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  • As your business grows, so does your to-do list. Managing it all in-house becomes increasingly complex. While professional employer organizations (PEOs) are often associated with startups or small businesses, the reality is that midsize and fast-growing companies are some of the biggest beneficiaries of the PEO model. 

     

    If you’re expanding your workforce, entering new markets, or struggling to keep up with human resources (HR) demands, partnering with a PEO is a smart, strategic move. 

     

    Scalable HR Support Without Increasing Your Headcount 

    When companies grow rapidly, their internal resources, especially in Human Resources (HR), often struggle to keep up. You may need support with compliance, payroll, benefits administration, and employee relations simultaneously. Hiring full-time specialists for each of these functions can be expensive and time-consuming. 

     

    A PEO offers your organization access to expert HR professionals. They become an extension of your internal team, handling the day-to-day tasks and complex compliance matters, so your staff can stay focused on big-picture goals. 

     

    Support for Multi-State Expansion 

    Expanding into new states is an exciting company milestone, but it introduces new layers of complexity. Each state has its own employment laws, tax codes, wage requirements, and workers’ compensation regulations. Staying compliant in multiple locations can be overwhelming for an internal HR team. 

     

    This is where a PEO’s co-employment model becomes especially valuable. In a co-employment relationship, your business maintains control over daily operations and management decisions, while the PEO becomes the employer of record for HR, benefits, payroll, and tax purposes. This allows the PEO to take on certain legal and administrative responsibilities on your behalf. 

     

    The PEO handles tasks such as registering for state unemployment insurance, managing workers’ compensation policies, processing payroll in accordance with state laws, and ensuring proper employee classification and documentation. This level of support gives your business the freedom to expand into new markets with confidence, knowing you’re backed by a team that’s focused on keeping you compliant and protected. 

     

    Simplified Operations Through Centralized Services 

    As companies grow, they often find themselves juggling multiple vendors and platforms for payroll, benefits, risk management, and other HR functions. Managing these systems separately creates inefficiencies, increases administrative workloads, and opens the door to costly errors. 

     

    A PEO simplifies this complexity by consolidating all your HR needs into one centralized solution. Everything from onboarding documents and time-off requests to payroll records and benefits enrollment is stored in a single, secure Human Resource Information System (HRIS). With all your employee data and HR functions housed under one digital roof, you can reduce paperwork, eliminate manual processes, and improve accuracy. 

     

    GMS Connect is our intuitive, all-in-one HR platform. It gives both employers and employees self-service access to payroll, benefits, tax documents, compliance tools, and more. Whether you’re tracking paid time off (PTO), submitting payroll, or preparing for year-end reporting, everything you need is just a few clicks away. 

     

    Access to Competitive Benefits at a Better Cost 

    Offering high-quality benefits is essential for attracting and retaining top talent. However, putting together a competitive benefits package on your own can be expensive and difficult to manage. 

     

    When you partner with a PEO like GMS, you gain access to benefits that are typically only available to larger organizations. Through GMS’ Master Health Plan, your business joins a larger pool of participating companies. This group buying power allows us to negotiate better rates, reduce volatility in renewal costs, and offer stronger coverage options for your employees. 

     

    In addition to health insurance, GMS offers a comprehensive suite of benefits, including dental, vision, life insurance, and more. These are all managed through one seamless platform, making it easier for your team to enroll and stay informed. 

     

    With better benefits and simplified administration, you can offer your employees more value, without overextending your budget or internal resources. 

     

    Why GMS Is the Right Partner for Growing Companies 

    Growth is a sign of success, but it also brings new challenges. As your business expands, you need an HR strategy that can scale with you, adapt to new markets, and support your team throughout the process. 

     

    At GMS, we specialize in helping growing companies streamline their HR, payroll, and benefits through our full-service PEO model. Whether you’re entering new states, looking to reduce administrative burdens, or trying to offer more competitive employee benefits, we’re here to make it easier. Our team of experts becomes an extension of yours, providing proactive support, compliance guidance, and the tools you need to grow with confidence. 

     

    Ready to simplify your HR and fuel your growth? Request a quote today! 

  • The manufacturing industry in 2025 faces a challenging landscape characterized by labor shortages, increasing operational costs, and complex regulatory requirements. Manufacturers must balance multiple priorities to stay competitive. Many owners are finding that one of the smartest strategies they can pursue is partnering with a professional employer organization (PEO).

