PEOs can now offer hiring services to their clients

hProfessional Employer Organizations or PEOs provide valuable services to small to medium sized businesses. They provide employer services including payroll administrative and compliance services, benefits and Workers’ Compensation sourcing and administration, as well as HR support. PEOs become the administrative employer of record while the business retains the work-site control of all hiring, training, supervision, discipline and other administration. The PEO relationship allows companies to benefit from the economies of scale in their staff and employee related products. One might think of the following scenario to better appreciate the value of a PEO:

hIf a small to medium sized business were to hire a top notch, highly skilled payroll technician  a veteran benefits person, a risk manager and a team of loss control staff as well as a senior human resource professional, they would have a team worth several hundreds of thousands of dollars. Unfortunately, those individuals would be under-utilized. After all, the work they do is periodic. A payroll technician only works right before payday and a risk manager or benefits person only when sourcing and setting up insurance and safety programs and so on.

A PEO shares that “bench” of professionals with your business and others, so the work is spread out and allocated as needed. They come off the “bench” when needed. This arrangement allows the PEO to deliver an excellent level of employer services at a rate much lower than having all of those professionals at each business all of the time.

PEOs have traditionally been involved in the post-hiring phase of employer services. When clients needed assistance in recruiting and hiring, they were left on their own or referred to staffing and placement firms. Ovation offers a solution for PEOs that enhances their product offering and provides not only client stickiness, but also a co-branded revenue sharing opportunity. Ovation takes PEOs to the pre-hiring world, further adding value to the PEO/Client relationship.

Call 855-232-5985 and ask to speak to Pete VanSon our CEO to explore adding Ovation to your PEO’s offering.


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