal laws. For example, PEO professionals can assist with the Family Medical Leave Act (FMLA) eligibility and tracking, manage new hire reporting to the National Directory of New Hires, administer COBRA benefits, and more.
#2 Protect Your Employees
You expect employees to stay motivated and remain healthy to help build and continue the success of the business. Partnering with a PEO offers an additional layer of protection to you and your employees by providing you with the option of inclusion under their workers’ compensation policy. This helps to ensure that if an injury on the job occurs your employees and your business are taken care of.
#3 Avoid Costly Lawsuits
Firing an employee is never an enjoyable task and can often open up your business to potential liability. PEOs can help business owners develop employee handbooks that are right for the business, ensure polices are compliant with applicable laws, and communicate these policies with employees. PEOs can also help you document performance issues and ensure that, if necessary, businesses limit costly risks associated with letting a low-performer go.
Working with a PEO to help manage the risk of your business not only provides you with peace of mind, but also helps alleviate the tedious day-to-day job of managing human resources. If you’d like to learn more about a co-employment model and how it might help your businesses, contact us today at firstname.lastname@example.org or (859) 905-0092.