PEO Solutions for Businesses with 50-plus employees
Depending on your local laws, companies with 50 or more employees are often subject to regulations they did not have to deal with before reaching that mark. Once you reach that milestone, additional requirements come in play, especially regulations concerning health care.
While many businesses might be tempted to setup a fully staffed HR department in this situation, the reality is that this may lower your productivity. More pain points are to be expected as your organization’s chart bulks up and more resources need to be allocated to properly perform the newly setup functions.
One of the easiest ways to get past all the hassles when getting past your 50-employee mark is having a professional employer organization (peo) by your side. Here are the top 4 reasons why this could be a healthier alternative for your growing business.
Cost and resource management
When considering the cost of a PEO service for over 50 employees, you may get the impression that at the same cost you may be able to hire a senior-level HR professional. When taking into account the huge amount of time this will require to actually get things up and running, things can however look discouraging. How long will it take to develop a framework? How long will it really take to put up a proper infrastructure? How about the cost of setting everything up correctly? And the development cost year after year as your business expands?
As a business owner, all these questions are often frustrating. Using a PEO, on the other hand, instantly gives you access to a team of HR professionals. For example, Africa HR Solutions brings in a team with diverse backgrounds, with expertise in different countries across Africa, and who are available to answer questions for you and your employees. This is especially helpful, since different countries across Africa have different regulations and laws.
A professional employer organization can help you get around repetitive HR tasks that may be taking a good portion of your time every single month. Payroll, benefits management and employer taxes are among the different services you can expect a PEO take off your work load. This enables you and your team to focus on key activities, such as revenue generation.
Enhanced service matching your growth
Over time, as your business grows, so does your partnership with your PEO. On the long run, the strengthened partnership with your PEO will feel like they are actually your HR department, since they will already be used to your special requests and your expectations.
The more you work together, the better will be the strategies in place to tackle HR obstacles that may want to creep in the way. Based on your previous work together, a PEO will often make recommendations on how to enhance your business from an HR perspective. These insights are mostly possible due to the fact that they know what your requirements and expectations are and trying to match it up to changing employment laws.
Building and growing a successful business always comes with a number of risks. With the help of a reputable PEO company by your side, these risks can be minimized, and most obstacles may be overcome, even without your direct input.
Tailored and scalable solutions
Most reputable PEO services offer scalable solutions that can easily adapt to your company’s needs as you grow over time. Even better, even if in the future you feel that you need to downsize your workforce for whatever reason, a PEO can help you do it as well.
One of the best aspects of a PEO service is that ability to offer a tailor-made solution. You may have special requests, or you may not need a ‘whole’ package and only need some of the services offered, and that’s totally fine. Most of the time, you will have the occasion to build up a package that fully fits your needs.
That’s why it’s wise to choose your PEO carefully and consider those that offer scalable products and services. This will allow the PEO to serve your business throughout its life cycle, greatly improving your odds of long-term success.
Getting the services of the right PEO company will definitely contribute to increased productivity and efficiency. A good professional employer organization will also help your company keep up with changing trends, employment regulations and labor laws. This is a plus, since the PEO will help you avoid costly claims or legal consequences associated with not being up to date, while remaining in total control of your business.
With the available facilities a PEO can offer, there is no reason to leave your company open to any HR-related compliance issue.
If you are venturing in Africa, you especially must take the best precautionary measures to ensure bullet-proof compliance.