    If you’re a manufacturer struggling to manage human resources, keep pace with changing labor laws, or find and retain skilled workers, this blog will demonstrate how a PEO can be a game-changer.

    The Current Manufacturing Landscape

    Manufacturing remains the backbone of the U.S. economy, employing over 13 million workers and contributing nearly $2.9 trillion to GDP. However, the sector is under pressure, with 77% of manufacturers citing workforce shortages as their primary concern. Beyond headcount, modern factories demand workers proficient in automation, robotics, and data analytics.

    Other top challenges include:

    1. Skilled labor shortage: Over half of manufacturing executives report difficulties finding qualified workers, exacerbated by an aging workforce and a lack of tech-savvy talent.
    2. Rising operational costs: Manufacturers expect raw material prices and other input costs to rise 5.5% over the next year. Increased expenses for raw materials and labor have tightened profit margins, making cost management more critical than ever.
    3. Supply chain unpredictability: Despite improvements since the pandemic, global disruptions still impact operations.
    4. Regulatory and compliance burdens: From Occupational Safety and Health Administration (OSHA) and Equal Employment Opportunity Commission policies (EEOC) to new state-specific wage and hour laws, manufacturers must keep up with a growing patchwork of regulations.

    With so much at stake, business owners cannot afford to let human resources (HR) and compliance fall through the cracks. That’s where a PEO steps in.

    How PEOs Can Address Manufacturers’ Workforce Challenges

    A PEO partners with businesses to handle critical HR responsibilities. This includes:

    1. Payroll and tax administration
    2. Benefits procurement and management
    3. Regulatory compliance support
    4. Workers’ compensation and safety programs
    5. Employee onboarding and HR best practices

    Through a co-employment relationship, the PEO legally shares certain employer responsibilities, allowing businesses to outsource their administrative burden while maintaining control of day-to-day operations. For manufacturers, that means less time worrying about paperwork and legal updates, and more time focusing on production, efficiency, and growth.

    Key Benefits of a PEO for Manufacturers

    Recruiting and Retaining Skilled Workers

    The labor shortage isn’t going away. A Deloitte study estimates that nearly 2.1 million manufacturing jobs could go unfilled by 2030 if the skills gap isn’t addressed.

    A PEO helps manufacturers:

    1. Offer attractive benefits packages typically reserved for larger corporations
    2. Streamline hiring and onboarding processes
    3. Benchmark compensation to remain competitive
    4. Improve employee engagement through training, development, and HR support

    Risk Management and Safety Support

    Manufacturing has one of the highest rates of workplace injuries. OSHA compliance is critical but managing it internally can be overwhelming.

    PEOs provide:

    1. Safety training programs tailored to your environment
    2. Assistance with workers’ compensation claims and audits
    3. Guidance on building a proactive safety culture
    4. Help implementing return-to-work programs

    Compliance Expertise You Can Count On

    From new 2025 federal labor law updates to state-specific wage mandates and training requirements, manufacturers must stay informed and compliant to avoid penalties.

    A PEO’s compliance team helps by:

    1. Monitoring regulatory changes at every level
    2. Ensuring employee handbooks, policies, and procedures are updated
    3. Managing paperwork and documentation for audits
    4. Providing legal guidance on employee relations issues

    HR Technology That Simplifies Operations

    PEOs offer integrated software that combines time tracking, payroll, benefits, and onboarding tools into a single platform.

    This helps manufacturers:

    1. Improve workforce visibility and data accuracy
    2. Reduce administrative errors
    3. Maintain employee records securely and efficiently
    4. Scale operations with ease

    Why Choose GMS as Your Manufacturing HR Partner?

    At Group Management Services (GMS), we understand the unique demands of manufacturing because we’ve supported hundreds of companies just like yours. Our tailored PEO services are built to handle the heavy lifting of HR so you can get back to the floor and back to growth.

    Here’s how GMS stands out:

    1. Industry-specific expertise: We’re not a one-size-fits-all PEO. Our team works directly with manufacturers to address industry-specific concerns, from OSHA regulations to seasonal workforce needs.
    2. Dedicated HR support: With GMS, you get a dedicated Account Manager and access to our HR experts. You’ll never face a regulatory issue or compliance question alone.
    3. Scalable solutions: Whether you have 10 employees or 200, our solutions grow with you, ensuring you’re always equipped to manage your workforce efficiently.
    4. Cost-effective benefits: We leverage our collective buying power to offer premium benefits, health insurance, 401(k) plans, vision, dental, and more, without the big-business price tag.

