PEO's Help Small Employers Grow and Employee's to Access Superior Benefits

We at Risk Transfer were able to help participate in the white paper study that is linked below. Having done research for publications including Harvard Business Journal, Ms. Bassi presented her findings live at NAPEO's annual conference on Tuesday, September 10'th.

While her findings were consistent with what industry insiders have known for years, it helps to provide an extremely credible depiction of how PEO's are accretive to small business and their employees. It is also further debunks any relation of the PEO industry and other "alternative staffing arrangements" and/or contingent labor. PEO helps enhance the employment experience of full-time employees and now another very credible source has proven it out! Bravo!

Some excerpts with the link to the full study below:

Small businesses that use professional employer organizations (PEOs) have an employment growth rate that is nearly 10 percent higher than small businesses that don't use PEOs, according to a new study released today by the National Association of Professional Employer Organizations (NAPEO) at its annual conference in San Antonio.

The study, by economists Laurie Bassi and Dan McMurrer, also showed that PEOs are able to provide a broad array of HR services at a lower cost, saving their small business clients at least 21 percent on HR administration. Another key finding of the study is that PEOs offer retirement plans to small businesses that may not otherwise sponsor them, and these employees participate at much higher rates. Ninety-eight percent of PEOs offer some type of retirement plan to their small business clients.

By contrast, in 2011, only 16 percent of all employees of the smallest companies (those employing fewer than 10 workers), and 30 percent of those at companies with 10 to 49 employees, were offered any type of retirement plan, according to the Employee Benefit Research Institute (EBRI). "PEOs are not only good for small business," said Cleary, "but for small business employees." Right on !

Join the Conversation on Linkedin | About PEO Compass

The PEO Compass is a friendly convergence of professionals and friends in the PEO industry sharing insights, ideas and intelligence to make us all better.

All writers specialize in Professional Employer Organization (PEO) business services such as Workers Compensation, Mergers & Acquisitions, Data Management, Employment Practices Liability (EPLI), Cyber Liability Insurance, Health Insurance, Occupational Accident Insurance, Business Insurance, Client Company, Casualty Insurance, Disability Insurance and more.

To contact a PEO expert, please visit Libertate Insurance Services, LLC and RiskMD.