Human resources and employee management related tasks are a critical component to any business regardless of size. But unfortunately, they can be incredibly time-consuming and often stressful. According to Entrepreneur, “from payroll and human resource management to benefits and compensation, entrepreneurs can spend up to 40 percent of their precious day engaged in these necessary but time-sucking tasks.”
One trend that’s catching on is outsourcing to a professional employment organization (PEO) to save time and money. Here’s what to look for when choosing a PEO to ensure that you find the right fit for your business.
A Positive Reputation
First and foremost, you want a company with a proven track record of success. Ideally, they’ve been in the industry for at least a decade and have helped numerous businesses with their day-to-day operations. A PEO should be able to provide a solid list of references, preferably of businesses in your same industry. They should also have positive testimonials and/or reviews from unbiased clients who have first hand experience.
Each business will have its own specific needs, and a PEO should be equipped to handle all aspects of your employee management and HR operations. Even if you only have minimal needs initially, this could easily change a few years down the road, so you want to look for an organization that can help you grow. For example, a legitimate PEO will offer a variety of services including:
- Payroll processing
- Benefits management
- Assistance with hiring and termination
- Employee performance evaluation
- Policy development
- Worker’s compensation
- Risk management
- Regulatory compliance
When making your decision, be sure that a company’s services are capable of handling both your current and projected needs for the future.
A Variety of Employee Benefit Plan Options
Employee benefits are often necessary for acquiring top industry talent and keeping these individuals around for the long haul. Consequently, it’s helpful to choose a PEO that can assist you with benefits management and offer a robust variety of options. While health and retirement benefits are a good starting point, it’s ideal for an organization to offer other services such as:
- Voluntary benefit plan options
This should ensure that your employees are fully covered and have access to the benefits that they want.
Outstanding Customer Service
It’s inevitable that you’re going to have questions and concerns at some point. That’s why you want a PEO that’s fully committed to customer service and that can be reached whenever you need them. Ideally, there will be no extra charge to speak with a representative, and there are enough representatives available at any given time to efficiently help you without hassle.
Rather than having to go through a call center where you can get lost in the mix, it’s best to have access to a dedicated support staff that’s able to handle your unique needs and provide you with a personal touch.
There’s no doubt that a professional employment organization can be a huge asset for businesses across numerous industries. When you look for these elements in a PEO, you’re likely to find a firm that’ll mesh well with your business and help you succeed.