    Manufacturing companies that partner with a PEO are better equipped to tackle today’s workforce challenges and tomorrow’s growth opportunities. You don’t have to be a Fortune 500 company to provide top-tier HR support, maintain compliance, and build a culture that attracts talent. You simply need the right partner.

    At GMS, we take the burden of HR off your plate so you can focus on what you do best. Contact us today to learn how GMS can help your manufacturing business thrive.

  • Whether you’re dealing with workers’ compensation costs or unemployment claims, risk management can be a struggle for any business owner to manage. Effectively mitigating risks, supervising safety protocols, and managing legal liabilities can take time and focus away from business growth and profitability. Fortunately, a professional employer organization (PEO) can help manage these processes and improve your business’s overall safety and risk management.

    What is Risk Management

    Risk management entails identifying and assessing potential risks that could negatively impact a company’s operations, reputation, or financial stability. It consists of evaluating workplace hazards and implementing measures to mitigate or avoid them.

    According to the Occupational Safety and Health Administration (OSHA), millions of workers in the United States experience serious job-related injuries annually. These injuries lead to lost productivity, workers’ compensation claims, and higher insurance rates. Risk management proactively prevents such accidents by identifying hazards and implementing strategies that will safeguard employees.

    Instituting Loss Prevention Strategies

    One way that a PEO can improve your risk management is by instituting loss prevention strategies. These strategies can reduce workers’ compensation claims and improve overall safety. PEOs can help you develop safety programs, write safety manuals and guidelines, implement a drug testing process, or perform workplace inspections. Loss prevention strategies can also include having workers’ compensation insurance, claims representation, and claim investigations.

    Cost containment strategies

    While you can take steps to prevent accidents and terminations, they still happen. In the event a claim is filed, a PEO can handle the following to help you reduce associated costs:

    • Reduce liability for unemployment taxes
    • Help you write detailed handbooks and job descriptions
    • Consult with you on the employee discipline and termination process
    • Ensure you stay compliant with unemployment laws and regulations
    • Provide representation at claims hearings

    Save time and money

    For a small business, workers’ compensation costs can vary from less than $100 to thousands of dollars a year per employee. Workers’ compensation and unemployment claims can’t always be predicted, but you can still reduce the amount of time and money that you spend on legal protection. By implementing safety programs, training, and protocols, you can reduce employee risk. When employees feel safer at their workplace, they are more productive, focused, and have higher morale, all of which can improve your business operations and bottom line.

    GMS and Risk Management

    If you’re searching for ways to improve your risk management and reduce workers’ compensation claims, a PEO like Group Management Services (GMS) could be what you’re looking for. Our team of risk experts are able to develop safety programs and policies to fit your specific industry and workplace. They can also perform worksite inspections, identify potential hazards or accident-prone areas in your workplace, and provide specific, cost-effective solutions.

    Learn more about GMS here!

  • The skilled trades are the backbone of the American economy. Electricians, plumbers, heating, ventilation, and air conditioning (HVAC) technicians, and other craftsmen keep our homes, businesses, and infrastructure running smoothly. The skilled labor market is experiencing high demand, particularly in fields such as construction, manufacturing, and energy. Many trade business owners are finding it harder than ever to manage the day-to-day responsibilities that come with running a company.

    That’s where a professional employer organization (PEO) like Group Management Services (GMS) comes in. Partnering with a PEO empowers skilled trades businesses to delegate administrative tasks, allowing them to focus on delivering high-quality work.

    The Challenges Facing Skilled Trades Businesses 

    Skilled trade owners are no strangers to long hours and tight deadlines. But on top of that, they often juggle:

    • High turnover rates and labor shortages, especially among younger workers entering trades.
    • Time-consuming HR tasks, such as onboarding and crew management, across multiple job sites.
    • Complex payroll processing and tax filing with job costing, prevailing wage, and overtime tracking.
    • Compliance with constantly changing labor laws and safety regulations, which vary by state.
    • Rising costs of employee benefits and workers’ compensation.
    • Little time left to pursue growth opportunities, such as new contracts or training initiatives.

