Updated: Jun 27
When you engage a professional employer organization to handle your HR needs, the conversation typically doesn’t end there. The PEO will often depend on your contributions regarding assessment, suggestions, tools, and quality work environment to continue to provide you with the best services.
Second, employee engagement is an ongoing need that involves the joint efforts of the PEO company and the primary employer to be met satisfactorily. In other words, your contract with a professional employer organization goes beyond a vendor-end user relationship. It is a synergistic partnership. And to keep the wheels of that synergy constantly oiled, there are important ongoing conversations you want to have with your PEO.
The main reason you want to partner with a Professional Employer Organization (PEO) is to access quality HR solutions that will save you hours of HR administration. So as long as you are with a robust PEO provider, you expect growth and improvement in productivity. When you have suggestions for improving your employees’ productivity, you want to keep your professional employer organization informed about those plans.
Depending on the terms of your contract with the PEO company, you will have to collaborate on important HR tasks, such as recruiting, onboarding, training, and providing competitive compensation and benefits. These are important elements that contribute to the continued growth of your business’s human assets and overall productivity. Because of how crucial they are to your business’s growth, they should be part of ongoing conversations you want to have with your PEO.
Benefit Claims and Dispute Administration
When you partner with a robust PEO services provider, you expect them to provide the best employee benefits to your workers. With the right PEO, your employees get to enjoy Fortune 500-style benefits and HR infrastructure. And over time, there may be a need to improve your benefits offering and make a few tweaks to reflect employee needs.
The PEO will liaise between your staff and the insurance carrier to ensure employees always get the best benefits. Additionally, you should discuss this with the PEO concerning unemployment claims.
An essential HR task is recruiting, which can be daunting and time-consuming. Partnering with a PEO allows small and mid-sized business owners to move this responsibility off their desk and pass it over to the PEO. Your business can then take the back seat and provide a suitable work environment, work resources, and every other tool needed to ensure employee success.
Continuous conversations about your business’s needs and expectations will help to drive and guide recruitment efforts, including background checks, developing the right recruitment tools, and ensuring compliance with labor and employment statutes.
Your HR team must be in tandem with the professional employer organization to ensure that things are done properly and on time. If you want your PEO partner to recruit in line with your culture, orient new hires, and onboard new talents that support your business, you must keep communicating with them.
HR work toward ensuring an equitable work environment where everyone, regardless of their background, has a sense of belonging, but conflicts are inevitable. Conflicts happen even in the best work environments. To this end, HR must have an effective conflict resolution strategy in place.
Because of the co-employment nature of the PEO-employer partnership, resolving conflicts within your organization will typically require the input of your PEO. The PEO should approach the problem formally and with a compliance-oriented strategy. Conflicts will happen between workers, teams, and supervisors and between workers and the organization. HR must be able to step up and provide a solution quickly.
Your HR team and the PEO must operate with the same policy and approach to conflict resolution. This will require constant interaction between the PEO and your internal HR team.
Training and Development
Sustaining your in-house talent need requires robust cooperation with your PEO. Having a professional employer organization handle your recruitment needs does not absolve you of all your HR responsibilities. The company’s still partly responsible for the growth and development of employees, especially regarding productivity and revenue generation. A good PEO should be adequately equipped to train your employees to develop important skills needed within the organization. However, HR must communicate your company’s unique work needs to them.
Training has direct and indirect costs, and it influences your ROI. In fact, healthy organizations are typically big on continuous training of workers, including supervisors. Dealing with the incessant talent shortage requires that you make continuous proactive moves. Working closely with your PEO makes navigating these changes easier and helps ensure you have the best team on board per time.
The PEO-employer relationship is like a moving vehicle requiring continuous servicing to perform well. To get the maximum benefits out of your PEO investment, it is not enough to hire the PEO alone. You must continuously engage the organization, communicate your company’s unique needs, and support the PEO’s activities with your resources.
The Mission is your go-to growth service company focusing on professional HR and PEO services. We have vast experience providing businesses of varying sizes with top-notch HR solutions and PEO services. The Mission helps you easily navigate burning HR issues, especially if you want to expand your business. Don't hesitate to contact us if you have further questions about partnering with a PEO company, outsourcing, or mitigating your HR liabilities.