professional employer organizations (PEOs)

A Professional Employer Organization (PEO) is a company that partners with small to mid-sized businesses to handle various human resources tasks, such as payroll, benefits, compliance, and employee management. By outsourcing these functions, businesses can focus on their core operations while benefiting from specialized HR expertise, improved employee benefits, and administrative efficiency. The PEO becomes a co-employer, sharing certain legal responsibilities with the business, which can also help with risk management. Overall, PEOs help companies manage HR complexities more effectively without the need to build in-house teams for these functions.