    These challenges are not only inconvenient but also costly. Small business owners spend an average of 20+ hours per week on HR-related tasks. That’s valuable time that could be spent on job sites, bidding on new projects, or training employees.

    How a PEO Partnership Helps

    GMS offers full-service PEO solutions designed to support the unique needs of skilled trades businesses. Here’s how we can help:

    Risk management

    From Occupational Safety and Health Administration (OSHA) requirements to workers’ comp, skilled trade businesses face a complex web of regulations. GMS creates comprehensive risk management plans to keep employees safe and reduce workers’ compensation rates. Partnering with GMS helps businesses address hazards, reduce workplace injuries, manage claims, and enjoy lower insurance rates.

    Employee benefits

    Attracting and retaining top talent requires competitive benefits, but managing them can be costly and complex. GMS streamlines this process, offering cost-effective benefits that keep employees engaged and businesses competitive.

    Human resources support

    Our expert team handles a wide range of HR tasks, including recruiting, onboarding, employee training, payroll, and benefits administration. By partnering with GMS, businesses can streamline their HR processes, ensure compliance, and focus on their core operations while we manage the complexities of HR.

    Payroll and tax administration

    No more worrying about missed deadlines or incorrect withholdings. We offer streamlined payroll services designed to make managing payroll easy and stress-free. We handle everything from payroll processing and tax management to providing access to payroll software, where employees can view their payroll information anytime, anywhere.

    Real Results from Real Businesses

    Businesses that partner with a PEO see measurable improvements. According to 2025 data from the National Association Of Professional Employer Organizations (NAPEO):

    • PEO clients grow 7% to 9% faster than businesses that don’t use a PEO.
    • Businesses that use a PEO have 12% lower employee turnover.
    • PEO clients are 50% less likely to go out of business.
    • The return on investment when using a PEO, in cost savings alone, is 27%.

    Why Skilled Trades Should Partner with GMS

    Whether you’re running a small plumbing company or a growing construction business, GMS understands the unique demands of skilled trades. We help simplify your back office so you can focus on scaling your operations, supporting your team, and serving your clients.

    Hear from our skilled trades clients:

    “GMS presented a comparative cost savings of their services versus our ‘in-house’ accounting and workers’ compensation. The amount saved was substantial for our sized firm…They have helped our company save money on workers’ compensation, as well as accounting expenses.” 

    – HVAC Company 

    “In addition to our payroll services, we have utilized many of the services GMS offers, from human resources to workers’ compensation. With today’s ever-changing laws and regulations, it is difficult to keep up. As a small company, we find it a great comfort to have their expertise at our fingertips.” 

    – Manufacturing Company 

    “GMS has saved our company hundreds in workers’ comp alone. They are truly a partner in all HR functions. Although we are a small company, GMS helps us to operate with the professionalism of a large corporation.” 

    – Construction Company 

    The skilled trades are essential to our future and so is making sure those businesses have the support they need to thrive. Let GMS take care of your business, so you can take care of the job. Learn more about partnering with GMS today.

  • Partnering with a professional employer organization (PEO) can be a game-changer for businesses looking to streamline human resources (HR), payroll, compliance, and employee benefits. However, as your business evolves, you may find that your current PEO no longer meets your needs. Whether it’s due to service limitations, rising costs, or poor customer support, switching to a new PEO like Group Management Services (GMS) may be the right decision.  

    Transitioning from one PEO to another requires careful planning to ensure business continuity and avoid disruptions to employees. This guide will walk you through the key steps to make the switch to GMS smoothly and efficiently. 

    Identify Why You’re Switching PEOs

    Before making any changes, take time to assess why your current PEO is no longer the right fit. Understanding your reasons will help you choose a new provider that better aligns with your business needs. Some of the most common reasons companies switch PEOs include: 

    • High costs: Unexpected fees, rising rates, or a pricing model that no longer aligns with your budget. 
    • Limited service offerings: Your current PEO may not provide the comprehensive HR support, compliance assistance, or employee benefits that your business requires. 
    • Poor customer support: Delays in response times, lack of proactive support, or a one-size-fits-all approach to HR solutions can be frustrating. 
    • Outdated or inefficient technology: If your PEO’s software is difficult to use or doesn’t integrate with your existing systems, it can slow down operations. 
    • Lack of scalability: If your business is growing, you may need a PEO that can support multi-state operations, offer better benefits, or provide more strategic HR guidance. 

