Top 7 Things a PEO Can Do For Your Company
Are you a small-to-medium-sized business considering a PEO partnership for business growth? A PEO, or professional employer organization, offers complete package of HR services and other benefits like employee assistance program(EAP) and employee safety & wellness programs.
By partnering with one like PRO Resources, you can maximize your potential for success. Research indicates that small businesses partnering with PEOs grow 7-9% faster, experience 10-14% lower employee turnover, see 35%+ cost-savings on HR administration, and are 50% less likely to go out of business.
Here are the top benefits of a PEO partnership via ways a PEO can take burdens off business owners.1. Simplifies HR Issues
Almost half of small-business owner respondents (45%) say they spend at least a day per week addressing HR issues. Can you relate? Have you spent more time than you have on such matters as well?
Chances are, you have. With a PEO partnership, you don't have to, or the problems can be resolved more quickly. A PEO, who has a team that is already well-versed and specialized in these topics, can direct you or your employees to an expert that has the answer—streamlining and simplifying an otherwise lengthy problem-solving process.2. Reduces Time-Consuming HR Paperwork
We all know it: HR means paperwork. This doesn't mean you can't reduce how time-consuming it can be. After all, time-consuming HR paperwork can cost your company, on average, $300 per employee every year! And what it doesn't cost you financially can cost you in other ways, like employee satisfaction, efficiency, and more.
How does a PEO lift the burden? By being a reliable partner for all your tedious and repetitive HR outsourcing issues— while providing expertise and guidance on making tasks more efficient for your team members.3, Decreases the Cost of Benefits
Are you offering the best employee benefits in your industry? It can be hard to answer yes when you're up against large companies with massive budgets. Fortunately, a PEO can help you get the big benefits your employees desire most without the costs that typically come with them.
One of the biggest headaches of benefits like insurance plans is that your business doesn't have enough employees to reduce the risk on the insurance company's end—leading to premiums that are too high for your budget. Through your co-employment relationship, your employees gain access to the PEO's benefit plans. That way, you get the same benefits as the larger competing companies at the same premium price as them.4. Allows You to Focus on Business Growth
There's only so much time in the workday, and as much as 25-35% of a small business owner's time is spent on HR tasks. Moreover, research shows that more than 40% of workers also spend too much time on tasks that can be better handled by automation: i.e., manual, repetitive work.
When you partner with a trusted PEO, you allow them to assume much of your HR responsibilities and risks while making processes and procedures more efficient. In turn, you can focus more on your business and the initiatives that can foster its growth.
5. Technology Workforce Platforms
Today's digital world requires a highly advanced digital business environment to compete. This includes upgrading all of your manual paperwork and tasks with a technology workforce platform that streamlines your workflow:
HRMS (Human Resources Management Systems)
With an HRMS, your business would benefit from the following and more:
- One source for storing all your data
- Provides access to online training, where you can set goals and assess progress over time
- Offer self-service opportunities, reducing the HR workload (i.e., employees can access, manage, and make adjustments to personal information, documents, training, etc.)
- Recruitment tools and features that make the hiring/onboarding process much more efficient and effective
- It helps you stay compliant
- Analytics data available for more informed decision-making
PRO Online + Employer/Employee Portal
Communication is key between you and your employees and your PEO . A technology workforce platform keeps communication between all parties open and available anytime and anywhere—when you (or they) need it most.6. Culture Building
Company culture impacts your bottom line in many ways, from lower employee turnover and higher retention due to happier and more compatible employees— to replacing outdated processes with more efficient procedures (i.e., automation, handbooks, communication, etc.).
These are some ways a PEO can help:
- Assist with programs that put more focus on employee health and wellness
- Establish effective communication lines between employees and leadership
- Develop procedures and handbooks on your behalf
Whether you've already started your culture-building journey or not, it's worth mentioning the importance wellness and safety play in your culture's success—mainly when showing your employees you care and see them as more than 'dollar signs.' Considering only 24% of U.S. workers think their employers care about their well-being and safety, research suggests most businesses aren't living up to employee expectations.
A PEO can help by implementing measures that strengthen employee wellness and safety, such as:
- Bringing more awareness to safety measures and procedures
- Labeling hazards and hazard areas
- Implementing wellness programs as a company benefit
- Communicating the importance of safety & wellness and directing employees to helpful resources and people they can get more information from
PRO Resources can do all of this and more. Contact us today to discuss your goals and see what PRO can do for your company to reach and exceed them!