3 Signs It’s Time to Engage with a PEO for HR HelpAugust 8, 2017 - By: Matt Thomas
As any good business manager knows, keeping a close eye on how employees’ time is being spent is a core function of making a business successful – where are people spending too much time and where should they focus more of their attention? For small and medium businesses, especially, it can be easy to get stuck in a track of spending too much time on admin-related tasks that are important to making the business successful, but can eat away at key employees’ time and effort toward profitability. So, the question remains: When is it time to enlist in outside help for HR-related tasks? Here are a few key areas that hold the answer:
1. Are HR-related tasks becoming a time suck?
When you think about all the HR-admin related tasks that help a business run, it adds up fast: payroll management, employee benefits management, compliance with local and federal employment laws – the list goes on and on. Freeing up time that would be spent on these tasks would allow your key employees to better focus on business growth and a strong path forward. Take note of where your top employees’ time is being spent. Are they spending more time on internal admin than on tasks that plug into the overall business strategy? This is where PEOs come in. They are experts at outsourcing these tasks as your partner so that you can have the time back to do what you do best – grow your business. You might be interested to know that businesses in a PEO arrangement grow 7-9 percent faster according to research from the National Association of Professional Employer Associations (NAPEO).
2. Are you experiencing compliance-related issues?
A subset of tasks that can take up substantial time for your in-house HR staff – adhering to local and federal compliance laws – is a job in and of itself. With more than 180 federal labor laws alone, these regulations are constantly evolving and carry risk if the proper time and attention is not paid to make sure your company is in compliance. Hiring, taxes, insurance claims, wage claims and benefits all relate to compliance with these laws. All it takes is one misstep and your company has a potentially expensive fix on its hands. If your HR staff’s time is already strained as it is, this becomes a real concern. PEOs are trained to understand these compliance laws inside and out. If the risk to your company is troublesome, it may be time to consider enlisting a PEO for help.
3. Are your employee benefits lacking?
With any potential healthcare reform now up in the air, access to quality insurance and benefits are a topic of high concern on many employees’ minds: How much will the cost of insurance premiums go up next year? For small and medium businesses especially, the insurance and benefits options they have to offer employees are sometimes limited and come with a higher cost to the employees. By partnering with a PEO, your business can gain access to big-business employee benefits: 401(k), health, dental, etc. Are you able to provide your employees with the best options possible when it comes to benefits? It may be time to talk to a PEO about how they can help.
While keeping HR-related tasks in-house may seem more appealing, sometimes the best thing you can do is ask for help. Partnering with a PEO is truly that – a partnership. These HR experts will look out for your best interest, which in turn allows you to look out for the best interest of your employees and your company.
Think it might be time to reach out to a PEO for your HR-related needs? Reach out to our team today!