A professional employer organization (PEO) is a firm that provides a service under which an employer can outsource employee management tasks such as employee benefits, payroll and workers' compensation, recruiting, risk/safety management, and training and development. It does this by hiring a client company's employees, thus becoming their employer of record for tax purposes and insurance purposes. This practice is known as co-employment
As of 2010, there were more than 700 PEOs operating in the United States, covering 2-3 million workers. PEOs operate in all fifty U.S. states. Similar services are described in Sweden and Germany.
Read more about Professional Employer Organization: Business Model, Early History, Abuses, Regulation
Famous quotes containing the words professional, employer and/or organization:
“Smoking ... is downright dangerous. Most people who smoke will eventually contract a fatal disease and die. But they don’t brag about it, do they? Most people who ski, play professional football or drive race cars, will not die—at least not in the act—and yet they are the ones with the glamorous images, the expensive equipment and the mythic proportions. Why this should be I cannot say, unless it is simply that the average American does not know a daredevil when he sees one.”
—Fran Lebowitz (b. 1950)
“If the laborer gets no more than the wages which his employer pays him, he is cheated, he cheats himself.”
—Henry David Thoreau (1817–1862)
“Prostitution is the most hideous of the afflictions produced by the unequal distribution of the world’s goods; this infamy stigmatizes the human species and bears witness against the social organization far more than does crime.”
—Flora Tristan (1803–1844)