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What Is Employee Leasing?Employee Leasing is the relationship that is established between a Professional Employer Organization (PEO), a worksite employee, and a client company. Basically a co-employment relationship is developed in which both the PEO and the client company have an employment relationship with the employee. A Professional Employer Organization will take on roles and responsibilities that would have otherwise been shouldered by the Client Company. However, some of the responsibilities are still shared between the PEO and the client company. Employee Leasing ResponsibilitiesThe Professional Employer Organization (PEO) will assume many responsibilities and liabilities as a “co-employer” including employee risk management, human resources, labor law compliance, payroll administration, and payment of employment taxes. This type of arrangement is great for the client company as they are free to manage the more important aspects of their business including product development, production, marketing, sales, and customer service. In the simplest of terms a PEO assumes and establishes a co-employment relationship with the worksite employee. By doing so, they provide a complete solution encompassing human resources outsourcing, employee benefits plans, and payroll administration). Continue reading to find out more about Co-Employment. relationships and how they can help your business. |
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