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The Professional Employer Organization
(PEO) industry began in 1978 and was formerly known as Employee
Leasing. The PEO as we know it today evolved from an effort
to cut employee-related costs and reduce taxes. The PEO has
become an increasingly attractive option for companies with
high overhead costs, which has been instrumental in the industry
growth. Companies spending too many resources on administration,
rather than core business matters will not remain competitive
in today's environment. However, by placing employees in a
PEO, this burden can be alleviated.
With a PEO, you contract to become a co-employer
of your employees. A PEO provides professional, expert management
in the key areas of employment administration, compliance
and regulation, payroll, worker's compensation insurance,
unemployment insurance, and employee benefits. The business
owner maintains complete managerial control over employees,
and frees your management resources to focus on running your
business.
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