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Frequently Asked Questions about PEO Companies
PEO stands for Professional Employer Organization.
How a PEO Company Works for You
A PEO acts as the “Administrative Employer” while the client company acts as the “Worksite Employer”. Clients continue to direct and control the workforce, including hours, pay rates, and employee benefits. However, as your PEO company, CBR will attend to all the administrative tasks related to HR and keep you working smoothly with benefit vendors, government agencies, the Industrial Commission, and taxing authorities.
Want to know more about co-employment? Read our section called What is Co-Employment?
Still wondering if it’s for you? Read about the benefits of using a PEO
Are you wearing more HR hats than you think? See the Real Definition of HR
A PEO Keeps You Focused on Growing Your Business
A PEO focuses on one thing…keeping you focused on growing your business. The PEO model was designed to accomplish the greater goal of reducing your administrative headaches and cost, allowing you to spend your time doing what you should be doing…growing your business and enjoying the benefits of ownership.
Usually, more than 5 employees, although some PEOs will service companies with less depending on their needs and circumstances.
Both the client and the PEO. The client is the “worksite employer” and the PEO is the “administrative employer”.
Fortune 500 benefits for small employers. PEOs also have “skin in the game” with your compliance issues because of the coemployment relationship.
Yes. The PEO will handle the administration, but you are required to comply with FMLA since the PEO has more than 50 employees. However, the hardship rule can sometime be applied to your business.
Those agreements stay in effect. However, if there are glaring differences between these agreements and the PEO’s employment policies, they may need to be resolved prior to beginning the arrangement.
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1500 E Bethany Home Rd, Suite 200, Phoenix, AZ 85014
REQUEST A PROPOSAL OR SPEAK WITH AN HR CONSULTANT
Call us at (602) 200-8500 or request a proposal and an HR Consultant will contact you to discuss customized HR services for your business.