    By pinpointing these challenges, you can better evaluate new PEOs and ensure they offer solutions to the issues you’re currently facing. 

    Research and Compare PEO Options

    Not all PEOs offer the same level of service, so it’s crucial to thoroughly vet potential providers before making a switch. Here are some key factors to consider when comparing PEOs: 

    • Accreditation and compliance: Look for CPEOs certified by the Internal Revenue Service (IRS) to ensure financial stability and compliance. 
    • Service offerings: Confirm that the new PEO provides everything you need, such as payroll processing, HR support, risk management, workers’ compensation, and employee benefits. 
    • Technology and integrations: A modern, user-friendly HR platform that integrates with your existing systems (such as accounting software and time tracking tools) can significantly improve efficiency. 
    • Reputation and client reviews: Read online reviews, check testimonials, and ask for client references to get insight into the PEO’s track record. 
    • Industry expertise: Some PEOs specialize in specific industries, which can be beneficial if you have specific HR and compliance requirements. 

    Once you’ve shortlisted a few PEOs, schedule consultations to discuss their offerings, pricing, and transition process to determine the best fit. 

    Review Your Current PEO Contract

    Before making the switch, carefully review your existing agreement to understand any contractual obligations. Key areas to check include: 

    • Termination clauses: Some contracts require a 30-to-90-day notice period, while others have specific renewal and exit terms. 
    • Early termination fees: Be aware of any penalties or fees for ending the agreement before the contract expires. 
    • Data access and transfer policies: Confirm that you’ll have access to all necessary HR, payroll, and benefits data for a seamless transition. 

    If you’re unsure about any terms, consider consulting a legal or HR expert to help you navigate the contract and avoid unexpected complications. 

    Develop a Detailed Transition Plan

    Once you’ve selected GMS and notified your current provider of your intent to leave, it’s time to plan your transition. A well-structured transition minimizes disruptions and ensures a smooth handoff. Here’s how to do it: 

    Set a Transition Timeline 

    • Identify key dates, such as the last payroll with your current PEO and the first payroll with GMS. 

    Notify Key Stakeholders 

    • Inform your employees about the change and explain any updates to payroll, benefits, or HR processes. 
    • Coordinate with department heads to ensure they understand any changes in HR or compliance procedures. 

    Work Closely with Both PEOs 

    • Ensure GMS has all the necessary employee records, payroll data, and tax information. 
    • Request assistance from the current PEO in facilitating the transition, especially regarding benefits continuation and tax filings. 

    Ensure Payroll and Benefits Continuity 

    • Verify that employee benefits (health insurance, retirement plans, etc.) remain uninterrupted. 
    • GMS will ensure payroll schedules align so that employees don’t experience paycheck delays. 

    How GMS Can Help You Make a Seamless PEO Transition 

    Switching PEOs can feel overwhelming, but with the right partner, the process can be smooth and beneficial for your business. Group Management Services (GMS) specializes in providing tailored HR, payroll, and compliance solutions to help businesses thrive. 

    When you switch to GMS, we ensure: 

    • A smooth, hassle-free transition with expert support to guide you through the process and address any concerns. 
    • Comprehensive payroll, benefits, and compliance management to keep your business running without disruptions.  
    • Scalable solutions designed to grow with your business and adapt to your evolving needs. 

    Ready to make the switch? Get a quote today and discover how GMS can support your business and handle the complexities of HR. 

  • Co-employment is a strategic partnership between a business and a professional employer organization (PEO) that enables the sharing of employer responsibilities. This arrangement allows business owners to focus on core operations while the PEO manages essential human resources (HR) functions such as payroll, compliance, and benefits administration. Understanding the dynamics of co-employment can help businesses leverage their benefits effectively and avoid potential pitfalls. 

    Defining Co-Employment 

    The National Association of Professional Employer Organizations (NAPEO) states, “The PEO relationship involves a contractual allocation and sharing of certain employer responsibilities between the PEO and the client, as delineated in a contract typically called a client service agreement (CSA).” Ultimately, the PEO does not make decisions for the business; all control remains with the business itself. 

