Professional Employer Organizations: Cut HR costs, reduce employment risks and offer enhanced employee benefits, at a fraction of your current in-house overhead.
- $125,000 in prevented lawsuits and attorney’s fees
- 30% increase in management’s time
- Over $50,000 saved in personnel and overhead reduction
- $200,000 savings in workers’ compensation premiums
- 60% decrease in unproductive HR administration
These are the actual figures reported by clients in CPEhr’s California PEO program!
CPEhr – A Full Service California Professional Employer Organization, since 1982.
Based in Los Angeles, California for close to 30 years, CPEhr has been a leading Professional Employer Organization, providing personalized service for local companies.
Call us at 877-842-4983 for a FREE PEO Consultation.
In this brief consultation, you will learn:
- How to cut employment costs and overhead
- Ways to reduce insurance premiums
- How to improve your HR infrastructure
- If you currently have potential employment violations or infractions
- Areas in which your management or staff may require additional training
- Ways to mitigate the possibility of employee lawsuits
- Strategies to reduce injuries and workers’ compensation rates
- How PEOs can assist in all these areas
What is a Professional Employer Organization?
Professional Employer Organizations, or PEOs, were established in the early 1980s, primarily offering insurance and payroll services to small and mid-sized employers. In the early days, the PEO industry was also known as “Staff Leasing” or “Employee Leasing.”
As employment and labor laws became more complex in the ‘80s and ‘90s, the PEO industry expanded to include many other aspects of employee relations and HR compliance. In a PEO relationship, a PEO shares many of the responsibilities of being an employer with their clients. These responsibilities include: processing payroll, filing payroll taxes, providing health insurance for the staff, issuing workers’ compensation insurance, and assisting their clients to comply with relevant state and federal labor law regulations.
A PEO firm can help small employers successfully reduce costs by pooling hundreds, and sometimes thousands, of businesses under one umbrella program. PEOs aggregate workers’ compensation insurance, health plans, retirement plans, and legal expertise. They are also in the position to establish relationships with regional insurance companies to offer lower premiums with better plan options. The net result is that small employers gain access to the PEO’s buying power and economies-of-scale.
Proven Systems and Robust Resources
Beyond negotiating rates and plans, PEOs maintain the internal resources to support programs that help keep insurance premiums down into the future. Many PEOs offer health and wellness incentives, Work/Life balance programs, or discounts to health clubs and gyms. Research consistently shows that a healthy lifestyle inside and outside the workplace makes significant, positive impacts on the cost of health insurance premiums. In regards to safety and workers’ compensation, the PEO creates effective injury and illness prevention plans, conducts on-site safety inspections, and offers safety incentives to reduce the frequency of workplace injuries. These programs ultimately result in fewer workplace injuries and more competitive insurance premiums.
While many small employers try to ‘go at it alone’, partnering with a PEO offers them a competitive advantage in terms of reducing labor costs, providing their employees enhanced benefit programs, and reducing workplace injuries. If you are small business trying to make it in today’s tough economic environment, a PEO may just be the answer you are looking for.