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What is PEO and how is the new HR trend helping companies grow?

Competitive advantage is what all companies strive for. In order to take business competition to a healthier level, a new trend has begun. Professional Employer Organisations (PEOs) are the HR bodies which cater for these business needs and this is currently the new HR trend.

Though PEOs exist for around three decades, there was no big buzz about it until recently. Its importance is now being valued as it has helped many businesses flourish and grow exponentially. This new HR trend has revolutionized the way we perceive business and make us see the myriad of opportunities it provides. A PEO is a firm that provides Payroll and Employment Outsourcing services through which an employer can outsource its HR services for a said cost. Such HR services include comprehensive employer of record services, payroll management services, immigration as well as offshore payment services and auxiliary services amongst others.

The fact is that many businesses do not have a registered entity in all countries in which they wish to do business and employ people. As the African business and labour landscape are both increasingly complex, there is a cry out for Professional Employer Organisations. This new HR business model has proven to be very efficient in terms of mobility and special projects. PEOs such as Africa HR Solutions can also be regarded as a “co-employment” partner and in this kind of HR outsourcing, business owners do not have to worry about all aspects of the countries labour law. This way, they can focus on their strategic objectives and daily tasks. PEO’s represent a single solution for all HR employment requirements.

 

How has this new HR trend helped companies grow?

  • Payroll Outsourcing

Eliminates costs of initial hardware or software investment. Furthermore, it allows tax calculations to be done with total compliance. Errors and manual handling of data are decreased as well as reducing time spent on administrative tasks.

  • Information sharing

Companies can establish a reliable communication with Africa HR, which in turn provide their expertise for the clients in the complex African Labour Context. This strategic partnership allows more in-country information sharing.

  • Reduction of risks

There are fewer risks involved employment outsourcing. There are high costs and risks associated with opening your own company. Clients can ensure compliance while legally doing business in Africa through an accredited and recognized umbrella services company like Africa HR solutions.

  • Employment Outsourcing

It is the easiest and fastest way to hire an employee in a new country, while there is no requirement to set up a physical company. This way it allows the client to test the new market without significant investment.

  • Human Resources Mobilisation Optimization

Multi-dimensional functions of this new HR trend have also led to optimization of human resources in terms of Global Mobility. Payroll, tax compliance, and social service benefits are taken care of.

  • Immigration Solutions

With the ever-increasing need for foreign skills in developing countries, immigration and work permits are in demand across the continent. Each country is complex and has its own requirements.

 

Africa HR Solutions is a PEO organization that is currently spreading this new HR trend throughout 50 countries in Africa. Why not use their solutions to test a new market in Africa, and grow your business without the risks and costs associated with opening a company? Perhaps you have a project and need people employed on the ground. Whether you are in Oil and Gas, Education, IT & Telecoms, Financial Services, Transport and Logistics, Agriculture and farming, Healthcare services, Engineering, and construction or Humanitarian and NGO work, we can help you get into Africa.

 

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