Professional Employer Organization (PEO): Focus on your business, and reduce your risk

Taxes. Payroll. Legislation. Workers' comp insurance. Compliance. Employee benefits. Running a business is complicated–and that’s just the administrative side. For some midsize companies, ADP can offer a co-employment relationship in which you retain the day-to-day control over how you manage your employees, while ADP manages critical HR management and benefits administration responsibilities. The result? You can focus on business, while we focus on administration.

What is a PEO?

A Professional Employer Organization (PEO) is simply a relationship in which you select a provider to become your dedicated HR management and benefits administration partner to deliver a broad range of HR services through a “co-employment” model, including:

  • Managing certain critical HR service responsibilities such as payroll, benefits and workers’ compensation
  • Shouldering many common employer risks
  • Access to high quality health care
  • Providing IT infrastructure for HR management
  • Training your employees in both online and classroom venues

The “Shared Responsibility” Model

When you establish a co-employment relationship, you’re also sharing certain risks and responsibilities with the provider. Shared responsibility means you’re not facing the threat and impact of changes to laws and regulations and other compliance requirements alone.

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For example, through ADP’s PEO solution, TotalSource®, our risk and compliance experts keep on top of the thousands of annual changes to HR regulations so you don’t have to. As a result, we can help you avoid common benefits administration and HR management pitfalls and solve little problems before they turn into big ones.

Why ADP for PEO

Our PEO solution integrates all major HR management and employee benefits functions into a single-source solution, one that translates into real savings, increased efficiency and greater peace of mind. You benefit from:

  • Guidance from a trusted HR business partner who is dedicated to helping your organization proactively manage your employees, and assist during open enrollment to help you make the right business decisions
  • Shared responsibilities with a leading authority on employment risk
  • The ability to scale up or down with minimal impact on your infrastructure
  • The opportunity to optimize your employee services and benefits