February 2025
PEOs give SMBs an edge. Companies getting off the ground and growing might not have the resources or bandwidth to create HR infrastructure, which, in the worst case scenarios, can cause issues (team retention, compliance, etc.) down the line. Our industry bridges this gap – giving SMBs access to infrastructure and HR tools without leaders needing to allocate their limited time and resources to figuring all of it for themselves. Attracting and retaining top talent is challenging already. Strong candidates expect companies to have their ducks in a row when it comes to the basics, so why mess with them? Answer? We wouldn’t. Helping SMBs nail the basics is one way PEOs level the playing field.
The onboarding process sets the tone for a new hire’s experience with a company. Aside from the treasure trove of information, processes, responsibilities a new hire receives on their first day on the job, they also fill out tax forms, select benefits (most of the time), and more. These first windows into the company’s operations can allude to the company’s culture, and having a PEO partner to make these tasks easier and more seamless, can make all the difference for the new hire.
Top candidates want to work for companies with exceptional culture. While company culture is experienced from the first day of employment, through their entire time with the company, artifacts outlining the company’s culture, like employee handbooks and organizational charts, help a new hire understand the company’s structure, expectations, values, and policies. Many PEO providers offer tools and templates for things like employee handbooks and organizational charts right within their software. SMBs without HR departments, who might not have the resources to pay an HR consultant for developing these materials, find tools like this invaluable.
As an industry, we should always be thinking about creating efficiency and ease for the SMBs we serve. Bolstering small HR teams (or serving as an HR team) is one of our model’s primary value propositions. While different industries might require different infrastructure, this concept still reigns. PEO leaders should consistently aim to improve the basics for SMBs so they can build trust with their teams, and become employers of choice.
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