NAPEO RELEASES NEW INDUSTRY RESEARCH

New research from NAPEO underscores the continued growth, scale and economic impact of the PEO industry. The 2026 industry research report finds that more than 500 PEOs now operate across the United States, supporting more than 233,000 client businesses and 5.4 million worksite employees. PEOs now serve an estimated 14% of businesses with 20 to 499 employees, and the industry has grown at a compounded annual rate of 7.2% since 2008. The report also found that in 2025 the industry generated $446 billion in total revenue.

The findings reinforce what NAPEO members see every day: PEOs are an increasingly important part of the small business economy. You can view the full report and more research from NAPEO at napeo.org/intro-to-peos/industry-research-data/.