A Professional Employer Organization (PEO) is a company that contractually assumes and manages critical human resource responsibilities and employer risks for its clients while establishing and maintaining a co-employment relationship with the clients’ employees.
What is co-employment?
A co-employment arrangement is one in which both the PEO and the client company have an employment relationship with the worker. The PEO and the client company contractually allocate some and share other traditional employer responsibilities and liabilities. The PEO assumes responsibility and liability for the “business of employment” such as risk management, personnel management, human resource compliance, and payroll and employee tax compliance. The client company provides direction and control of the employees and manages tasks like product development and production, marketing, sales and service.
Who is Alcott?
A leading pioneer in the PEO industry, Alcott HR Group has been providing outsourced human resource services to small and medium-sized businesses since 1987. We are the oldest PEO headquartered in New York State and one of only 23 PEOs that have been certified by the Employer Services Assurance Corporation (ESAC). Alcott’s unique blend of experience, customer service excellence, and expansive employee benefits program sets us apart from our competition.
Why would a business use a PEO?
Business owners want their time and resources focused on the “business of the business” and not on the “business of employment.” Leveraging the expertise and economies-of-scale of a PEO provides small and large businesses with employee benefits, Human Resource expertise and software infrastructure that would require significant resources to obtain, administer, and maintain. Other reasons to use a PEO would be for risk avoidance and improved employee retention.
Why would a worker want to be employed by a PEO?
Workers seek financial security, quality health insurance, a safe working environment, and opportunities for retirement savings. PEOs provide Fortune 500 quality employee benefits including health insurance, 401(k) savings plans, and aggressive workplace risk management. Once an employee is used to having Alcott’s superior benefits and HR support, it is not uncommon that they recommend Alcott to a new employer should they change jobs.
Does Alcott have a self-service Web portal?
Yes. Alcott’s Human Resources Information System (HRIS) is accessed over the web. It allows our clients and employees access to HR information in a secure environment. In addition, there are numerous HR-related links and tools available.
Is my company too small or big for Alcott?
Alcott’s program can benefit companies with as little as 5 and as many as 1,500 employees.