Do you outsource HR?
And the answer to that is NO. Big, bold, capital letters.This is something you should never do.
Do not outsource your HR! Why not?
Whether your HR department is abundant or understaffed and under-resourced, you may be surprised to find that it’s still possible to make your department as great as it can be while staying within and even under your budget.
If you and your HR department aren’t drinking your company’s Kool-Aid, how can you expect any outsourcer to be able to drink it every day and every night and treat it like the fine wine it is to you?
Selfishness is a human trait. Even the best outsourcers are dedicated to their company’s culture – not your company – in the end, you’re another part of the job to most of them. Even the best ones will only view you as a paycheck to them, and that’s only until they get a promotion or a new job and then you have to start all over from the beginning.
Imagine the agony of going through the hassle of training your outsourcers and having them at the level where you are satisfied with their work, then having to go through the whole process again. Sounds a lot more stressful than it needs to be right?
What’s the benefit of HR outsourcing services? They have important things that you probably don’t & will never have – things like skills, experience, expertise, resources, bench depth, and software. Don’t feel bad that your HR department doesn’t, you aren’t alone. These days there are very few companies that have the ability & scale to afford in-house legal counsel or outside legal counsel, it’s a lot harder to manage than you’d think.
In addition, many lack the manpower to handle HR expertise, benefits, WC, to be on the payroll full time at all locations all the time with the background and expertise of managing multiple clients and headaches.
So, what’s the solution?
If it’s not outsourcing and it’s not in-sourcing, what could it possibly be? Well, it’s a combination of choosing the best of each –
Sounds nice and all but can I really do this?
Are you sure you aren’t just exaggerating to pique my interest?
Yes, over 160,000 other firms do.
Let’s start with your second biggest budget line item: Controlling Medical Costs. The most often searched phrases on google for this are – PEO insurance brokers, Peo HR advisory Services, Peo Workers Compensation Insurance and even Insured Solutions PEOs – and with my experience in the field I’m sorry to tell you but those are the wrong search terms.
PEO Worker’s Compensation Insurance
This is another issue where your options with a professional employee leasing are totally different than if you use your property and casualty broker. Different relationships, different underwriters, different guidelines – different pools, different structures, different guarantees, instead of trying to sort through all this clutter why not just deal with a professional employer organization who knows how to do it for you?
Also, let’s be clear here – when it comes to professional PEO consulting it does a lot in the way of benefits, it combines a lot and helps you get benefits you wouldn’t get by simply going through the brokers. Without a good professional employer consultant, you would be better off throwing your money away and your current broker is probably helping you do just that anyway.
Your health insurance broker doesn’t help with anything about Worker’s Comp or pretty much any of the other things professional employer organization services do. Your property and casualty insurance broker knows about property & casualty issues, but almost none of the other things a professional employer consultant does.
Do you see what we mean now? Would you hire a carpenter who only has experience building kitchen tables to build your entire house? No? Well you need to be sure you’re selecting the right professional employer organization services, and with us around we can make the right decision for you!
By this point, you should be asking yourself why you would trust them. Well, the answer is this: there is nothing you gain from just using your health insurance broker, or your property and casualty broker or your pension consultant. If you’re the CEO you need help finding the right PEO, and with professional PEO consulting from ThePEOPeople you can rest assured that all your needs are taken care of.
PEO Insurance Providers
Yes, they provide health insurance and Worker’s Comp. – but you are now part of their master policy, which really is great assuming they are the type of PEO that keeps a clean protected pool and will keep getting good renewals. When it comes to professional employers’ organization services, you need to make sure that you’re taken care of and not just added to another clientele list never to be thought of again. Make sure when it comes to your professional employee leasing that you’re dealing with the pros.
You’re hoping for one that isn’t desperate for business and eventually will blow up like so many professional employer organizations have, that’s the way to make sure you’re properly getting taken care of. That’s why you need a PEO broker, as they will know what PEO has a history of favorable health insurance increases and workers comp increases.
Professional PEO Consulting is the great loophole that the SBE479 federal act created. It enables you to share Federal EIN numbers, get into a giant buying group of other employers and access their low-cost fortune 500 type benefit programs. It also allows you to collaborate with real professional employer organizations and get all of your needs taken care of – not just some.
But do not confuse them with going to the private market – these buying groups can skim off the good risks and you get the advantage of being in a cleaner pool then the community at large – especially if you are under 250 employees.