How PEO Services Are Transforming the Hospitality Industry

The hospitality industry operates on customer satisfaction, attention to detail, and delivering exceptional service every day. Whether you’re operating a hotel, restaurant, resort, or event venue, your business thrives on the strength of your people. And managing those people effectively is no small task.

From unpredictable staffing needs and high turnover rates to strict compliance requirements and competitive employee benefits, hospitality businesses face mounting human resources (HR), payroll, and risk management challenges. Fortunately, a Professional Employer Organization (PEO) can help take those administrative burdens off your plate.

Continue reading to explore how PEO services are helping hospitality business owners regain control of their operations, improve employee satisfaction, and focus more on what they do best: creating memorable guest experiences.

Staying Compliant in a High-Risk, High-Turnover Industry

Hospitality is a fast-paced industry, and with that pace comes complexity, especially when it comes to HR compliance. From wage and hour laws to workplace safety and anti-discrimination policies, hospitality employers must stay up-to-date with constantly shifting regulations.

Whether you manage a small boutique hotel or a national restaurant chain, compliance missteps can result in hefty fines, lawsuits, and damage to your brand reputation. A PEO like GMS provides access to a team of HR experts who stay up-to-date on federal, state, and local regulations, so you don’t have to. That includes:

Ensuring compliance with labor laws such as the Fair Labor Standards Act (FLSA)
Helping navigate tip reporting and minimum wage rules
Assisting with Occupational Safety and Health Administration (OSHA) workplace safety requirements
Providing support during audits or legal issues

With GMS as your partner, you can feel confident knowing your business is protected from costly compliance errors.

Solving the Hospitality Hiring and Retention Problem

Hiring in the hospitality sector is notoriously challenging. High turnover, seasonal demands, and competition for top talent often leave HR teams overwhelmed with recruiting and onboarding tasks.

A PEO can take the pressure off your internal team by providing:

Streamlined recruitment and applicant tracking tools
Onboarding support to get new hires up to speed quickly
Access to competitive benefits packages that help attract and retain staff
Guidance on workforce planning to help you scale up or down during peak seasons
Integration of Human Resources Information Systems (HRIS) to centralize and automate HR processes

GMS also offers employee handbooks, performance management tools, and HR consulting services to help build a positive culture and reduce turnover.

Offering Big-Business Benefits on a Small-Business Budget

Hospitality businesses often struggle to offer the same benefits that larger companies use to attract top talent. But partnering with a PEO levels the playing field.

Through a PEO, you gain access to cost-effective, Fortune 500-level benefits such as:

GMS represents more than 50,000 employees, which allows us to help businesses purchase group health insurance at rates up to 24% lower for employee premiums and up to 15% lower for family premiums compared to the U.S. average. By offering better benefits, you’ll not only improve retention but also attract top-tier talent in a competitive industry.

Reducing Risk and Protecting Your Brand

Hospitality is about service, and your team is often the face of your brand. Unfortunately, that also means you’re exposed to potential legal and workplace risks. From employee injuries and harassment claims to workers’ compensation disputes and liability issues, even one incident can harm your reputation.

GMS provides comprehensive risk management services, including:

Workers’ compensation insurance and claims management
Customized safety programs tailored to the hospitality environment
Workplace harassment prevention training
Risk assessments and safety audits

When your employees feel safe and supported, and your business is protected from unnecessary legal exposure, it creates a positive and productive work environment for everyone.

Simplifying Payroll and Time Tracking

From hourly workers to salaried staff, managing payroll in the hospitality industry can be a complex task. Factor in shift differentials, tips, overtime, and varying state tax laws, and you’ve got a recipe for errors and inefficiencies.

A PEO can automate and streamline your payroll process, including:

Accurate, on-time payroll processing
Automated tax filing and reporting
Tip allocation and FICA tax compliance
Time and attendance solutions for shift-based scheduling
Year-end reporting, such as W-2s

By letting GMS handle the back-office burden, you can focus more on guest satisfaction and business growth.

Transform Your Hospitality Business with GMS

Whether you manage a hotel, restaurant, or entertainment venue, your people are your greatest asset and your biggest challenge. That’s where GMS comes into the picture.

By partnering with a PEO, you gain the HR support, compliance guidance, benefits access, and payroll expertise you need to thrive in today’s competitive market.

Let GMS help you simplify your business so you can focus on what matters most: growing your business. Book a 15-minute chat to learn how GMS can help you grow and succeed.