    The business is responsible for all business decisions, operations, day-to-day supervision of employees, job assignments, employee reviews and assessments, and determining the employee’s salary and benefits offerings. Although the PEO may be recognized by the state as the employer of record, the business retains the ultimate authority over crucial business decisions. The main advantage of sharing employer status is to receive access to tools and HR services that are typically out of reach for small businesses.  

    Benefits Of Co-Employment 

    Greater buying power  

    Small businesses often lack the purchasing power of larger companies, but co-employment helps level the playing field. Through a co-employment relationship, businesses can leverage economies of scale. PEOs utilize the collective buying power of all their group health clients, allowing them to secure more cost-effective, high-quality group health plans. 

    Some PEOs offer additional benefits beyond medical and dental insurance, such as retirement savings plans, pet insurance, legal insurance, and more. By combining the collective strength of all their clients, PEOs enable small to midsize businesses to access competitive premiums similar to those of large companies. This means businesses can benefit from lower health insurance premiums while still offering comprehensive coverage to their employees. 

    With rising health care costs, this buying power is more valuable than ever, allowing companies to provide top-tier benefits without sacrificing their bottom line. 

    Simpler payroll processing  

    In a co-employment relationship, the PEO is responsible for paying your employees. Businesses must apply for an Employer Identification Number (EIN) to manage payroll. Companies in a co-employment relationship agree to let the PEO handle this responsibility under its own EIN. 

    While changing the EIN might not seem exciting, it lets you offload many complex, time-consuming tasks. Using the PEO’s EIN, the PEO becomes responsible for more than just issuing paychecks. These additional payroll administrative tasks include: 

    • Calculating and withholding income and payroll taxes from employee paychecks 
    • Calculating and distributing overtime pay 
    • Reporting these taxes to the Internal Revenue Service (IRS) 
    • Determining proper employee classifications 
    • Filing and issuing W-2s and other payroll forms 

    This transfer of responsibility saves you significant time and effort. Additionally, having your PEO manage these tasks ensures that all calculations and filings are accurate and compliant with payroll guidelines. With a PEO, you can trust that your payroll is handled by trained professionals. 

    Safer workplaces 

    Businesses can also benefit from a co-employment relationship through improved workplace safety and risk management. A PEO can help your company qualify for workers’ compensation discounts and maintain lower unemployment tax rates, saving you money and reducing future headaches. 

    PEOs can assist with safety culture and claims management. These processes not only create a safer environment for employees but also help reduce workers’ compensation costs. Risk management measures include: 

    • Safety training 
    • Risk assessments 
    • Timely reporting 
    • Post-accident investigations 
    • Return-to-work programs 

    Better business alignment 

    As your company grows, you may need more than just payroll administration or benefits assistance. The co-employment relationship gives PEOs a vested interest in your business goals, working with you to identify growth opportunities and retain talented employees. A PEO can support your growth through: 

    • Employee recruiting and training 
    • Performance management 
    • Unemployment claims 
    • Human resource audits 
    • Wellness programs 
    • Telemedicine 

    In addition to helping you grow, being co-employed by a PEO means you have access to experts when you need them. This breadth of resources helps you stay on top of trends and regulatory changes that can impact your business. 

    Common Concerns About Co-Employment 

    Despite its benefits, some business owners hesitate to engage in co-employment due to misconceptions, such as: 

    • Loss of control: Business owners worry they will lose authority over their workforce. However, in a co-employment relationship, the client company retains full control over hiring, terminations, and workplace culture. A PEO serves as a trusted advisor, providing expert support and resources while allowing the business to maintain its leadership and decision-making power. 
    • Cost concerns: While partnering with a PEO requires a financial investment, the long-term savings on compliance, payroll, and benefits outweigh the costs. Businesses can streamline operations, reduce errors, and access high-quality benefits, ultimately enhancing efficiency and profitability. 
    • Employee confusion: Some employees may initially feel uncertain about their relationship with the PEO. However, clear communication and transparency about roles and responsibilities can alleviate these concerns and foster a positive working relationship.  

    Co-Employment Statistics  

    Partnering with a PEO through a co-employment arrangement offers numerous tangible benefits, including: 

    Cost savings on HR and benefits 

    • Studies from NAPEO indicate that businesses partnering with PEOs experience a 27% return on investment (ROI) through cost savings in HR administration and benefits procurement. 
    • PEOs leverage economies of scale to negotiate better health insurance rates, saving businesses up to an estimated 30% on premiums compared to standalone plans. 

