PEO Collaboration: HR and PEO shaking hands

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How PEOs Collaborate with Your Internal HR Department

In today’s dynamic business landscape, companies face numerous challenges related to human resources management. From compliance with labor laws to employee benefits administration, HR tasks can be overwhelming. Professional Employer Organizations (PEOs) offer a strategic partnership to businesses seeking efficient HR solutions. In this article, we explore the role of PEOs, dispel common misconceptions, and discuss how they collaborate with internal HR departments.

What Is a PEO?

A PEO is a co-employment model where the PEO becomes the employer of record for your employees. Essentially, they share certain employer responsibilities with your business. PEOs handle administrative tasks, freeing you to focus on core business operations. Here’s what PEOs typically do:

  1. Administrative Burdens: PEOs manage tasks like new hire enrollment, offboarding, benefit reconciliation, and workers’ compensation audits.
  2. HR Assistance: While PEOs don’t take over daily HR operations, they provide valuable assistance. This includes coaching, training, and recommending solutions.
  3. Not Hiring or Firing: Some PEOs won’t hire or fire employees directly. Those responsibilities remain with your internal HR department.
  4. Some PEOs will provide robust HRIS systems and HR tools. e.g. salary benchmarking, job descriptions, and employee handbooks. Salary benchmarking or salary surveying is BIG in the HR space and some tools can be expensive.

Collaboration Between PEOs and Internal HR

Empowering HR Teams

PEOs empower your HR employees by sharing best practices and insights. Especially if your business operates in multiple states, a PEO can guide HR through complex issues.

When Your Business Lacks an HR Department

If you don’t have a dedicated HR manager, an office manager or similar employee likely handles HR tasks. PEOs step in to provide expertise and support.

Watch our conversation with Lori Cotner from Arbiser Machine in Atlanta. She faced HR challenges that were holding her company back. But after teaming up with a PEO, she transformed her business.

Lori shares her experiences transitioning between different PEOs and the challenges she faced, including technology and communication issues.

Now, Arbiser Machine is thriving, and Lori is sharing her secrets to success with us!

Watch the full interview here.


Partnering with a PEO can transform your HR operations. By understanding their role and collaborating effectively, businesses can navigate HR challenges more efficiently. Consider using a trusted PEO broker to find the best partner for your unique needs. Experience the power of strategic PEO matching and ensure your business thrives.

Remember, PEOs offer cost-efficiency, compliance management, and access to experts, while in-house HR departments provide better control over policies and culture.

Remember, growth isn’t just about numbers — it’s about building a resilient, thriving organization. Let PEO brokers be your compass, steering you toward success by partnering with the right PEO company. Reach out today and unlock the full potential of your business!

As your dedicated PEO broker, we take a holistic approach to finding the best PEO partner for your business, ensuring you maximize your savings potential. “Your PEO Advocate, fighting to maximize your benefits while not overpaying in PEO fees!”.

Ready to optimize your PEO comparison? Reach out to today for personalized assistance or schedule a chat with us.

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Frequently Asked Questions

  1. What is a PEO, and how does it work?

A PEO (Professional Employer Organization) is a strategic partner that shares certain employer responsibilities with your business. They handle administrative tasks like new hire enrollment, offboarding, and benefit reconciliation.

2. Does a PEO replace my HR department?

No, a PEO doesn’t replace your internal HR department. Instead, it collaborates with them, offering valuable assistance and empowering your HR team.

3. What won’t a PEO do for my business?

PEOs won’t directly hire or fire employees. Those responsibilities remain with your HR department.

4. How can a PEO benefit my business?

PEOs provide expertise, especially in complex HR situations. They also offer cost-efficiency and compliance management.

5. Where can I find a trusted PEO?

Consider using a PEO broker to find the best partner for your unique needs. Reach out to today for personalized assistance or schedule a chat with us.

Visit to learn more.

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