4 PEO Stats That May Surprise You (And Help Your Company)

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Human resources can cause big headaches for small businesses. Between the time, energy, and resources that go into HR, it’s not too surprising to see Small and Midsize Business (SMB) leaders worry about how they will handle this important function of their organization. But what if there was a way for your company to remove this burden from your day-to-day activities, and instead focus your time and energy on growing your business? This is where a PEO can help your company.

You might be thinking to yourself – “What is a PEO?” A Professional Employer Organization (PEO) is a firm that allows small and medium-sized businesses to outsource their HR management responsibilities. These services can include HR, payroll, benefits, and risk management just to name a few.

While there are many benefits to working with a PEO, a recent report from the netherlands phone number library National Association of Professional Employer Organizations (NAPEO) uncovered some eye-opening statistics about the PEO industry. Not only did they find that the industry is growing, they also found the following four stats on the value PEOs create for their clients.

1. Small Businesses Who Use PEOs Grow 7% To 9% Faster
Growing the business is the main concern of every owner and company leader. It is also the biggest challenge most companies face. Partnering with a PEO and allowing them to handle your human resources needs allows you to focus more on high-value activities that help grow your business. As uncovered in the NAPEO report, PEO clients grow 7 to 9 percent faster. When you can focus all of your time and attention on the mission of your business, growth is much more achievable!

2. PEOs Lower Employee Turnover by 10% To 14%
Recruiting top-talent can be stressful for small business leaders, especially when competing against much larger companies. But retaining that talent over time can prove to be an even bigger challenge for SMBs. Partnering with a PEO allows you to offer Fortune 500-level benefits that allow your company to be more competitive while both recruiting new employees and retaining your current staff.