Einstein HR can help your business by working as a PEO, or professional employer organization. This has the potential to improve the quality of the human resources and accounting services you receive and can have dramatic impacts on the sustainability and longevity of your company. Not only do the services of PEOs often exceed those of an in-house, full-time accounting and HR staff, but they come at a lower price as well.
All of these benefits are truly wonderful for employers and business owners in all capacities — including owners of companies with as few as five employees and as many as 500! But what is less discussed is how the services of a PEO can bring benefits to employees. Since the PEO industry works with roughly 175,000 companies and is growing at a rate of 8.3% each year, understanding how these services affect employees is vital to understanding the future of the business world.
Direct Benefits to Employees
There are plenty of ways in which PEOs bring direct benefits to your employees. These are specific examples of positive effects brought by PEOs that simply cannot be provided by an in-house staff.
Employee Benefits Packages
One of the primary ways that a PEO helps employees is by being able to provide high-quality benefits packages at lower individual rates. Since PEOs operate by signing a co-employment agreement with each company they serve, their overall employee pool is much larger than that of any single business. Therefore, they have more negotiating power and can spread the cost of benefits across exponentially more employees.
Clarity on Policies
Having experts from Einstein HR means that you have access to decades of combined experience handling all manner of human resources issues. This includes drafting and enforcing anti-harassment policies, which can bring peace of mind to your employees by being clear, concise, and easy to understand. In this way, employees are able to know exactly the kinds of behavior that are acceptable instead of having to muddle through poorly written policies.
Trust in the Longevity of the Company
Another way that a PEO like Einstein HR can help employees is by providing more stability through our high-quality services. In fact, the National Association of Professional Employer Organizations (NAPEO) estimates that businesses that use PEOs are 50% more likely to remain in business long-term. This statistic not only shows that companies and employers benefit from using PEOs, but it should give employees more reason to work with a company long-term.
Indirect Benefits to Employees
Other benefits to employees happen in a more organic way. These are not necessarily specific services, but are ways in which the life of workers is improved by working with a PEO.
When you hire a full-time, in-house accounting and HR staff, you are taking a gamble on those workers. Not only is it more costly than a PEO, but those individual staff members do not have the same resources as a PEO. By working with a company like Einstein HR, you effectively hire an entire staff in one go — a staff with decades of HR and accounting experience under its belt. This means that the services we provide are often of better quality than the in-house variety, so your employees can have their issues dealt with in a smoother, more efficient manner.
Ease of Use
At Einstein HR, we can provide employees with quick and easy access to their information. Our Employee Self-Service portals allow your workers to analyze and manage their payroll information, PTO or holiday time, and more. While an in-house staff may offer similar payroll and time management services, employees can use our online portals more effectively and with less hassle.
Lowering Business Costs; Raising Business Profits
By using a PEO, your company can save big in the long run. More efficient services, lowering of risk, costing less than a permanent staff, and cutting back on costly employee turnover are all ways that PEOs can raise profits by lowering unnecessary expenses. What does this mean for your employees? You decide. Maybe you can give them that raise they deserve, or maybe their contracts include shares of the company. Either way, by allowing your business to succeed to its full potential, the dividends make their way to the employees.
Make Your Employees Happy: Work With A PEO Today
This article showcases just a few of the many ways in which a PEO can benefit employees. Outsourcing HR is not merely a fad: the industry is growing faster than the overall economy of the United States! Talk to an Einstein HR representative today to get in on the wave of the future and learn how you can sign a co-employment arrangement with us today.