    Improved compliance and risk mitigation 

    • PEOs stay updated on evolving labor laws, ensuring businesses remain compliant with regulatory changes such as overtime pay rules and workplace safety requirements under the Occupational Safety and Health Administration (OSHA). 
    • They assist with Equal Employment Opportunity Commission (EEOC) compliance, helping prevent discrimination lawsuits and penalties. 

    Enhanced employee retention and satisfaction 

    • Access to comprehensive benefits packages, including employee assistance programs (EAPs), professional development opportunities, and flexible spending accounts (FSAs), can boost employee morale and reduce turnover. 
    • According to NAPEO, businesses using PEOs have 10-14% lower turnover rates than those that don’t. 

    Streamlined hiring and onboarding processes 

    • PEOs offer applicant tracking systems (ATS), background checks, and onboarding software to ensure a seamless hiring experience. 
    • They help small businesses attract top talent by offering competitive compensation packages and structured onboarding programs. 

    Selecting The Right PEO Partner  

    When choosing a PEO, businesses should conduct thorough due diligence, considering factors such as: 

    • Accreditations and certifications: Look for PEOs certified by the IRS, ensuring they meet strict financial and ethical standards. These PEOs are called CPEOs.  
    • Industry experience: Choose a PEO with experience in your specific industry to ensure compliance with sector-specific regulations. 
    • Service offerings: Assess whether the PEO provides the necessary HR services tailored to your business’s needs, such as recruitment support or performance management. 
    • Technology capabilities: Ensure the PEO offers user-friendly HR technology solutions for payroll, benefits management, and employee self-service. 

    By partnering with a reputable PEO, businesses can access valuable resources and expertise that would otherwise be out of reach, creating a more efficient and productive work environment. If you’re considering co-employment, Group Management Services (GMS) can help guide you through the process and tailor solutions that meet your business’s unique needs. Contact us today to learn more about how we can support your business growth and help you reclaim your valuable time. 

  • Choosing to partner with a professional employer organization (PEO) is a great decision for your business. If you’re like most business owners who are considering a PEO, you have done a lot of research and have tons of questions and concerns.

    Below, we’ve debunked four of the most common PEO myths to make your decision a little easier.

    Myth #1: Hiring a PEO means I’m going to lose control of my business.

    Fact: PEOs give you greater control of your business in a number of ways:

    • PEOs enable you to streamline communication across HR, payroll, risk management, and benefits, and frees up more of your time to focus on revenue-generating projects.
    • PEOs assign a team of HR professionals to you. The team can identify and find opportunities across back-office disciplines that can save you money and/or reduce financial risk.
    • PEOs improve cashflow through economies of scale. When you partner with a PEO, you may qualify for discounted rates on some business costs and lower premiums. This gives you more cash to invest in your business.

    To summarize, you call the shots. PEOs make it easier to make efficient, well-informed business decisions.

    Myth #2: I will lose control over hiring and firing decisions.

    Fact: Hiring and firing decisions are up to you.

    When it comes to hiring, PEOs can help you write job descriptions, review applications, and train new employees. This makes the recruitment process more effective and more efficient.

    If you want to fire an employee, PEOs protect you from rising unemployment taxes (should one be filed) by taking care of all the details.

    In short, you improve employee recruitment and limit financial risk…at a fraction of the time it would take to do yourself.

    Myth #3: PEOs supply workforce labor.

    Fact: PEOs are not temporary staffing agencies. When you partner with a PEO, you and that PEO agree to a co-employer relationship.

    In other words, you keep full control of your business and your employees. You make hiring and firing decisions. You are responsible for building a group that meets your company’s needs. The added benefit is that you can qualify for discounts and better insurance rates that you could not have gotten without a PEO.

    Myth #4: PEOs will change my company culture for the worse.

    Fact: PEOs don’t want to change your culture; they want to enhance it. If your employees like working for you now, imagine how much better it will be when they realize you’ve given them access to a Fortune 500 –level benefits package. Plus, once word gets out that your benefits are better than you competitions’, you’ll have a better chance at attracting interest from higher-quality talent.

    Do you have additional questions or concerns? Let’s talk! Give us a call at 1-888-823-2084.

    Complete Guide to PEOs